Al Rashed Peikko LLC’s sales and production unit in the United Arab Emirates, Peikko Gulf LLC, has started building a new factory and warehouse premises on an industrial plot located in Ras Al Khaimah, the UAE.
The land leasing agreement for the new plot of 11,500 sq mtrs was signed in October 2017. The growth of Peikko’s operations in the Middle East has been remarkable in the past years and the demand is constantly increasing.
Peikko’s current factory and warehouse premises in Ras al Khaimah are located near the new plot.
The new factory consists of over 3,000 sq mtrs of production and warehousing space and includes also modern office facilities.
The factory will use the latest technology and automation in order to enhance connection item and DELTABEAM® Slim Floor Structure production capacity, and strengthen manufacturing with an optimal layout for increased operations and possibility for future expansion.
The value of the investment is around 4 million EUR. The new factory is estimated to be operational during the first quarter of 2019.
Topi Paananen, CEO of Peikko Group Corporation: “Operating in the Gulf region from the strategically important location of Ras Al Khaimah has been an excellent choice for Peikko.”
“The new factory will enable large-scale production required for the massive projects in the area, such as Sharjah Waterfront City in the UAE and Ministry of Interior Housing Project in Saudi Arabia. Local presence is crucial in order to fulfil our customers’ tight delivery schedules,” adds Paananen.