Improvement of the production capacity in Faiar OOD

The main activity of Faiar OOD is in the field of machine-building.The main company activity are repair works on large machines abroad and the company also produces small-size, a few medium size and a limited number of large metal parts and components. It sells its products and services in the EU and the domestic market. Due to the lack of technological capabilities, the company could cover the requirements for quality and wider variety of products only for the smaller parts. The competition in the niche of small size of machine-building parts is high–around 80 % of the metal-processing companies produce small-size parts and only 20 % manufacture large size products. The aim of Faiar is to position itself in the niche for larger size parts and expand its market positions in Bulgaria and abroad. Faiar receives inquiries from the heavy machine-building sector, but rejects these orders, due to the lack of technological capabilities. In the field of repair works the company meets serious difficulties in finding spare parts for the equipment, and the aim of Faiar is to produce itself these parts. The project includes the purchase of a cutting machine center. The effects of the project would be: 1. Production: It would start to produce medium and large size parts, would increase its revenues, would decrease its costs, since currently the services of external companies are used for the processing of such parts. The resource efficiency and the quality of the manufactured products would be improved, and the product portfolio would be expanded. 2. The company would produce itself part of the necessary spare parts, would not be dependent on external producers, and would become more efficient and flexible in the performance of this activity. 3.The company would increase its sales in the country and abroad, would generate stable cash-flows and would achieve a sustainable future growth.

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