Estonia’s Most Powerful Peat Production Facility Opens Near Pärnu

In Nurme village, Pärnumaa, ASB Greenworld has opened its new peat substrate production facility. Thanks to the additional factory, which cost 6 million euros, the company will now export only value-added peat to foreign markets.

The new plant will have a production capacity of 500,000 cubic meters per year, increasing the company’s total peat processing capability to one million cubic meters annually. This accounts for one-third of the total volume of substrates produced in Estonia last year. It also makes the new factory the largest in Estonia in terms of production volume.

According to the company's CEO, Jüri Tiidermann, the demand for peat is on a strong upward trend, which is why building the new plant was part of the sector’s broader goal to increasingly add value to local resources within Estonia.

"Demand for peat is expected to at least double by 2050, because, figuratively speaking, peat helps grow all the food essential for life. Investments in higher-value processing allow local companies to remain competitive while also contributing to Estonia’s and Europe’s food security. Thanks to the unique qualities of Estonian peat, our peat industry is one of the highest value-added production sectors, with added value up to twice the European average,” Tiidermann explained.

He noted that the raw material for production is sourced from the company’s own peatlands as well as from other peat producers in Estonia and Latvia. According to Tiidermann, investments are also aligned with research and development efforts aimed at finding additional components for substrate blends. “Today, mixes that used to be made from 100% peat have already been replaced by mixes with an average of 70% peat content, which has helped increase production volumes,” said Tiidermann.

The growth substrates produced at the facility will be exported to international markets such as Asia, Arab countries, and South America. The company will also continue to supply gardeners in the Baltic countries.

The new ASB Greenworld facility will employ 14 people. Across the company’s entire value chain, production supports 85 jobs involving manufacturing, maintenance, logistics, and other essential operations. With the new plant, the company’s projected annual revenue will exceed 20 million euros.