Zrenjanin-based Radijator invests 5 million euros in reconstruction of expansion of smelter - Castings from Banat for markets of EU, Near East and Africa

Zrenjanin-based Radijator plant is going to invest over 5 million euros in a new production line and expansion and reconstruction of the existing smelter. That plant in Banat, once famous for production of heating bodies, now operates as a foundry engaged in production of castings for fireplaces, manholes and canals. Due to a higher demand for their products, they have decided to invest in a new production line.

Milan Blazic, a member of the Managing Board of Radijator, told eKapija that the new line would be of the type DISAMATIC and that the storage hall for goods would be expanded.

- The main part of the equipment has already been purchased, we have signed agreements on procurement of remaining machines and provided funds for that. We expect construction and installation works to be finished by the end of 2011, while production on the new line is planned to commence in January 2012 - said Blazic.

Thanks to the new line, Radijator will expand its current product portfolio. Implementation of the new production line will double the production capacities so that the annual capacities will amount to 30,000 tons.

That foundry is export-oriented since it exports over 95% of products, primarily to markets in the European Union: Spain, Italy and Germany. They plan to offer products from the new line to France, the Near East, a part of African continent, Romania, and Bulgaria.

They are able to export products because they possess all the necessary certificates.

In 2010, additional 100 people were hired to work at the new line and they are currently attending a training. Radijator currently has 450 employees and the plan is that another 100 people get jobs as soon as the new line is put in operation.

Radijator registered a turnover of about 11 million euros in 2010, while its projected revenue for 2011 exceeds 16 million euros due to a significantly higher demand for its products.

The majority owner of Radijator, with a stake of about 50.6%, is a consortium of companies Ljevaonica Bjelovar, Ljevaonica Produkt and Akva trgovina.

The majority owner has so far invested over 2 million euros in Radijator.