TeraPlast, the leader of the PVC pipe market and one of the most important players on the Romanian installations market, submitted the first investment project under the state aid scheme to stimulate investments with a major impact on the economy, called “Increasing competitiveness of TeraPlast SA by purchasing high-performance equipment and making new constructions.”
This is a first of a broader investment project worth more than 20 million euro, announced by the company in early September.
The total value of the submitted project is of 7.9 million euro, of which 50% is the requested state aid.
“We are a group in continuous development, with an entrepreneurial spirit, whose development history has brought added value every time. We continue our development, and this project is the first of the investment projects as a result of which we contribute to reducing Romania’s dependence on imports. We will use the same technology and raw materials as our competitors in Western Europe, so we will offer products at the same quality standards. State aid is the best tool through which the state can show its support for Romanian producers,” said Alexandru Stânean, CEO of TeraPlast.
The project submitted by TeraPlast aims to expand the production capacity of the Installations business line, more precisely of the portfolio of pipes and fittings. The implementation of the project will be completed in April 2022, and as a result 45 jobs will be created.
In 2018, the TeraPlast Group received financing agreements through the state aid scheme for three investment projects in Wetterbest, TeraPlast and TeraGlass divisions. The total value of investments was of over 13 million euro in expanding production capacity. For the three projects, the group received a total of 6.3 million euro in state aid.
From its own sources and through the project partially financed by state aid, the Wetterbest project reached a total of 9.4 million euro. Thus, in March of this year the company inaugurated the new factory, with a production capacity of 10 million square meters of metal tiles annually.