TeraPlast Group received the financing agreement for the first project submitted under the state aid scheme in 2020. The project, called “Increasing the competitiveness of TeraPlast SA by purchasing high-performance equipment and building new buildings”, involves expanding the production capacity of the business line “Installations”. The total value of the submitted project is of 7.9 million euro, of which 3.9 million euro represent state aid.

“The Ministry of Finance understood the importance of supporting projects that eliminate imports and support the trade balance. The program announced by the Government provides funds for infrastructure works, so we will have to work at a brisk pace for another 15 years. However, if Romanian producers do not invest in increasing production capacity, instead of eliminating imports, they will increase. Through this investment, in addition to the infrastructure market, TeraPlast will enter the segment of installations on which currently 90% of the products are imported,” says Ovidiu Gurău, commercial director, TeraPlast.

This project is the first of the over 20 million euro investment projects announced by the TeraPlast Group in September 2020. The implementation of the project was started after the submission of the project, and its completion is estimated for April 2022. The investment will create 45 new jobs.

The TeraPlast Group also has another investment project, submitted under the state aid scheme, for which it is waiting for the financing agreement. It aims at the production of biodegradable packaging through its subsidiary TeraPlast Folii Biodegradabile SRL. The total value of the project is of 11.8 million euro, and the value of the requested state aid is of 5.8 million euro.