Century Plyboards bets on Laos as major source of processed timber

Century Plyboards (India) Ltd has made Laos its major source of processed timber. In a strategic move, it has also inducted a 49 per cent partner in its subsidiary Century Ply (Singapore) Pte Ltd to expand its timber processing business in the Southeast Asian country. Century Ply (Singapore) will spearhead its business interest in the region.

Sajjan Bhajanka, Chairman, CPIL, told BusinessLine that through the Singapore-based subsidiary it has established two units in Laos in collaboration with a new partner Vietdutch International JSC. “We are also planning a third unit in the country through a (90:10) joint venture of Century Ply (Singapore) with another local partner,” Bhajanka said.

The first two units — one in Bolikhamsai and the other in Savannakhet — are already operational with each having capacity of processing 150 cubic metre-a-day. “The third unit will have similar capacity. All the three will have four peeling lines and four driers, supplied by Century group along with working capital. The primary processing is to be handled by the local partners with licenses and operational infrastructure,” the Chairman said.

Century group’s investments in the three units would be over $10 million. Under the arrangement, Century Ply (Singapore) could import all the processed timber to India.

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