Flügger to build new sand filler plant in Sweden
The paint group Flügger is building a new sand filler production plant in connection with its existing storage facility in Grönkullen outside Bollebygd in southern Sweden. At the same time, some of the group’s more than 200,000 square metres of land in the town are being put up for sale.
In spring 2019, Flügger will break the ground for a new state-of-the-art sand filler production plant. The new plant will be built in connection with the group’s existing storage facilities in Grönkullen near Bollebygd, about 40 km east of Gothenburg. In addition to significantly expanding production capacity and modernising the plant, the step will also rationalise the production process, as transport from the existing plant to the storage facilities will be eliminated.
“The demand for filler continues to grow, and we therefore need more production capacity. At the same time, we possess extensive know-how and expertise about the production of sand filler in Bollebygd, which we are obviously going to draw on in connection with the expansion,” says David Wendell, plant manager at the Flügger factory in Bollebygd.
Flügger currently owns several plots of land in and around Bollebygd, adding up to a total of more than 200,000 square metres. Flügger has previously been granted planning permission to build more on the area around the central warehouse, which is what we are now proposing to do. At the same time, we are divesting some of the other plots, as we do not expect to be needing them in the future.
The process of establishing the new sand filler plant is expected to commence during summer 2019, and the plant is expected to be completed before the end of the 2020/21 financial year.
In addition to enlarging its sand filler plant, Flügger is also planning to outsource its production of turpentine-based products in order to focus exclusively on water-based products in the future. This means that the production of solvent-based products and household chemicals, which currently takes place in Bollebygd, will be discontinued and outsourced.
“Today, turpentine-based products account for a fraction of Flügger’s total production, and our long-term ambition is to stop selling solvent products altogether,” says Michael Larsen, COO at Flügger. “These days, our customers primarily want water-based products, due to intensifying environmental concerns. Our focus will therefore be on developing and producing products with the smallest possible environmental impact. Accordingly, we have decided to outsource the production of all solvent-based products currently produced in Bollebygd over the next two years.”
The outsourcing is expected to affect a small number of positions in Bollebygd; however, Flügger expects most of the affected employees to be relocated internally.