The Hungarian unit of US-based suitcase maker Samsonite is undertaking a HUF 1.5 billion expansion at its base in Szekszárd (SW Hungary) to meet growing global demand for its products, Samsonite Hungária told MTI on Thursday.
Samsonite Hungária is building a more than 1,800sqm production hall and an almost 4,000sqm warehouse. It is also modernising its existing 8,788sqm of production space and offices.
The unit won a HUF 306 million grant from the New Széchenyi Plan to support the HUF 765 million expansion and modernisation, expected to be completed by the end of October.
Samsonite Hungária will make new hires to man the new capacity.
Samsonite is also spending HUF 780 million on two new moulding machines.
The unit expects to turn out an annual 572,000 suitcases this year and next year, up from 420,000 in 2010 and 91,000 in 2008. The company has hired 150 workers, bringing total headcount to 365.
Samsonite Hungária expects revenue this year will double from HUF 4.8 billion in 2009. Last year, the company had revenue of HUF 7.8 billion.