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Doosan Case Study : Timber Yard

A former Soviet airbase, an hour east of the Estonian capital of Tallinn, is possibly not the first place you'd go to when looking for a materials handling success story, but in the town of Tapa, that's precisely what you'll find.

The Tapa Mill is a 4.5 hectares site processing 63,000 cubic metres of wood a year, mostly grown in Russia for eventual sale to local Estonian businesses, as well as the Benelux countries, Germany and France.

It would be difficult to imagine a more dramatic change in fortunes for what was once one of the largest airbases in the Baltics and home to the Soviet Voyska-PVO, or Air Defence Corp.

The Soviets were quick to exploit the town's important rail links, constructing a huge crane for unloading weapons, a feature which attracted the mill's MD, Kalle Valdlo, to the site.
"The rail link is important," says Kalle, "with 70 percent of our timber coming in from Russia. The crane too is very strong, but no-one gave much thought to operator comfort - or safety for that matter!"

Estonia itself was one of the first former Soviet republics to break away, with organised mass dissent in 1987, when the government demanded autonomy.

Until then, according to Tapa's mayor, Soviet pilots at the airbase, judged on how many hours they flew by how much fuel they used, dug pipes into the ground and poured the kerosene for their fighters down into the water table, making the water undrinkable. So much kerosene went into the drinking water in fact, that after the Russians pulled out, the town was able to pump up the groundwater and burn it in their power plant to heat the town.

You get the impression that a few transportation difficulties wouldn't stop the Estonians one bit.

"Six years ago when we founded the business, there were still many obstacles to overcome," says Kalle. "The military's thinking was to not think about things too much. There was available territory, concrete roofing, railroad - that's it. The rest was up to us."

And now, timber processing and logistics is what it is all about, which means the Doosan forklifts are an essential item.

"You can't get it done without forklifts. Sometimes we have a lot of snow and need the steer loader for clearing, but the forklifts are in constant use. Service is the most important thing to us, and secondly - simple things - we need the trucks for lifting from A to B. Things like air conditioning and fancy electronics are secondary. We are not interested in doing anything but driving, and we don't want to be constantly repairing our own fleet."

The responsibility for the upkeep of the trucks belongs to Daelift, the authorised Doosan distributor in Estonia, and one of Doosan's fastest growing dealers in Europe.

Daelift's MD, Krister Lepp, believes the trucks are ideally suited to the hard application at the mill. Says Krister: "We've been successful here because of the simplicity of the machines, the cost and the reliability. It's the combination of all three that appeals to Estonian businesses like Tapa Mill."

Despite the benefits, the choice of Doosan was, as Kalle puts it, a "risky decision" as the brand wasn't so well known, but six years on, he's more than satisfied with the outcome:

"We started with 2 trucks and built from there. Every truck has advantages and disadvantages but generally we're very satisfied. We have a concrete floor that helps, but we had holes in it, which makes it harder on the trucks."

"It is quite a tough application and the trucks have proved strong enough, in fact, we've had no problems, engine or otherwise, after 20,000 hours which is a pleasant surprise. The trucks are strong enough and, compared on price and quality, absolutely the best available. Can it do the job? Yes, absolutely."

So, in an exciting time for Tapa and for Estonia in general, the future is looking good.

"It's very exciting times," concludes Kalle, "because things are more normal. The only option is to work and go on and make things happen as fast as you can. You can easily see there's still lots to do, to catch up. But there's more decision making here, we are more reliable and we make it easy for others to do business with us."

Related Links



Do you take plastic?

Timber pallets and packaging producers face a tough winter as shortages in the supply of timber begin to bite and buyers push up demand for plastic alternatives, according to goplasticpallets.com.

In just eight weeks this summer, the industry reeled under a price rise of more than 20%. The news comes as a further blow to an industry which has already suffered as a result of the introduction of ISPM 15 regulations.

The latest problem has been caused by increased demand throughout continental Europe. The UK has suffered more than most because the shortfall has been met by diverting supplies, currently fulfilled by Baltic countries, to mainland Europe.

Jim Hardisty, managing director of goplasticpallets.com, the UK’s fastest expanding supplier of plastic pallets says: “Sustained price increases are now pushing up the price of wood pallets and packaging. Not surprisingly, buyers are looking at ways to contain costs and plastic pallets offer a serious return on investment.”

The latest offering from goplaticpallets.com proves the point. High-quality pallets ideal for repeated long-term use are being produced in a super strong one-piece design (800 x 600mm and 1200 x 1000mm) with open or closed top decks.

“These products have a life expectancy of at least ten to fifteen years, five times longer than wooden pallets,” says Hardisty.

Timber Terms

Ever wondered what FLEGT stood for? Or TTAP2? Perhaps you have wondered what BREEAM was (it is not a fish!). The Timber Trade Federation has this week come to the rescue with publication of a Glossary of industry terms.
Clean Sweep

Cut costs, prevent breakdowns, improve hygiene. Sounds like a job for a floor sweeper... Find out how they work? read more
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