Hampiðjan has embarked on a substantial development at a new industrial site in Auric in India. This follow acquisition of the Indian producer Kohinoor.
A 120,000 square metre plot was secured in the Auric industrial area last year, with permission for a construction of up to 76,000 square metres. This is now underway on two 28,000 square metre facilities – one a net loft for aquaculture nets and fishing gear, and the other for net manufacturing. The first factory building is scheduled for completion by the end of July, and the second by the end of August.
There will also be a 2000 square metre office building and a 1200 square metre staff service and canteen facility. These are expected to be completed by the end of October, with final site works, including roads and green areas, completed in November.
The workforce is expected to reach around 750 once operations are fully established. Total construction in this first phase amounts to 59,200 square metres.
‘This development is an important step in strengthening our production capacity while improving efficiency and operational flexibility. With facilities in Auric, we can combine the knowledge and experience of Kohinoor and Hampiðjan to build a strong production base for both aquaculture and fishing gear in the long term,’ said Hampiðjan CEO Hjörtur Erlendsson.
‘Production and labour costs in India are highly competitive compared to Lithuania, where we currently operate two large net lofts and a technologically advanced rope factory producing high-performance ropes and lifting slings from advanced materials. This year will largely be devoted to construction and commissioning, and we therefore expect to begin realising efficiency gains next winter, and even more so the following year.’
At peak activity during the construction phase, around 500 workers will be on site, reflecting the pace of development.
Overall investment in the buildings amounts to approximately €13.8 million, with the land costing an additional €4.8 million.
The Auric development is important for further advancing the production of aquaculture cages, particularly those made from rigid polyethylene netting, which is sewn by hand due to the stiffness of the material, making this labour-intensive production.
Production of cages from softer materials, such as nylon and high-performance fibres, is also being initiated at Kohinoor, alongside training in net assembly to build up a specialised workforce. Operations at the net loft are expected to begin in September, with installation of machinery for aquaculture net production also starting at that time.
