Bulgarian business last in innovations The Bulgarian business is last in innovations in Europe, a specialised survey of Eurostat shows. Only 16% of Bulgarian companies have introduced innovative products or services or implemented more efficient production processes. In Romania, the share is 20%. More than 42% of the companies in the industrial and service sectors in EU-27 implemented innovations in 2002-4. Germany is first in innovative products and processes (65% of companies), followed by Austria (53%), Denmark, Ireland and Luxembourg (52%), and Belgium (51%). Eurostat's rating data also show that the towns and villages in Bulgaria, Romania and Poland are the poorest in the EU. Three of 15 regions in grave economic depression are in Bulgaria.
Source: Pari (01.03.2007)

New Contract for Ficosota Syntez Naftex Engineering JSC launches the construction of a workshop for manufacture of hygienic products of Ficosota Syntez Ltd. in Shumen. The new building will provide manufacture of sanitary materials in compliance with the effective legal requirements by Bulgarian and European standards. The workshop is situated on an area of 1800 square meters and the civil works are expected to be completed in September this year.
Source: Company information (18.03.2007)

Ficosota, the Shumen-based maker of household heating appliances and water heaters, said it has rebranded itself to Tesy to take advantage of the overwhelming success of the eponymous product line. The company said it invested over BGN 4 mln in the promotion of the Tesy brand over the past four years. The campaign was so successful that the brand recognition for Tesy dwarfed the popularity of the parent company name. In addition, there is the confusing association with Ficosota Syntez, a local producer of house cleaners which is not related to Ficosota in any way. The Tesy brand is registered in 48 countries, including Russia, the Ukraine, Romania, Serbia, Denmark, Argentina and Japan. The company ships water heaters to 20 countries and heaters to over 50 countries on 5 continents. The company plans to expand by the end of 2007 the market share of the Tesy brand in Western Europe, the Middle East, Tunisia, Algeria, Morocco and Libya. Sales of water heaters are projected to increase by 30 per cent in 2007 while heaters are expected to gain 20 per cent. Tesy plans to build a new plant for the manufacturing of water heaters with capacity exceeding 150 liters. The blueprint for the plant should be ready by the end of the year with construction due to kick off in early 2008. Tesy ranks among the 6 biggest producers of water heaters in Europe and is among the continent's biggest producers of heaters. The company produced 622,000 devices in 2006.
Source: Dnevnik (09.05.2007)

Fast-moving consumer goods manufacturer Ficosota Syntez recently established a trade subsidiary in Belgrade. Serbia is the next market targeted by Ficosota. The company is not just an exporter, it has also been investing in the setting up of own structures in neighbouring countries with the purpose of marketing its brands. Ficosota's sales in Romania, Macedonia, Moldova and Ukraine have been successful over the last few years. The company withstood the competition of global brands such as Procter & Gamble and Unilever both in Bulgaria and in the neighbouring countries. Ficosota accounts for 10% of the soap market in Romania. The company also manufactures the best selling bleach brand in Ukraine. Ficosota acquired a sanitary pads manufacturing facility in Ukraine. The company also plans to buy a detergent producing facility in Ukraine and to start distributing its products in Kosovo, Albania and Bosnia by the end of 2007. Ficosota Syntez is the most rapidly developing producer of fast-moving consumer goods not only in Bulgaria but in Eastern Europe as well, according to Krassen Kyurkchiev, manager of the company. Kyurkchiev and all Ficosota employees refer to the company as FS, which actually stands for 'fast and smart' and describes the development strategy of the company. FS has registered a remarkable double-digit growth in sales over the last few years. The company posted BGN 75 million sales for 2006, up 58% year on year. The turnover of the company registered a 40-percent year on year increase as at the end of April 2007 and is expected to top BGN 100 million by the end of the year. The domestic market accounts for the bulk of Ficosota's sales, followed by Romania and Ukraine. Ficosota plans to invest EUR 20 million in 2007 as part of its expansion strategy. Invest,ents will be aimed mainly in the output expansion, advertising and establishing of new brands.
Source: Pari (23.05.2007)

Bulgaria-based Ficosota Synthes LTD registered 58% sales growth in 2006, which strengthened its positions as a leader in the field of fast-circulating goods. Last year the company registered the biggest turnover among the companies producing detergents in Central and Eastern Europe totalling BGN 76 mln. ‘The plan of Ficosota Synthes is to reach BGN 32 mln of investments in 2007 on the markets the company operates on. The investments will be allocated into different operations as we invest BGN 17 mln solely in the sector of hygiene and tissue products for one time usage’, commeneted Krasen Kyurkchiev, manager of Ficosota Synthes. The company produces food products through its subsidiary Ital Food Industry JSC.
Source: Other (10.07.2007)

