Prysmian Group opens new cable plant in Russia
Prysmian Group officially opened its new cable plant in Russia on October 3, a US$55 million investment described as part of its efforts to expand its presence in the country.
A press release said that the plant, located in, Rybinsk, in the Yaroslavl region, will produce medium- and high-voltage cable, furthering its product range in Russia. The Rybinsk plant, which also produces cables for the oil and gas industry, fire-performance cables (Low Smoke Zero Halogen) and auto wires, will soon supply the full range of applications in the energy cable business, including medium voltage cables up to 35 kV and high voltage cables up to 330 kV with maximum cross-section 2500 sq mm and cross-linked polyethylene insulation, it said.
"The start of local production undoubtedly represents a competitive advantage for Prysmian and will help strengthen the Group's presence in this high-potential market," the release said. It noted that in 2009, Prysmian acquired Rybinskelectrocabel, one of Russia's "most dynamic cable manufacturers," to build up local production capacity in high-tech business areas such as high-voltage and industrial cables. Post its merger with Draka, Prysmian further expanded in Russia with the integration in 2011 of the St. Petersburg Neva Cable factory, which makes telecom copper and optical cables, it said.
In recent years, the release said, Prysmian has been involved in developing a HV network in St. Petersburg, and in upgrading the Moscow transmission grid. In the telecoms sector, Prysmian has deployed its FTTH systems in several of Russia's major cities, and the Neva Cable factory is currently being renovated, switching its production from standard copper telecom cables to optical fiber and OPGW cables, to better match the needs of the Russian telecom market, it said.
The opening of the new plant was attended by Prysmian Group CEO Valerio Battista; Yastrebov Sergey Nikolaevich, the governor of the Yaroslavl Region; and Cesare Maria Ragaglini the Italian Ambassador in Russia. The production area stretches across 120,000 sq m, of which 30,000 sq m is under cover, the release said. The new facility will add 10,000 metric tons of production capacity, bringing the total potential production of Rybinskelectrocabel to 25,000 metric tons a year. The plant will employ more than 300 people, adding 100 to the existing 220 currently working on the site, it said. "This will allow the Yaroslavl region to become Russia's leading area for cable and wire production, with the total production capacity of Prysmian and the region's other cable manufacturers meeting 20% of Russia's energy cable demand."
"This is a mandatory step if we want to be a partner to Russia's power transmission and distribution companies, and it will help us to reach the forecast sales target of around €200 million in 2016," Prysmian Group Russia CEO Cesare Biggiogera said.