Meeting not only demands of domestic market but full export volumes abroad

Tree layer paperboard production being set up in Belarus from 2012-2017 with assistance of Chinese loans
In order to establish high-tech import-substitution production from 2012-2017, Dobrush Paper Factory Geroy Truda (affiliated with the Management Company of the Belorusskie Oboi Holding Company) is setting up modernised production of coated and uncoated paperboard. The project covers all processes from start to finish, with the full line in operation by 2015. In 2017, it should reach full production capacity of 200,000 tonnes per year of three-layer paperboard.

Factory construction is being conducted by Xuan Yuan Industrial Development Co. Ltd, using Chinese funds. The total cost of the project will be $509.9m, using a $348.6m loan from the China Development Bank over 13 years. The payback period will be about 9.5 years.

The Management Company of the Belorusskie Oboi Holding Company is receiving state support from 2012-2025 to accelerate its production rate and profitability. The company is now owned by Bellesbumprom Concern and is headed by its chairman: the Deputy Prime Minister.

It is hoped that the country can become independent of imports in the sphere of coated paperboard, meeting domestic demand. Additionally, export revenue could be generated from sales far and wide. From 2012-2017, the company’s turnover should rise more than 10-fold, with tax payments into the budget increasing 9.2-fold. Net profit could rise from $0.2m (2011) to $56.3m (2017).
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