Opened in 2004 and already boasting an annual turnover of £12m, the quayside Palesu Kompanija operation deals with over 250 sawmills in Latvia and ships 17,000m3 of timber a month to the UK.

A dedicated shipping service carries timber to STG sites across the UK through the ports of Rosyth, Hull, Liverpool and Barry, as well as ports in south-east England.

STG’s managing director John Scott observed: “We supply ourselves and other countries with pallet wood, and we deal in fencing and building timber too.”

Confirming STG’s desire to expand the range of European destinations supplied from Riga, he added: “We are looking at the cost of installing pallet manufacturing plant – it’s something we’re definitely interested in progressing in the near future.”

Meanwhile, STG has undertaken a six-figure national rebranding exercise which, according to Mr Scott, “will clarify to customers exactly who we are and where we are”. Recent acquisitions such as HS Timber and Combine Pallets will now come under the Scott Timber new pallet manufacturing banner. Three other divisions – Scott Packaging, Scott Waste and Scott Recycling – will deal with, respectively, packaging solutions, wood waste and re-conditioned pallets.

The move coincides with the introduction of a new company-wide IT system which will provide STG with, among other benefits, an integrated overall stock picture.