Investments in new production equipment

The main activity of project "Investments in new production equipment" includes delivery and commissioning of a high productive turning center.The main objective, which ''Metalagro''AD sets through the implementation of the project is: increasing the production capacity and improving the market positions by launching production of two lines of corn headers-high class and low class which will incorporate “Metalagro”’s own design actuator, which would significantly lower the price of both classes of headers. The main problems, which the project implementation will solve, will allow the company to get out of the state of production decline, which occurred after the development of the political situation in Ukraine. After the implementation of two investment projects under OP Competitiveness the Company created harvesters for different types of grains, which were successfully implemented in 2013 in Ukraine and subsequently in Kazakhstan. In 2014 the market in Ukraine was virtually ground to a halt. Meanwhile, there was a competitive header introduced on the market for the price of 34000lv. while the Company was offering one for 46000lv. Inside analysis established that the value of the headers is comprised mainly of the built in actuator-a complex mechanism made up of various shafts and gears. Currently this mechanism is imported from Germany. The turning center, under the investment, will directly contribute to achieving the main objective, because it can be used to manufacture all types of shafts, including the most complicated ones–shaft sprocket and splined shaft, necessary for the manufacture of actuators built into the headers, without the need to move the workpiece on several different machines/method known as “Production on a single machine”/.The expected outcome from the implementation of the project is an increase in production capacity by means of diversifying the range of products being manufactured and sustained increase in the Company's competitiveness.

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