Improving the production capacity and enhancing the export potential of "Simat" AD

Over the past five years Simat AD has made significant investments in the renewal of the technological equipment, but still part of it is outdated which leads to higher production costs, high energy consumption and high levels of scrap. Furthermore, the products manufactured by the company are heavy and have high transport costs, which further limit the export opportunities. As the needed technological renewal is not possible with own financial resources, the current project proposal is initiated to both replace part of existing equipment and to purchase equipment to allow to improve of the existing range in the enterprise. The project envisages the purchase of equipment for a renewal of whole production cycle, starting from raw materials to final product – steel-concrete pillars. This would lead to general improvement of the manufacturing processes, increasing the production capacity and improvement of the products themselves, which will enable the company to enter international markets. Furthermore, it will greatly improve resource and energy efficiency in the enterprise, reducing production costs by about 8%. In parallel, the new equipment will allow the production of new assortment of iron-concrete pillars that are used in rail transport in the country and abroad. The introduction of these new technologies will allow to increase production and sales of steel-concrete pillars by the company in a field that the company already has experience (Simat AD has implemented two procurements to construct the high-speed railway in Bulgaria, which will continue in Greece and Romania) and that opens up new export opportunities. Thus we will be able to take optimal advantage of the strategic location of our production facilities, situated 70 km away from the borders with Turkey and Greece, which is the reason why the export to these two countries is enshrined in the development strategy of Simat AD.

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