Birch Plywood Output Will Increase
Kohila Vineer OÜ, the Estonian subsidiary of Latvijas Finieris Group, will invest more than €70 million in expanding its birch plywood mill in Kohila. According to the official announcement from Latvijas Finieris, approximately €20 million will be invested during 2026.
The project is intended to increase the mill’s production capacity, improve the use of wood resources across the group’s manufacturing network and strengthen its position in the Baltic and Nordic markets.
“The investment will expand birch plywood output, increase production efficiency and improve delivery accuracy,” Latvijas Finieris Chairman Jānis Ciems said.
The group also plans to introduce modern production technologies and maintain competitive industrial jobs in Estonia.
Construction Is Expected to Begin in Late August
Kohila Municipality has issued the permits required to start the expansion. A design-and-build contract was signed with Estonian construction company Maru Ehitus AS on August 7.
Construction is expected to begin in late August 2026. According to Maru Ehitus, the extension will cover approximately 13,000 square metres. Much of the existing building will also undergo partial reconstruction.
Norte OÜ is responsible for the project design, while Loob Projekt OÜ is providing the architectural design.
Work Will Continue Around the Operating Mill
A major challenge will be carrying out the expansion while the existing factory remains operational. The project combines timber, steel and reinforced-concrete structures with complex technical systems.
Some of the construction will take place beneath, above and around the current production facilities. The work will therefore need to be completed in stages to limit disruption to existing operations.
The new production line is scheduled to enter service in early 2028. It will increase output, improve productivity and allow Kohila Vineer to broaden its product portfolio while providing more reliable service to customers.
Additional Raw Material Will Come From Other Countries
Kohila Vineer said the investment is not expected to increase its consumption of roundwood harvested in Estonia. The company cited continuing uncertainty surrounding Estonia’s forestry-policy framework and its potential effect on business conditions.
Additional input will instead include peeled raw material and veneer supplied from other countries in the region, including EU markets. This arrangement will allow Latvijas Finieris to distribute resources more efficiently across its production network and reduce the expanded mill’s dependence on additional Estonian timber.
Investment Strengthens Estonia’s Industrial Capacity
The Kohila project forms part of Latvijas Finieris Group’s long-term strategy to expand birch plywood production and support sustainable industrial growth across the Baltic and Nordic regions.
For the group, the expansion should improve production resilience, delivery performance and customer service. For Estonia, it represents the modernisation of a major industrial facility and additional demand for construction, engineering and logistics services.
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