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The Company Žica d.d. as a primarily metal industry undertook a complete reorganization and reorientation of wood processing in accordance with new business concepts and changed its name to “MS & WOOD” stock company for the manufacture of furniture and trade in Sarajevo.
A new beginning was marked and an agreement with the Swedish company IKEA, which for the first order signed 1,500,000 euros, while in the next years the worth of the contract will rise to 7 million euros.
‘’We changed the name in accordance with the new strategic development of the company, which we base primarily on domestic resources and the fact that we most deal with wood. In Fojnica we have a big building of around 8,000 square meters and we placed there the production of furniture’’, said the Director of “MS & WOOD” Hrusto Tupeković for the BiH business portal ‘’eKapija.com”.
The environmentally friendly factory for wood and furniture processing in Fojnica has around 5 million KM invested in it, and until now has employed nearly 80 people.
‘’Our main job and main contract is with the Swedish IKEA. We work on delivering chairs for the American and European market’’, added Tupeković.
Tupeković says that they have been negotiating with IKEA for a long time, almost half a year, but they received the first order recently and first production has begun.
“There will be more work next to IKEA. We are cooperation with companies that deal with exporting to other markets. At the same time, we are negotiating with some other partners. Besides furniture from solid wood, we have the production of laminated furniture’’, said Tupeković, adding that the company plans for the wood industry to become the main activity and for it to dominate the total income until the end of the year.
Next to this, the former “Žica” plans another investment.
‘’On the site where “Žica” is now, we will start a gradual building of residential and office buildings in exchange for these facilties that are currently located there. We will be the investors. Construction will begin in May. We are currently finishing the project documentation, we obtained an urban permit and these days we will start obtaining building permits, so that we will have two months to begin working to collect all documents’’, concluded Tupeković.
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