Energy, EU – Baltic States, Good for Business, Investments, Latvia

Next year, the company will make 20,000 to 30,000 heat exchangers, and then the company's annual output will increase to 100,000-120,000 units. Working at maximum capacity, the facility can produce up to 150,000 heat exchangers a year, and the company plans to operate in full capacity in 2015, said Dobrijans.

"What is most important is that we already have buyers – mostly in Western Europe, but the Russian market also has good prospects. There is a crisis in the eurozone at the moment, which is why European heat exchanger producers are now increasingly active on the Chinese, Indian, Brazilian markets. On the other hand, there is room now for new players on the European market. The global heat exchanger market grows by about 5% annually," said Dobrijans.

Dobrijans added that Eko Air was planning to achieve turnover of about EUR 5 million during the first year in operation, and later increase it to EUR 15-20 million, writes LETA.

Asked to comment why the new facility has been built in Latvia, Igor Turuntayev, one of the investors in Eko Air, said it was thanks to Latvia's favorable investment policy and the fact that heat exchangers produced in the EU territory receive the relevant EU certificates.

"Our market – Europe, Russia – is also here. The market is huge, and this is the only such facility in Eastern Europe, and there are only 11 in the entire world," added Turuntayev.

"98% of our operations will be targeted at export to Western Europe (57%), Eastern Europe (28%) and CIS countries and Russia (13%), because less than a week's output would be enough to cover the Baltic market's needs. Regardless of the modest size of the Baltic market, we are open for cooperation with Baltic local governments and housing management companies because new-generation heat exchangers greatly reduce heat loss in buildings and the related costs," Eko Air Administrative Director Aivars Lavrinovics said during the opening ceremony.

The new facility, with a total area of 2,400 square meters, houses a production system with top-level technological equipment, including a vacuum furnace of 18 cubic meters and a fully automated pressurizing line.

The total cost of the project is almost EUR 11 million, of which EUR 3 million was covered with European Union structural funds. The remaining funding was provided by Eko Air and Citadele Bank.

Heat exchangers are the key component in buildings' heating and hot water heating systems, pump stations, air conditioning and other heating and air conditioning systems. They are used extensively in water heating systems, ships' air conditioning systems, floor heating systems, engine coolers, and others.

Initially, the new facility will offer 20 most-demanded heat exchanger models, as well as develop new models and supply its products to 2-3% of the global market. The heat exchangers manufactured in Salaspils will be marketed under the ANT (Alfa Nordic Technologies) trademark.

Next January, the company will open representative offices in Germany to further consolidate its positions and find new cooperation partners in not only Germany but in all of Western Europe.