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The company’s new factory in the Swedish town of Vaderstad is expected to open in 2024.
While there have been good results for the global machinery manufacturers during the Covid period, there are some signs of a slowdown.
The reasons cited include raw materials and component supplies, rising production costs and long lead times.
Reassuringly, many manufacturers seem to see a positive future, either by acquisition, or expansion of their existing facilities. Many are investing huge sums to increase production capability and efficiency by incorporating the latest technologies.
One such company to do so is Vaderstad which has recently acquired the inter-row interests of Thyregod to enter the mechanical weeding sector. The company has now embarked on a factory expansion of 12,600 square meters (2.9acres) in the Swedish town of Vaderstad.
This increase in production capacity is said to meet the aims of increasing production to 10,000 machines annually by 2028. The decision to invest is no doubt driven by increased demands for its products in recent years that has seen turnover increase from €237m in 2017 to €550m in 2022.
This new investment, on the tail of investments in new buildings during 2021 which amounted to €11 million, is due to be ready for use by 2024 and will be complemented by the expansion of the current production area.
The expansion will see two 6300 square metre halls added and connected to the existing factory, creating a total production area of approximately 70,000m² (16 acres). The extra space will create room for manufacturing and painting, alongside a more efficient flow through the factory for current and future ranges of machinery.
The Swedish Vaderstad facility currently produces machines for all global sales regions. This is except for North America, where production facilities are located at Langbank in Canada, and Wahpeton, US.
Väderstad’s tillage and seeding products are imported and distributed by the Palmerston North head-quartered Norwood Group.
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