We are building a factory! A new polymer recycling line for SIA “Galangal”

SIA Galangal continues to develop processing in Latvia so that more collected polymer waste is converted into recycled raw materials and returns to production as a tangible resource. This is the next step in our “waste in — product out” approach.

A project to increase recycling capacity in Latvia

Galangal SIA is implementing project No. 2.2.2.1/1/24/A/007 “Establishment of a polymer waste recycling facility at GALANGAL Ltd.”.

On April 11, 2025, a contract for the implementation of the project was signed with the Central Finance and Contracting Agency (CFLA) .

Project objective

The objective of the project is to establish an efficient and modern polymer waste recycling facility, where the packaging used will be:

• shredded,
  
• cleaned,
  
• and processed into secondary raw materials.
  

The implementation of the project will promote sustainable resource use, reduce environmental pollution and improve waste management efficiency in Latvia.

What the new line will mean in practice

As part of the project, the company plans to supplement its existing recycling process with a new recycling line, where the sorted polymer waste will be:

• cleaned,
  
• shredded,
  
• and processed into plastic pellets, which can be used in product manufacturing.
  

This means more on-site recycling and more material returning to the loop as pellets — a stable secondary raw material ready for production.

Key planned activities

To implement the project, the following key activities are planned:

• purchase and installation of waste recycling equipment,
  
• construction of a waste recycling site,
  
• implementation of public education and environmental awareness initiatives.
  

Project impact in numbers

As a result of the project implementation:

• the company's total waste recycling capacity will increase by 4050 t/year,
  
• the company's overall development will be promoted,
  
• and the capacity for polymer waste recycling in Latvia will increase.
  

Project overview

• Project: 2.2.2.1/1/24/A/007
  
• CFLA agreement: 11.04.2025
  
• Capacity increase: +4050 t/year
  
• Deadline: by April 2027
  
• Funding: Cohesion Fund co-financing
  

Funding and timeline

The project has secured Cohesion Fund co-financing. The project is scheduled for completion by April 2027.

Why this step is essential to Galangal's operations

Galangal operates on a clear principle: collected waste must be returned to the cycle at the highest possible value. Wherever possible, we recycle into material — flakes and pellets, and we also manufacture products such as “Labais Maisas” waste bags from packaging/film collected from our clients. Meanwhile, materials that cannot be recycled into pellets or flakes (such as multi-layer films and plastic mixtures) are diverted for energy recovery — we prepare fuel that Cemex uses for heat, with the ash being incorporated into cement.