(AUREA 2015 AWARD NOMINATION): Tigar Tyres - Tyre plant Big Tigar

Source: eKapija Monday, 16.03.2015. 13:57
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Tigar Tyres opened in October 2014 new tyre production department in Pirot and when the entire project is completed, the investment will total EUR 215 m. In the new section, Big Tigar, 500 people will be employed and after the project ends, by the end of 2016, the entire Tigar Tyres will have 2.700 people.

Production capacities expansion and implementation of new production program of passenger and semi-freight pneumatics will enable production scope increase by 50%. Current plant capacity of Tigar Tyres is 8 million tyres a year and with Big Tigar (when it starts functioning completely, by the end of 2016) will reach 12 million.

Production is based solely on budget tyres which will be sold under brands "tigar", "kormoran" and "riken". "Tigar" will export to Russia, European Union, Africa and Middle East.

The most modern equipment in this industrial branch has been installed in the new department. Apart from the fact that it guarantees top performance tyres, it also enables production to be pretty “clean”. Everything has been robotized and machines work the major part of the work.

With the construction of Big Tigar, the number of items produced in Pirot-based plant increased from 300 to more than 1.500. Competitive companies, for instance in their plants produce 200-250 items.

Apart from tyre production, new Pirort-based facility comprises commercial service center as well as logistics center.

INNOVATION


(Photo: Shutterstock.com)

Innovation is reflected through exploitation of local resources with implementation of positive world industrial practices for achieving of given business model.

The most modern equipment in this industrial branch has been installed in new Tigar Tyres department which, apart from the fact that it guarantees top performance tyres, it also enables production to be pretty “clean” (which cannot be expected in rubber industry). Everything has been robotized and machines work the major part of the work.

Equipping of production halls with the most modern machines for tyre productions will influence future production quality: productivity increase and production hash decrease.

Parallel with the construction of new departments, Tigar Tyres has been generating new business production and sales adapted to the idea of fast production based on customers’ orders and faster delivery of required orders until end customers worldwide.

Modern equipment and quality human resources guarantee long-term investment when it comes to quality product production, option of production of different tyre types for cars and modern trainings brings new method of work and strengthens technical and technological base of Tigar Tyres for distant future.

SOCIAL RESPONSIBILITY

With the employment of new people (500 new hires in 2013-2016), age and qualitative labor force structure will develop and at the same time, unemployment in Pirot will decrease.

The activities during the construction of new facilities engage: 20 - 30 SMEs from Pirot and surroundings (construction, craft works, electrical, mechanical works), 200 – 300 people – different contractors, accommodation and catering capacities for 400-500 employees from other parts of Serbia, 3.000 people in total. Even after the project completion, local suppliers will continue working for the needs of Tigar Tyres –even that with increased scope (30-40%), which will directly increase headcount number in these companies.

At the same time with the "Big Tigar" project, Tigar Tyres started various activities on different projects which are important for entire city of Pirot, under the slogan "Big Tigar - Big Pirot" within which different projects were implemented in 2012: traffic lights installation at Omladinski stadion (the Youth stadium), maintenance of mini-polygon for kids training on traffic safety. Projects which were implemented in 2013: traffic lights installation at the crossroads in Barje settlement, primary and secondary schools equipping with computer equipment, furniture and educational devices , funding of two-language department in Pirot-based grammar school, cooperation with city hospital (training, education, equipment, etc.) In the 2014 – 2016 period, in cooperation with the Pirot municipality, works have continued on similar projects: signalization, road maintenance around schools, cycling paths, education of kids with respect to traffic safety, medical equipment.

As for the project environmental impact, for the needs of the project, the Environmental Impact Assessment was done and in line with it field remediation has been done. Based on the study, rehabilitation of old landfills which represent old historical land pollution has been in progress.


FINANCIAL POTENTIAL

The project at the level of Tigar Tyres implies conquest of new program of passenger and semi-freight pneumatics and at the same time expansion of existing production capacities from 8.000.000 pieces of tyres in 2013 to 12.000.000 pieces of tyres until 2016 (i.e. production increase of 50%).

With the construction of Big Tigar, the number of items produced at Pirot-based plant increased from 300 to more than 1.500. Competitive companies, for instance in their plants produce 200-250 items.
and there are competitors which produce 1.500 items but not only in one plant.

The project totals EUR 215 m in the 2013 – 2016 period. The project overcomes the local meaning and represents significant inflow of funds at the level of the Republic of Serbia, especially in 2014 by a renowned world investor. More than half of the total investment comprises local suppliers. In other words, everything available at the RS market is used during investment implementation: design and construction of new facilities, procurement of some machines, design and construction of infrastructure and supplementary facilities, different kinds of services. Only production machines which are not produced in used in Serbia are imported.

The entire production scope increase at Tigar Tyres is planned for export. The existing Tigar Tyres tyre markets are EU countries as well as other countries worldwide which significantly improves foreign currency payment balance of the Republic of Serbia and through different taxes returns the Republic of Serbia support very quickly.


In case your favorite for the investment of the year is Big Tigar, you can vote at the official Aurea award website. .

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