Hendrik Johannes Terras emphasizes that the bankruptcy proceedings for E-Piim's Paide factory aim to continue operations by finding new ownership or investment rather than shutdown.
Hendrik Johannes Terras, in his statement regarding the ongoing bankruptcy proceedings at E-Piim's Paide dairy factory, assures that the objective is not to close the dairy but to find a sustainable operational model possibly through new ownership or investment. The current financial difficulties faced by the factory, attributed to high debt burdens, do not justify the use of taxpayer funds, he argues.
Concerns surrounding the bankruptcy have naturally raised questions about the future of the factory and its essential production capabilities. Terras stresses that while bankruptcy often elicits fears of irreversible loss, the Paide dairy remains operational, and there is a consistent demand for dairy processing. The current situation is described as a restructuring of ownership and financial commitments aimed at creating a viable path forward for the facility.
The Paide dairy industry is robust, equipped with modern technology that positions it as one of Europe's advanced cheese production complexes, capable of processing up to 1100 tons of milk daily. This facility accounts for approximately 45% of the region's dairy processing capacity. Therefore, the restructuring process is meant to safeguard jobs and production capacity rather than dismantle it, highlighting the importance of sustainable recovery in the Estonian dairy sector.
