The contract was signed by Mr. Andris Ozols, Director of the Investment and Development Agency of Latvia, Mr. Dorsan Dominique Jean Camille De Buysscher, Member of the Board, “Malmar Sheet Metal” Ltd, Mr. Aivars Lembergs, Chairman of Ventspils City Council and Mr. Imants Sarmulis, CEO of Free Port of Ventspils.

The company "Malmar Sheet Metal" Ltd was registered with the LR Register of Enterprises on April 11th 2006, and it is a subsidiary company of the Belgian company “Cormetallis NV”. The currently existing production unit is located on rented premises at 6 Fabrikas Street, Ventspils, Latvia. The newly-built factory will be located in the territory of Free Port of Ventspils, at 107 Ganību Street, by the airport of Ventspils, which means that the company will have easy access to the services of Free Port of Ventspils. "Malmar Sheet Metal" Ltd was established in Latvia with an aim to expand the growth of the company, by reducing production costs and entering the Central and East European markets. "Malmar Sheet Metal" Ltd operates in machinery engineering industry, by manufacturing assembly components and specializing in production of steel bodies for trucks and buses.

By establishing the factory in Ventspils, it will be closer to Sweden and other companies that have begun their business in this region to manufacture components for engineering industry. In addition to the easily accessible ferry line connection with Sweden, Germany and other destinations in Europe, the support from the local municipality has been the key reason for “Malmar Sheet Metal” Ltd to select Ventspils as a location for their new factory.

As a result of constant growth and development, the industrial premises rented by "Malmar Sheet Metal" Ltd before long had become too cramped for a prospective expansion of the company. From the very beginning, "Malmar Sheet Metal" Ltd has expressed willingness to invest in an entirely new sheet metal production unit with a machinery component surface treatment shop which would take up some part of the 8 ha area of land, leased from Free Port of Ventspils. Despite the economic crises, “Malmar Sheet Metal” Ltd decided not to call of the investment plan. On the contrary, the year of 2009 saw several important long-term agreements signed, which made us make our decisions in favour of these considerable investments.

Co-financing from European funds

The "Malmar Sheet Metal" Ltd project „ Establishing a Factory of Motor Vehicle Parts and Accessories”, which anticipates long-term investments in Ventspils, has been supported under the framework of the operational programme “Business and Innovations”, supplement 2.1.2.4 activity “High Added Value Investments”. The total contribution to the real estate will amount to LVL 1.586 million. A high-technology powder coating shop, tailored for engineering industry, will be the most valuable asset of the factory. The powder coating shop will require the investment of LVL 1.553 million. Lastly, new equipment (laser cutting machines, folding machines etc) will also be installed, totalling to LVL 0.946 million. Accordingly, the total amount of investment will reach LVL 4.06 million. Thanks to the co-financing from the European funds, the total investment expenditure will be reduced to LVL 1.827 million. Judging from the information at the company’s disposal, there is no other metal sheet processing factory with a complete manufacturing cycle for components of outsize chassis in Eastern Europe, and that is why, owing to the co-financing from the European funds and the support granted by the municipality of Ventspils and Free Port of Ventspils, "Malmar Sheet Metal" Ltd expect to be the first on the market and the best among the still emerging rivals!

These investments made in Ventspils, alongside with a long-term strategy, will provide "Malmar Sheet Metal" Ltd with further opportunities of its business development, and consequently will ensure strengthening of the economic situation in Ventspils at large, by launching the company’s high-technology production unit and powder coating shop.

The end-product capacity of the factory in Ventspils amounts to 1’500 tons per year, with its increase to 5’000 tons in the future. It is also planned to increase the number of currently employed staff from 40 workers to 70 workers.