Russia’s VLP Group to Invest $20 Million in Its Sawmill in Novgorod Oblast

Starting this year, Russia’s VLP Group will invest more than 2 billion rubles (US$20.4 million) to modernize its sawmill in Malaya Vishera, Novgorod Oblast. The facility was acquired from the Hasslacher Group in April 2023.

The investment aims to increase the processing capacity of raw materials, develop timber harvesting in the region, and implement a project for the production of structures for wooden housing construction. In the next five years, VLP aims to create about 74 new jobs.

In a statement accompanying the announcement, Alexander Shangin, General Director of VLP, said:

“Since the acquisition of the asset in the first half of 2023 as part of VLP, the plant has been demonstrating a steady double-digit growth in physical and monetary indicators. For example, the volume of sawing in fact in 2024 increased by 38.5%, and in 2025 revenue is expected to be 2.4 times higher than the level of 2023.”