Modernization of Bulgarian food factories

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PolySto, a company nominated for the Lion of Exports 2019, offers hygienic wall coverings, skirting, and kerbs to clients in the food industry, logistics, and life sciences globally. Having entered the Bulgarian market about 10 years ago, the company's Sales Manager CEE, Herwig Nollet, highlights that "the EU provides subsidies to Bulgaria to modernize its aging infrastructure."

Herwig Nollet further explains that "many Western European food companies have established production sites in Bulgaria due to significantly lower wages. Additionally, Bulgarians aim to generate more revenue from their vast agricultural lands by processing their produce domestically." These factors, combined with the strict EU hygiene standards, make PolySto's products an attractive solution for clients operating in Bulgaria's food industry.

Strict EU hygiene standards

To trade processed food products within the EU, companies must be able to present the necessary hygiene certificates. Additionally, the EU provides subsidies to Bulgarian companies to invest in modernizing their often outdated infrastructure and bringing it in line with current hygiene standards.

This is where PolySto's products become relevant. According to Herwig Nollet, "Our waterproof, bacteriostatic skirtings, wall coverings, and crash barriers for the food industry are strong enough to withstand heavy traffic and do not rot. This enables companies to comply with all required hygiene regulations."

Exclusive partner installer / Master Installer

While PolySto has its own country managers for some of the major Central and Eastern European markets, it does not have one for Bulgaria. Instead, the company has successfully collaborated with NK Technology Ltd (www.nktech.eu), exclusively for the last two years, to tap into this relatively small sales market. NK Technology Ltd has a central stock in Sofia, which is advantageous for PolySto, as it enables them to carry out cost-efficient repairs or smaller installations.

PolySto entered the Bulgarian market by exploring opportunities within its existing portfolio of Flemish and international food companies. Additionally, the company leveraged its network through Food Tech Belgium and contacts received through FIT, as well as participation in the Meat Mania trade fair.

Investments sometimes on hold

Meanwhile, the Lokeren-based company has been maintaining a stable turnover in Bulgaria for several years. Are they affected by the uncertain geopolitical situation in the order book? According to Herwig Nollet, "The success of our projects is heavily dependent on the allocation of EU subsidies for the Bulgarian market."

"Moreover, we have observed that certain companies are postponing their larger investments for the time being," he adds.

"However, we have also noticed that some manufacturers are relocating their production facilities from Russia to Romania, Bulgaria, and other Eastern European countries. This trend presents new business opportunities for us in the region."