OREANDA-NEWS. July 06, 2011. The Russian cartel authority has approved the takeover of the Russian chipboard manufacturer Gagarinskiy Fanerniy Zavod in Gagarin by the EGGER Group. Gagarin, situated 150 km west of Moscow, will thus become the 17th plant in the EGGER Group and EGGER’s second location in Russia, as the company said in a press release received by Lesprom Network.

Apart from a raw chipboard production with 500,000 cubic metres capacity and an upgrading capacity of 20 million square metres per year, Gagarin also has a forestry operation with 80,000 hectares. Gagarin employs a total of about 500 employees, who will be joining the EGGER Group.

“Russia is counted as being amongst the strategic growth markets for EGGER. The market has also developed well during the economic crisis and still has a large potential,” says Thomas Leissing, Head of Finance/Administration and Group Management Spokesman.

“We are very happy to be able to further develop our market position in Russia, but also the neighbouring markets, with a second Russian location“, explains Ulrich Buhler, Head of Sales/Marketing and member of the EGGER Group Management.

Gagarin was taken into operation in 2009 and is equipped with modern technology. The plant is equipped with a ContiRoll as well as three short-cycle presses. Approximately 50 % of the plant’s wood requirement is covered by its own forestry.

EGGER is already represented in Russia since 2005 with a chipboard plant in Shuya. At this site, EGGER manufactures for the Russian market with a capacity of roughly 250,000 cubic metres and 290 employees. 100 % of the production in Shuya is further upgraded to EURODEKOR coated chipboard.