Kastamonu Entegre’s Second 50-Year Roadmap: Growth in Advanced Markets Through High Technology and Sustainable Production

Kastamonu Entegre, a global player in the wood-based panel industry, is entering a new phase of growth by combining its production strength with high technology and value-added products. Exporting to 100 countries, the company aims to further strengthen its export performance in global markets in the period ahead, supported by its product portfolio and global operations network.

With its sustainability targets and circular economy focus, Kastamonu Entegre has also launched a major recycling initiative that will bring industrial waste back into the economy. Through a EUR 70 million investment, the company will restructure all of its particleboard facilities in Türkiye within two years, enabling them to manufacture using recycled and waste-based materials.

As Türkiye’s leading producer in the wood-based panel sector, and the third-largest producer in Europe and fourth-largest in the world in MDF and particleboard, Kastamonu Entegre is moving beyond volume-driven growth and aiming to increase its share of value in the new period. By integrating science and technology into its business processes, the company seeks to expand its existing exports to global markets and strengthen its position in the mid-to-upper segment. Within this strategy, Kastamonu Entegre plans to deepen its export presence, particularly through value-added product groups and sustainability standards.

With 10 production facilities in 6 countries and an annual production capacity of 7 million cubic meters, Kastamonu Entegre alone accounts for 8% of global laminate flooring production. With USD 1.7 billion in consolidated turnover and exports exceeding USD 330 million, the company continues to grow in the wood-based panel industry and plans to further expand its market leadership through its new strategic direction.

Investment with a Sustainability Focus

Positioning sustainability at the core of its business model and implementing a wide range of products and projects in this field, Kastamonu Entegre will now invest in recycling as a key pillar of its next growth phase. Already producing with 100% recycled input at its production facility in Italy, the company will transfer that experience to Türkiye and scale it across its domestic operations.

Through its new project, wood-based waste sourced from major industrial companies and organised industrial zones in Türkiye will be recycled and used as raw material for particleboard production. Under this transformation programme, the company will restructure all of its particleboard facilities in Türkiye within two years, supported by a EUR 70 million investment, enabling production based on recycled and waste materials.

As part of this model, it is projected that the share of industrial waste and recycled wood raw material within total wood raw material consumption will rise to over 40%. This approach is designed to reduce the use of natural resources while significantly lowering environmental impact by returning industrial waste to the economy.

Prof. Dr. Davut Kavranoğlu: “We are planning Kastamonu Entegre’s second 50 years.”

Commenting on the initiative, Prof. Dr. Davut Kavranoğlu, General Manager of Kastamonu Entegre, said: “In its first 50 years, Kastamonu Entegre achieved major successes, expanded globally from this region, and became a globally influential company in the wood-based panel sector. We want to preserve the strong foundations laid in the past and build on them with new achievements and new breakthroughs.

In a period where the world, industries, and economic paradigms are rapidly changing and competition is shifting both in structure and direction, we cannot remain the same or stand still. Now is the time to grow with value-added products by placing science, technology, and sustainability at the centre. Today, the world is at a critical threshold, and the global economy is moving through a narrow path. We must pass through this threshold in the best possible way and plan the second 50 years of our company.

We have the knowledge, capability, and experience to compete globally. With this accumulated strength, we want to become a decisive player in all markets, from North America to the Middle East, and from Asia to Africa.”

Prof. Dr. Davut Kavranoğlu: “Our focus is the triple transformation.”

Continuing his remarks, Kavranoğlu emphasised that no organisation can remain sustainable in today’s world if it cannot convert knowledge into added value, and highlighted that Kastamonu Entegre will move its production power further forward through quality, value, and meaning. Stating that the company’s new-period strategy is built around a triple transformation, he said:

“In this era of transformation, we must move into the future through a triple transformation by placing people and culture alongside technology and sustainability. Today, technology and sustainability have become core drivers of competition and differentiation. International regulations and the needs of today’s world make transformation inevitable.

We are a company that has been working in this area for many years, putting R&D and innovation at the centre and leading many breakthroughs. Now we will move this experience forward through more concrete steps and strengthen our competitive position. With this vision, we are adding a recycling project alongside our existing green transformation initiatives. By transferring our 100% recycled production experience in Italy to Türkiye, we will deliver work that can serve as a benchmark for the sector.

We aim to achieve this entire transformation strategy together with our workforce, stakeholders, and industry. Because we believe no transformation can succeed without putting people at the centre or considering the needs of society. We invest in people before technology, focus on the question before the answer, and prioritise purpose before tools. For this reason, we aim to achieve all of our targets by developing our employees into a more competent, technology-enabled position and empowering them to use technology at the highest level.”