Today a new production line that inaugurated at Arctic at Gaesti in southern Romania with Premier Victor Ponta worth 24 million euros, and is now set to be the largest fridge making plant in Europe, with an annual capacity of 2.5 million units.
“Our decision to build a new production line is a proof of the confidence we have in Arctic, but also in our team. With this new investment Arctic has become the largest fridge making plant in Europe, with an annual capacity of 2.5 million pieces. The total value of the investment is 24 million euros and we have received 10 million euros as a state aid,” said Levent Cakyrodlu, president of the Koc group and Arcelik CEO who are better known in the UK as being Beko.
He added that, since Arcelik took over Arctic, the production capacity and the exports have grown very much.
“Today we are marking an essential moment in the evolution of Arctic. The inauguration of the new production line is a proof of the continuous investment Arcelik has been making in Arctic. … Since Arcelik took over this company, the production capacity of Arctic has increased to 2.5 million pieces a year from 300,000. The revenues coming from sales have also grown five times and amounted to 272 million euros. What is more important, the revenues from exports have increased nine times,” said Levent Çakıroğlu.
He also said that, starting in 2002, Arctic has contributed 98 million euros as taxes to the state budget. According to Mr Çakıroğlu this makes Arctic the largest producer of refrigerators in Europe, with a yearly output of 2.5 million units.
Arctic took out EUR 10.2 million in state aid to support the investment that will create 572 new jobs.
Monica Iavorschi, general manager of Arctic, said: “This capacity expansion will allow us to grow and consolidate our position on the domestic and export markets.”
“A very important company decided to invest in Arctic, trusted a plant here in Romania, at Gaesti, and the fact that they went on investing, opened new markets means that Arctic has a promising future and I am thanking very much the investors I want to already regard as being part of what is Arctic, which is now a successful project between Turkey and Romania,’ said Prime Minister Victor Ponta.
“The fact that what is produced in Gaesti covers both the Romanian and European markets, it’s important and we should develop this model in many areas in Romania, to use Romania as an important production center not only for the domestic market, but also for the European one,” said PM Victor Ponta
The new production line started up in October and generated 195 jobs in the first stage. The company currently employs 2,500 people in Romania.
Arctic has expanded its exports, which account for 85 percent of its total sales, delivering products in Europe and South Africa. The company holds a 36% market share from sales under the Arctic and Beko brands in the region.