Ficosota Syntez, the Bulgarian fast-moving consumer goods manufacturer, is launching two new products on the market: toilet paper and nappies. The products will be made in Shumen, the equipment has been already delivered. The new brand of toilet paper will be presented within a few months, the manager of Ficosota Syntez, Krassen Kyurkchiev, said. The nappies will appear on the market next year. The company is a leader in the production of detergents in Bulgaria and will rely on its experience to successfully market its new brands. Ficosota Syntez operates on eight markets in Southeastern Europe and holds 14 own brands. The company plans to invest BGN 17 million in disposable personal care products in 2007. The amount includes the two lines for Everbel sanitary pads that were installed recently. The company has three main lines of business: washing detergents, personal care products, and snacks. Nearly BGN 32 million will be invested in all three areas by this year's end. In 2008 the company plans to develop joint production of washing detergents in Ukraine and will invest some USD 4-5 million in it.
Source: Pari (11.07.2007)

Ficosota-Syntez, the Bulgarian maker of foods, household cleaners, body care and laundry products, said it will invest BGN 31.5 mln in new production facilities in the remainder of 2007. The investment spending will bring the number of Ficosota factories to six, all based in Shumen. The biggest chunk of the investment resource - BGN 17 mln, has been earmarked for the construction of a new factory for toilet paper, sanitary towels and diapers. The four production lines of the new factory will be operational by the end of 2007. A further BGN 7 mln have been invested in a new factory for snack foods. The capacity of the Ficosota soap production will be boosted on BGN 2 mln while BGN 5.5 mln have been set aside for expansion of the company's storage facilities. Ficosota Syntez has forecast turnover of BGN 115 mln for 2007. Last year, sales climbed to BGN 76 mln, up 60 per cent over 2005. Earnings before taxes, depreciation and amortisation topped BGN 5 mln in 2006 and should jump to BGN 10-12 mln in 2007, said the company. Abroad, the Ficosota brands are marketed in Romania, Moldova, Serbia, the Ukraine, Macedonia, Albania, Kosovo, Montenegro and Bosnia. In addition to Shumen, the company has production operations in Sofia and in neighboring Serbia. In 2008, Ficosota plans to build a factory in the Ukraine with a local partner. The cost of the project is seen at USD 13 mln with the Bulgarian company contributing USD 4-5 mln.
Source: Dnevnik (11.07.2007)

Bulgarian foodstuff maker Ital Food Industry opened a new production unit in Shoumen, the parent company Ficosota Synthes announced. The project is a joint investment of the two companies and is to the value of BGN 8 mln. The building spreads on 6,500 sq.m, and the designs sees store areas, service premises and offices. The new factory will have three production lines. The newest one is 100% automated and is set for the production of the company’s first pastry – the Franka waffle
Source: Monitor (23.10.2007)

Two snack manufacturers, Lachita and Ital Food, have opened new production facilities. The owner of Veliko Tarnovo-based Lachita, Ivaylo Lyubenov, has invested EUR 15 million in a factory for biscuits and crackers. The green-field project is built on 7,000 sq. m in the city's industrial zone. It is equipped with the biggest production line in Bulgaria with an output capacity of 40 t a day. Currently 200 people are employed in the factory, another 200 jobs will be opened within two years, Lyubenov said. Shumen-based Ital Food Industry has opened a BGN 8 million factory in cooperation with its majority owner, Ficosota Syntez. The facility is equipped with three fully-automated production lines. Besides its well-known brands Bruschetti Maretti and Kubeti, the company will start manufacturing its first candy product, Franka. Ital Food sells about 30% of its output in Bulgaria, the remainder is exported.
Source: Pari (23.10.2007)

Ital Food Industry opened a new factory Bulgarian producer of food products Ital Food Industry JSC opened a factory for food products in Shumen. The project is implemented jointly by Ital Food Industry and the parent company - Ficosota Synthes LTD, and nearly BGN 8 million were invested. Naftex EngineeringJSC was the chief executive on the building, extending on 6,500 sq.m., which provides areas for storage, service facilities and offices. The new factory has three production lines. The latest line is 100% automated and is designed to produce the first sweet product of the company – the waffle Franka. The other two lines produce Bruschetti Maretti and Kubeti and are 80% automated.
Source: Company information (18.12.2007)