The Masterplast Group has successfully completed the development of its Subotica plant started in 2015, by means of the investment of 8.4 million euros in total, implemented in a number of phases, the company has increased its fibreglass mesh manufacturing capacity to a significant extent.
As a result of the project, Masterplast has become a key fibreglass mesh manufacturer even on a European level, with stable market positions. Besides continuing the expansion in quantity, the company management has decided to implement developments aimed at the production of higher quality products in the Serbian plant, with which the company may appear on new Western European markets.
The Masterplast Group will further expand the manufacturing capacity in Subotica with an investment of 6.686 million euros. Under the project, the company will also procure special further-processing machines, as well as purchasing supplementary modules for existing appliances.
Masterplast will also utilise resources from grants for implementing the latest development. The company won a non-returnable grant for 35 percent of the budget for the whole project in the call for tenders announced on 13 November 2016 by the Prosperitati Foundation under the title “Grant for the combined support of large-scale economic developments of special significance, i.e. for non-returnable support combined with interest backed credit”. The contract for the grant was signed today in Subotica by representatives of the Prosperitati Foundation and the Masterplast Group.
By means of the investment, the fibrehlass mesh manufacturing capacity of the Subotica plant will grow by more than 20 million square metres per year. Thanks to the investments, 105 new jobs will be created in the facility, and as a result of the expansion, also taking seasonality into consideration, the plant’s fibreglass mesh manufacturing capacity will exceed 90 million square metres annually.
The investment just announced, implementation of which will be launched next year and according to the plans will also be completed in 2018, creates an opportunity for Masterplast to expand the product range. The firm can start to manufacture additional new types of fibreglass mesh used in construction work, and besides this there will also be an opportunity to produce more specialised, composite fibreglass mesh for general industrial usage.
“Our new investment, which we have named Subotica 2.0, is justified by market prospects with respect to the future. Demand for our products has been growing constantly in the recent period, and as far as we can see, thanks to the favourable processes at work in the construction industry, this will also continue in the future. The development provides an opportunity for us to diversify the company’s operations, thus the proportion of higher quality and industrial type products will increase.-” – said Dávid Tibor, president of Masterplast Nyrt. “Our openness to industrial usage is in accordance with the company’s long-term strategy, within which we should like to sell our existing free manufacturing capacities in associated branches too, so we will be less dependent on the boom in the construction industry. Relying on the advanced manufacturing technology, we are also launching the production of our Masternet Premium products in Subotica, of which according to plans we will produce 10 million square metres on a yearly basis” – added Dávid Tibor.
By means of the latest Subotica investment, Masterplast is making a significant leap in quality, making production substantially more efficient. This also means that specific costs are falling, so the production may become more profitable in the future.
Within the scope of developing the site, the Masterplast Group is also improving the internal logistics options, by constructing new roads and car parks. Besides this, the energy supply to the site is also being increased, in order to serve the new capacities and additional future developments. The company’s plans also include increasing our own delivery capacity by purchasing new trucks.
The close to 6.7 million euro development just announced will expand the earlier, 8.4 million euro project, i.e. within just a few years the Masterplast Group will spend more than 15 million euros on increasing its manufacturing capacity.
Masterplast Nyrt.
Founded in 1997, the Masterplast group is one of the leading building material producer and distributor companies in the Central Eastern European region. The company group owns subsidiaries in 10 countries, and sells products in a further 30 countries. The company is registered in the premium category on the Budapest Stock Exchange, and had revenue of 145,2 million euros in 2023.