Peat extraction and processing company “Laflora” has concluded its 2023 peat extraction season, having harvested 105 thousand tonnes of peat, a volume sufficient to meet customer demand for horticultural peat and maintain current prices for peat substrates on the local market.

The company’s turnover reached 24.4 million euros in the first ten months of 2023, while investments in company development this season exceeded 2 million euros, double the figure from last year. Investments were made in peat extraction infrastructure, including the extension of the road network in the Drabiņi bog in Jelgava municipality by 1 km, the purchase of new equipment, and the expansion of the finished product storage area at the peat substrate facility. Several scientific studies were funded. Additionally, 47 ha of degraded land were acquired for renaturalisation – to restore biodiversity and create carbon sinks to offset operational emissions, as provided for in the “Laflora” climate neutrality strategy.

This year, a licence was obtained to develop new peat extraction fields in the northern part of the Kaigu bog in Kalnciems parish covering 125 ha, where preparatory work for peat extraction has commenced. Given that peat extraction has been completed and recultivation has begun in some areas of the Kaigu bog, the new extraction sites will help compensate for peat extraction volumes and preserve existing jobs.

Exports of peat products produced by “Laflora” have increased slightly (+2.6%) compared to the first ten months of the previous year, reaching 6,116 export shipments. The company exports approximately 90% of its products to 40 countries. Two-thirds of export markets are in European countries, and although exports to Europe are proportionally lower than in previous years due to economic stagnation processes there, as well as a willingness to yield to ideological dictates, which affects the market and competitiveness, this is offset by a significant increase in exports to Asian countries, primarily China and Korea. The volume of exports to China has doubled compared to 2021, when this trend became pronounced.

During this extraction season, a record number of employees was reached – 446 staff members, including 76 students from Jelgava and the Jelgava municipality, as part of the “Laflora” local community support initiative.

“The company ““Laflora” has placed emphasis on sustainability issues for the company and the sector over the past year, evaluating risks and dependencies. If there are risks, there are also opportunities, and that is precisely why we look at our operations and impacts holistically, setting short-term, medium-term, and long-term goals. In the short term, we have already taken active measures to reduce our environmental impact by streamlining and modernising production processes with digital tools, as well as peat extraction and processing technologies. To achieve medium-term goals, projects have been initiated and will continue in collaboration with universities and scientists, involving renewable energy, technology research, and transfer for the production of innovative products, as well as the recultivation of extraction sites for carbon sequestration and the cultivation of paludicultures, which will be an element of the circular economy cycle at “Laflora” in the long term and will positively impact the local community and the region.
Always, but now more than ever, we are responsible for our business strategy and transformation plan, placing emphasis on the company's values – people, due care for the environment, product quality, and safety, which is known to every one of our customers,” says Uldis Ameriks, head of “Laflora”.

“Laflora” is one of the largest peat extraction and processing companies in Latvia, producing peat substrates for horticulture, forestry, and agriculture since 1995. The company’s turnover reached 31.6 million euros in 2022, with 292 permanent employees, while the number of staff exceeds 400 during the peat extraction season. “Laflora” conducts peat extraction in three bogs – the Kaigu and Drabiņi bogs in Jelgava municipality and the Nīcgale bog in Augšdaugava municipality – covering a total area of 2,059 ha.