Veneer manufacturer AmberBirch is expanding with new technologies, new jobs and green energy

Beloved by its employees and being one of the most profitable companies in the Zemgale region, AmberBirch is one of the largest specialised veneer manufacturers in the Baltics. With an ambitious goal of taking the lead in the environmentally friendly engineered wood market in Europe, AmberBirch is forging full speed ahead in growth. A significant step forward in this journey will also be its new factory in Krustpils Parish, Jēkabpils Region where the company is planning to invest over EUR 40 million.

The subsidiary of AmberStone Group opened its first factory in Jēkabpils Region in 2019 producing multi-purpose veneer that is suited for customers in various sectors: from manufacturers of furniture parts to construction companies. Moreover, the veneer manufactured by the company is also widely used in the production of household utensils.

New factory: modernisation and power

AmberBirch ended 2024 with a topping out ceremony of it new factory, marking the highest point of the structure being erected. The new factory will span a total of 10,000 m², while the timber storage lot will also be expanded as part of the project, a steam chamber will be built for wood processing, and other infrastructure enhancements will be made. The total area of the factory and premises will exceed 20,000 m².

The project aims to double the production capacity for birchwood veneer by 2025 reaching 90,000 m³ per year, as well as to expand the company’s range of products and commence production of higher quality veneer. This will result in the creation of 45 new jobs, raising the company’s total number of employees to 130.

The creation of the new factory has been made possible by internal investments and external funding. The construction part of the project is being managed by Pillar Contractor, while technologies are provided by Finnish company Raute Corporation which is supplying all the key veneer production equipment.

Sustainability and green energy

In line with the company’s sustainable development goals, last year AmberBirch invested EUR 850,000 to set up a solar farm with a capacity of 1 MW allowing it to power its manufacturing process on renewable resources. The company has obtained several important certificates, including FSC®, PEFC and ISO 50001:2018 attesting to its environmental awareness and sustainability standards.

Covering about 29% of all the wooded territory of Latvia, birch is the main wood that AmberBirch uses. The company offers high-quality peeled / rotary cut birch veneer, and given the demand from customers, the company plans to expand its range of raw materials to also offer veneer manufactured from other valuable tree species, such as aspen, white alder and black alder. While these species are less prevalent in Latvian forests, they are well-suited for the production of peeled / rotary cut veneer and will provided a wider range of choice for customers.

So far, AmberBirch has invested more than EUR 10 million in its existing factory by using funding provided by the European Regional Development Fund and the ALTUM loan programme. The company demonstrated stable financial growth in 2023 with its turnover exceeding EUR 26 million and profits reaching EUR 4.4 million. Furthermore, the company also paid nearly EUR 1 million in labour taxes.

AmberBirch notes that it plans to continue its development, diversify its product range and become a leader in wood processing in Europe whilst also boosting regional economic development and helping move towards the climate neutrality targets set by the European Union.