Economy MinisterVladimir Kavarić hosts Executive Director of Toscelik Nikšić Guray Guzeler

Podgorica, Montenegro (5 September 2016) -- Minister of Economy Vladimir Kavarić hosted Executive Director of the Toscelik Nikšić Guray Guzeler and member of the Board of Directors Erkut Alkaya, with whom he discussed the current situation in the company and plans for the future.

Representatives of the company underlined that the claims on closure of the factory are "tendentious", corroborating this with information about investments - so far, in addition to EUR 15.1 million for the purchase of assets, about EUR 12 million has been invested, and in the next three years, the Turkish partners plan to invest another EUR 24 million.

"New lathes for machining have been installed, which doubles the capacity, foundations have been built for a new rotary furnace and new cranes have been purchased. Latest investments are worth about EUR 500.000.  Rotary kiln fully upgraded the technological process, there are big energy savings, potential delays are avoided and capacity of the Forges has been increased from 1,000 to 2,700 tons of machining and finished goods,” Guzler and Alkaya of Toscelik Nikšić told Minister Kavarić.

They also denied the allegations of a minimum production.

"Monthly production is at the level of about 3,000 tons of high-quality steel. Next year's production is expected to amount to approximately EUR 50 million. Upon completion of the investment, the company plans to produce about 240,000 tons of finished goods and high-quality steel,” the Toscelik's representative explained.

Economy Minister Kavarić showed particular interest in the issue of workers in the company. According to information obtained from Mr Guzeler, the company currently employs about 330 workers, of which 144 have a contract for an indefinite period. New investments in the modernisation of the Steel Plant will create conditions for employment of up to 550 workers. Employees receive regular salaries, all the taxes and contributions to the state are paid, as well as vendors and contractors, the company's representatives state.

Minister Kavarić stressed that all issues should be resolved within the institutions of the system and the competent authorities. By the same token, he underlined that the Labour Inspectorate will make a final decision, given the current complaints about employment and further work in the company.