New production line for pellets installed in Kastamonu Bulgaria LTD wood processing factory
Approximately 60% of the harvested timber in Bulgaria is small sized timber and fire-wood in ineffective way of direct burning which additionally causes significant air pollution. The abundant resources of technological timber ensures the existence of several big companies for production of particle boards PDC, LPDC, MDF types, laminated floor parquet etc.
One of these companies is Kastamonu Bulgaria LTD. In 2014 the company invested 1.5 million € in purchasing and installation of production line for pellets with capacity of 10t/h. The average annual utilization of raw material is about 50 000 t including wood residues and law quality timber. The new production line ensures 15 permanent working places and help the optimization of the whole production process – optimal burning process, full burning, optimal use of the wood caloricity, automatic control of the burning process. Additionally the pellet production ensures full market coverage with products during the whole year and overcomes the seasonal working modality of the factory. Kastamonu Bulgaria provides averagely 29 000 t/year for the national market.
The introduction of new and innovative ways to make full use of timber as raw material is an example for the other big producers of particle boards, pulp and paper in Bulgaria. The extended list of market products lowers the prices for the consumers and benefits the local households provoking introduction of more effective ways to use timber as source of heating energy.

Resources needed

At national level the introduction of methods and practices for effective and efficient utilization of forest biomass as RES is foreseen in the Strategic plan for the development of the forestry sector in Republic of Bulgaria - 700 000€

Evidence of success

Increased production capacity and product range of the wood processing factory. Establishment of new working places and improved market opportunities. Enhanced regional policy with a view to achieve more effective use of forest biomass for production of heat energy and decrease the related air pollution.

Potential for learning or transfer

In relation to increasing the possibilities for more effective use of forest biomass for energy production financial opportunities were included in the Rural development Programme 2014-2020, measure 8.6. Support for investments in forestry technologies and in processing, mobilisation and marketing of forest products:
- purchease or leasing of machinary and equipment for producton of wood fiber, wood dust, industrial wood chips, wood pellets and briquettes from non-processed timber and timber residues
- purchease or leasing of machinary and equipment for producton/processing of fire-wood
The total amount of the subsidy is 18 000 000 € of which 85% (15 300 000 €) ensured through the European Agricultural Fund for Rural Development (EAFRD)

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Main institution
Kastamonu Bulgaria LTD
Северен централен, Bulgaria (България)
Start Date
May 2014
End Date


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