The future of hardboard production at the AS Bolderaja mill in Latvia will be decided towards the end of this month.
Production was suspended on November 1 last year and full closure may now follow.
Tony Lord of Lord Forest Products, a shareholder and director at AS Bolderaja, said hardboard production had been running at full capacity of 7 million m² per year for four or five years. The UK has been consuming around 4.5 million m² of this, with other sales going largely to Continental Europe and the domestic market.
‘There has been no problem in finding markets,’ said Mr Lord, ‘but we have not been getting the level of price increase to make the hardboard plant profitable.’
Chipboard will continue to be manufactured at the mill irrespective of the decision on hardboard production. ‘The chipboard plant is going along profitably and major investments are planned.’
Current output includes 100,000m³ per year of chipboard sold in raw form, as well as melamine-faced product, worktops and furniture components. The company would also continue further processing of hardboard, it was stressed.
