On June 3rd, the Norwegian company BAU-HOW AS announced their established in Latvia. BAU-HOW AS will produce modules for the construction of buildings using innovative technology, developed and patented by the company. Everything that is produced in Latvia will be exported.
This is the biggest investment project attracted by the Investment and Development Agency of Latvia (LIAA) since 2004. The total amount invested by BAU-HOW AS will be 65.5 million Euros.
The company has investigated Latvia as a possible place to build new factories for several years. It is now they have found a good location and the time feels right for the implementation of this investment.
Ulf Åberg is the CEO of BAU-HOW AS and he says:
- When it comes to choosing a location for the establishment, we will give priority to a direct access to a port in combination with an advantageous business environment. We have also sought access to a well-trained workforce. That is why we chose the city of Latvia and Ventspils.
The strategic objectives of the company during the period from 2010 to 2013 focuses on the construction of four new factories in Ventspils, with a total capacity of about 600 000 square meter modules per year.
In addition, a significant proportion of the investment will be spent on research and development, which also has the intention to involve all the subcontractors. The establishment leads to more than 1000 new job opportunities in these new factories.
BAU-HOW AS will need many suppliers like producers of metal frames, concrete, windows and doors and suppliers of transport and logistics services. For the city of Ventspils, this establishment comes at the right time and will result in a boost for the local economy.
Cecilia Helland