In line with its ongoing development strategy and investments in expanding production capacity, Latvijas Finieris Group opened a new veneer production facility “Kuldīgas fabrika” in Kuldīga on 14 June 2024. Equipped with world-class technology, the facility maximises the veneer yield from every birch log. Approximately 16 million euros have been invested in the production building, machinery, technology, and site improvement.
“With its unique equipment, the facility is a significant turning point not only in wood processing but also in forestry work planning. The world’s first custom-made machine for Latvijas Finieris – a hybrid peeling machine – allows us to experiment with smaller-diameter log varieties, previously mainly exported or processed into lower-value products. We are increasing the volume of resources we use and make available, while forest owners get higher productivity from every hectare of land used for purposeful forestry.”
Jānis Ciems, Chairman of the Board of AS Latvijas Finieris
Due to the ability to peel small-sized timber, Latvijas Finieris is now purchasing additional birch logs in newly adopted – C – quality grade. Peeling smaller diameter and lower quality birch logs at current logging rates in Latvia means that an additional 300,000 m3 of birch wood per year can be diverted to plywood production.
“The use of thinner trees in production is an opportunity for forest owners and managers to redirect more birch wood to the production of plywood products. We consider it possible to produce up to 60% of veneer logs from good birch stands. We are confident that obtaining veneer logs during thinning will already be possible, thereby increasing the value of forest stands. We believe that together we can manage our forests even better and more productively.”
Artis Podnieks, Director of Birch Industrial Timber Supply Service at AS Latvijas Finieris
A unique hybrid peeling machine has been built for the Kuldīga production facility, combining two technologies traditionally used in veneer peeling – with shaft and shaft-less – enabling the peeling of veneer logs down to a core as small as 25 mm.
“This project was a new kind of challenge for the Latvijas Finieris Equipment Factory. We not only designed and manufactured veneer log feeding and wood by-product lines but also, in cooperation with the supplier, manufactured several nodes for the new hybrid peeling machine line. A compact veneer log hydrothermal treatment chamber has also been installed at “Kuldīgas fabrika”, where logs are thermally prepared for peeling using the steam method. Such a system is nothing new to the company, as a similar one operates at the Likmere veneer factory in Lithuania, but this technology is the first of its kind for us in Latvia. Recirculation ensures significantly lower water consumption, so only a small part of the water used in the treatment process will end up in the pre-treatment facilities and the centralised wastewater collection system.”
Māris Bumbieris, Director of the AS Latvijas Finieris Equipment Factory
A sustainable approach was also implemented in the construction process of the plant building, using glued wooden structures that accumulate CO2. To improve energy efficiency, solar panels have been installed on the building’s roof.
“It is gratifying to see that each new veneer production line improves the working conditions for employees. For example, at the Kuldīga facility, the peeling knife is no longer changed manually; instead, it is done precisely, in a controlled manner, and safely by a robotic arm. Automation is at such a level that the machine operator controls almost the entire process from the command centre,”
continues Māris Bumbieris, Director of the AS Latvijas Finieris Equipment Factory
“Kuldīgas fabrika” is located at 12 Ganību Street, where the timber yard of Latvijas Finieris has been operating for several years. The new facility will operate in two shifts, eventually employing up to 30 specialists, as well as a number of various local subcontractors.
Kuldīga was not chosen as a development and investment destination by chance. In the past, the Kurzeme region’s economic growth potential, the strong traditions of the wood industry, and the availability of resources justified the company’s decision to establish a veneer log receiving yard while already planning for future development scenarios.
“I sincerely congratulate Latvijas Finieris on opening the new veneer production facility in Kuldīga! This is an important step in implementing the company’s strategy and a significant contribution to the development of Latvia’s wood industry. Your team’s entrepreneurial spirit in developing modern and efficient production not only promotes the company’s growth but also strengthens our country’s economy and competitiveness in the international market,”
Inga Bērziņa, Minister of Environmental Protection and Regional Development, at the opening of “Kuldīgas fabrika”
“Alongside tourism businesses, Kuldīga has also been chosen by several well-established export-orientated manufacturing companies due to its convenient location. The investment made by AS Latvijas Finieris is also a strong signal to other businesses that Kuldīga is a region open for business, focused on development and growth. The company’s investment in our region is a strategic choice – it is an investment in infrastructure, new jobs for local residents and tax revenue for the local government budget. This is a significant contribution not only to Kuldīga Municipality but to the whole of the Kurzeme region. Here’s to every fortune!”
Inese Astaševska, Chairwoman of Kuldīga District Council