Ulyanovsk Region to Launch Corrugated Cardboard Packaging Production and to Create 300 New Jobs in 2021
On 15 July, Governor Sergey Morozov visited the site of OOO "Arkhbum", which will take place at the former Electromash plant in Zavolzhsky District of the regional center.
Sergey Morozov mentioned, “We continue our work to attract new investors to the region and try to create a favorable investment climate for our partners. Based on results after the first quarter, the Ulyanovsk region became the leader among Russian regions in terms of investment activity growth rates. The Arkhbum project is one of the largest this year. Currently, we are moving to the active stage of its implementation. Investments will total 2.5 billion rubles. The new facility will create more than 300 jobs for residents of the region.”
An investment agreement for the new production site was signed in Moscow on 9 July. The enterprise's output will reach 192 million square meters of corrugated cardboard and products made of it a year. The investor expects to open the plant in 2021. In the future, the company is going to expand its production capacity and floor space by installing four more processing units and increasing the number of storage facilities.
The management of the investor company spoke in praise about market potential of the Volga Federal District.
“Our products are shipped to places about 700 km away from the place where they are manufactured. We work with several enterprises in the Ulyanovsk region and neighboring territories, which include manufacturers of food and household appliances. Our plants supply them to the Moscow region. In the future, we are planning to ship the goods from our Ulyanovsk facility, to optimize logistics and to increase the competitiveness of our products,” - said Irina Galakhova, Director General of OOO "Arkhbum".
“By 2023, when the enterprise reaches its full production capacity, the region will invest about 500 million rubles from its own and federal funds to develop the microdistrict's transport infrastructure, to build a multi-level junction, to improve public services and utilities and to completely repair the housing,” - said Sergey Vasin, Head of Ulyanovsk Region Development Corporation.