Renovation of LB Bulgaricum's Vidin Production Facility to Begin in September, Says Economy Minister
Source: DairyNews.today
The state-owned dairy company LB Bulgaricum is set to commence a significant renovation of its production facility in Vidin, located on the Danube River, starting in September, according to caretaker Economy Minister Petko Nikolov. Speaking during Question Time in Parliament, Nikolov emphasized that this facility will undergo continuous development and improvement, with no plans to build another similar facility elsewhere in Bulgaria.
Minister Nikolov also highlighted the potential future collaboration between LB Bulgaricum and the Japanese company Meiji, which may include the establishment of a scientific research laboratory in Sofia. This partnership is expected to direct the management team of LB Bulgaricum towards new goals, further cementing the company's prominent role in the Bulgarian economy.
To achieve the necessary upgrades in production equipment and working conditions, LB Bulgaricum, in conjunction with the Ministry of Economy, will leverage the Strategic Implementation Plan of the Common Agricultural Policy and explore additional European funding opportunities. The renovation, set to begin this autumn, will be executed in phases, starting with the cold storage rooms and warehouses. Additional work includes repaving the alleys leading to the workshops and the parking lot in front of the administration building.
Next week, a technical review aimed at enhancing energy efficiency and reducing electricity costs will be conducted. The review will explore the feasibility of transitioning some of the work processes to photovoltaic power.
Moreover, there will be investments in the smooth integration of new production equipment for the processing of fresh milk, cow butter, and processed cheese. Maintenance contracts have been renewed for the air-conditioning units, shop windows, and the technical infrastructure across all chambers of the Vidin facility.
In line with its commitment to employee welfare, LB Bulgaricum has already implemented a 10% salary increase for production workers, effective retroactively from May 1, 2024. Minister Nikolov also announced that further discussions are scheduled for September to consider an additional 20% wage increase, following an agreement reached during a meeting with trade union representatives.
These renovations and strategic investments underscore the Bulgarian government’s commitment to modernizing state-owned enterprises like LB Bulgaricum, ensuring they remain competitive and continue to contribute significantly to the national economy.
To achieve the necessary upgrades in production equipment and working conditions, LB Bulgaricum, in conjunction with the Ministry of Economy, will leverage the Strategic Implementation Plan of the Common Agricultural Policy and explore additional European funding opportunities. The renovation, set to begin this autumn, will be executed in phases, starting with the cold storage rooms and warehouses. Additional work includes repaving the alleys leading to the workshops and the parking lot in front of the administration building.
Next week, a technical review aimed at enhancing energy efficiency and reducing electricity costs will be conducted. The review will explore the feasibility of transitioning some of the work processes to photovoltaic power.
Moreover, there will be investments in the smooth integration of new production equipment for the processing of fresh milk, cow butter, and processed cheese. Maintenance contracts have been renewed for the air-conditioning units, shop windows, and the technical infrastructure across all chambers of the Vidin facility.
In line with its commitment to employee welfare, LB Bulgaricum has already implemented a 10% salary increase for production workers, effective retroactively from May 1, 2024. Minister Nikolov also announced that further discussions are scheduled for September to consider an additional 20% wage increase, following an agreement reached during a meeting with trade union representatives.
These renovations and strategic investments underscore the Bulgarian government’s commitment to modernizing state-owned enterprises like LB Bulgaricum, ensuring they remain competitive and continue to contribute significantly to the national economy.
