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Cairngorms timber firm to create seven new jobs with £1.5 million expansion

Forklift truck at Russwood
Russwood will take on seven more staff with expansion. Image: Russwood

A Cairngorms timber manufacturing firm is looking to increase sales by £5.3 million and create seven jobs, thanks to a £1.5m expansion plan.

Newtonmore-based Russwood said the investment would boost its storage and manufacturing capability as well as grow sales by 50%.

Information filed with Companies House shows Russwood posting turnover of £10.7m for the year to March 2022, with pre-tax profits of £1.9m.

The firm said it was looking to source other timber as Siberian larch supplies fall.

Tree logs
Russwood has supplied timber across the UK for 30 years. Image: Mark Baker/AP/Shutterstock

The company’s expansion has been backed by a £180,000 grant from the Highlands and Islands Enterprise (HIE) green jobs fund, aimed at supporting jobs that produce goods or services which benefit the environment or conserve natural resources.

The business has supplied timber flooring, cladding and decking products to domestic and trade sectors across the UK for more than 30 years.

Russwood will use the extra funding to expand the storage and finishing building by 80%.

Around 60 people are employed at Russwood’s office and production facilities, which include the sawmill, planning mill and coating site.

Forest
All Russwood timber is FSC-certified. Image: Forestry and Land Scotland.

The project will be completed in two phases. The first is being supported by HIE through the Green Jobs Capital Fund as the positions created produce goods that conserve natural resources through the use of Forest Stewardship Council (FSC) timber and will involve making production processes more environmentally friendly.

The new space will also support technology and software required to improve staff efficiencies, and will back the company’s plans to recycle waste into packaging for e-commerce orders.

All Russwood timber is FSC-certified, meaning it is sustainably sourced, with the business using only materials from renewable sources and recycled or recyclable materials where possible.

Investment to support low-carbon projects

The Green Jobs Capital Fund supports businesses and social enterprises to create and retain jobs that produce goods or services that benefit the environment or conserve natural resources.

Employment Minister Richard Lochhead said: “Russwood’s plans to create new jobs in Newtonmore through its sustainable expansion is great news.

“The Green Jobs Fund provides investment to businesses in Scotland to create and maintain jobs that support low-carbon products and services, and contribute to meeting the Scottish Government’s net-zero ambitions.”

HIE head of regional development for Inner Moray Firth Juan Paulo Rodriguez said: “Russwood is an important local employer in Newtonmore and contributes to the region’s economy.

Richard Lochhead
Employment Minister Richard Lochhead. Image: Jason Hedges/DCT Media

“The company is embarking on the next stage of growth by using innovation, new technology and reducing carbon emissions as we move towards a net-zero economy.

“The project is also about creating more good quality, well-paid manufacturing jobs in the region.”

Russwood has received previous support from HIE, taking part in 2019 in the pilot DataPath programme to help with planning and data-informed decision-making.

Managing director John Russell also attended HIE’s Accelerated New Product or Process Development programme, which provided a platform to engage with innovators in Highland business.

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