Cikel America has planned a series of moves designed to streamline production and boost capacity for 2011.
Cikel America, the U.S.-based subsidiary of
the FSC-certified Brazilian hardwood flooring manufacturer, has announced a series
of moves designed to streamline production and boost capacity for 2011.
Cikel will close its
manufacturing facility in Southern Brazil and transfer the technology and
machinery to its northern facility in Belem, the metropolitan center of Para
State. Its offices and other functions in the south of Brazil will remain in
The news is
bolstered by Cikel’s disclosure of capital improvements in excess of USD $42
million to the northern facility - including upgrades in finishing
capabilities, infrastructure and machinery - designed to boost capacity and
production by 50% through 2011 and beyond.
With the major
increase in production due largely to the transfer of finishing machinery in
the south to the Belem facility, Cikel says it has plans to “match its new capabilities
by doubling its harvesting efforts in the same year. The transfer to the northern
facility provides additional value by moving the entire manufacturing process
closer to the source, Cikel’s 1.2 million acres of privately-owned and FSC-managed
forests in Brazil.”
The company adds
that the “overhaul in production and transfer to Belem, along with planned
upgrades to the surrounding infrastructure, will enhance logistics for Cikel
with improved access to supply and faster, more direct transportation routes