Finnish chipboard producer Puhos Oy has set up a UK sales arm to satisfy rapidly growing demand, particularly for its flooring products.

Puhos Board (UK) Ltd officially started trading on January 1.

The new company is based in Harpenden and headed by Puhos Oy managing director Mikko Lattu, who will remain in Finland. Andy Moore is director of the UK business and will be in charge of all operational activities.

Previously Puhos sales in the UK were handled by UPM-Kymmene Wood and, before that, the latter’s previous incarnation Schauman (UK) Ltd. UPM-Kymmene was the former owner of Puhos but divested the business six years ago, retaining a 14% stake.

According to Mr Moore, Puhos needed a separate UK sales arm to keep pace with demand in the housebuilding sector, notably for its WeatherDek2 and Protectafloor ranges. Overall it estimates its share of the new build flooring market at 25%, with sales for 2001 projected at £40m.

Puhos Board holds stocks in Grangemouth, Hull and Rochester and the protective films on its boards are applied exclusively by Preseal Boards Ltd in Rochester and Wigan.

Other members of the Puhos UK team are sales manager Alex Campbell, who was previously with Y Goldberg and Sons Ltd, and sales administrator Lucy Barker who was with UPM-Kymmene. Sarah Staples, who is new to the sector, will work alongside and, with Ms Barker, be the ‘frontline’ contact for Puhos product sales.

Mr Moore said that the new company’s approach will be to ‘provide solutions as much as products. The future development of the Puhos brand will focus on developing new ideas and innovative ways to solve problems, increase productivity and reduce time and costs’.

A company spokesperson said that its ‘excellent relationship’ with UPM-Kymmene would continue and that it was likely to sell some of the latter’s products alongside its own.