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Spanish Roca Group to invest €70 million in factory construction in Kazakhstan

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By&nbspGaliya Khassenkhanova

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Spanish toilet items firm, Roca Group has introduced it can make investments €70 million to construct manufacturing capability in Kazakhstan.

The worldwide chief in design, manufacturing and distribution of loo house merchandise, which first started in Barcelona in 1917, introduced the transfer as a part of their plans to increase in Central Asia.

Roca CEO Albert Magrans gave an unique interview to Euronews, commenting the funding resolution.

Q: Inform us about Roca Group’s resolution to put money into Kazakhstan. What does the mission entail?

A: The mission is the development of an industrial park in Kyzylorda (a metropolis within the south of Kazakhstan). We name it an industrial park as a result of will probably be composed of a number of manufacturing items, together with a manufacturing facility. The development is anticipated to final between one and a half to 2 years, from the bottom up till completion.

We may have a furnishings meeting plant and set up system unit, along with the manufacturing of acrylic and composite tub and bathe tiles. This mission is about delivering to the market full options for the lavatory.

The overall funding goes to be €70 million—by way of job creation, we’re speaking about 300 folks.  

Q:What drove your resolution to construct this manufacturing facility in Kazakhstan particularly?

A: Some markets are usually not delivering the expansion that they had been purported to ship. So, we had been very eager to analyse potential areas the place this development goes to be essential. We took a number of care to analyse Kazakhstan as a rustic, as a possible market, not solely Kazakhstan itself, but additionally the likelihood to construct a regional hub for all of the Central Asian nations.

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It’s a rustic with an enormous potential for development in an space the place Roca Group was in a roundabout way current. We’ve been current by way of exports, nevertheless it’s not the identical.

The expansion of Kazakhstan goes to be crucial within the subsequent yr—that was a basic issue as a result of like all firm we have to have a robust demand for our merchandise.

Q: It was introduced final yr that Kazakhstan is providing you entry to uncooked supplies. Why is it essential and did it play a job in selecting the situation?

Within the case of ceramic manufacturing, which goes to be the flagship of this industrial mission, we’re speaking about primary ceramic parts like clay, feldspar, and cowling. It is rather essential to be near the mines due to transportation prices. Additionally, we have now sure specs for supplies in our manufacturing.

So, as a part of the evaluation of the place to place the manufacturing facility, we had been really useful the Kyzylorda area by the authorities [because of the] entry to uncooked supplies, excellent infrastructure, connection to the primary cities, and a pool of expertise.

Engineers got here right here, spent a number of time testing supplies and sending samples to the central labs.

Q: One of many firm’s key values is sustainable manufacturing. How do you ensure that your manufacturing practices are sustainable and can proceed to be in Kazakhstan?

A: We’re very proud to say that Roca Group was awarded EcoVadis Platinum standing again in January. That is the very best recognition for sustainability.

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Simply to present you an thought, just one% of the 150,000 audited corporations are platinum rated. We’re very pleased with this achievement. It alerts how essential sustainability is for us.

And, after all, because the mission in Kazakhstan would be the latest, we are going to deploy probably the most superior expertise and most superior sustainability requirements to it.

The brand new manufacturing facility will deploy the newest era of kit that may recycle all of the inputs, like water, as an example. It is going to be a internet zero manufacturing facility in all parts. Relating to electrical energy era, we are going to use the whole roof house to put in photo voltaic panels.

It’s additionally our accountability to convey sustainability to our provide chain community to grow to be a extra sustainable ecosystem.

Q:Do you assume that opening a manufacturing facility in Kazakhstan is a gateway for extra Spanish corporations to be represented within the nation sooner or later?

A: Completely. Spain is a really dynamic nation, we have now one of many highest development charges on the planet. There are a number of aggressive Spanish corporations, which for positive might be this enterprise case, and we’d be very happy to make use of this as a option to persuade them to return to Kazakhstan.

Q: Roca Group closed its manufacturing in Russia in 2022. Is the brand new industrial park in Kazakhstan a relocation or a brand new enterprise enterprise?

A: It is a whole separate situation. Our intention is to search out development for the corporate and we’re all the time in search of alternatives to materialise this potential development. On this case, it is strictly about Kazakhstan and the Central Asian area, the place we have now little protection.

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Q: Do you hope to achieve to China by way of Central Asian manufacturing later?

We’ve been represented within the Chinese language market for a few years. We’ve a number of factories, however the majority of what we do in China stays in China. There are some exports, however not loads.

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