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History

VMG group was established not long ago, but its largest company SC “Klaipėdos mediena” is functioning since 1899. Klaipėda (Memel) seaport was the main trading place of wooden products in the Baltics since the middle of 18th century. Klaipėda then belonged to Germany. German businessmen had foreseen a great potential for wood processing industry in this region.

“At the end of 19th century, two big industrial companies were opened in Klaipėda. In 1898 F. Kraus (Friedrich Kraus, coming from Frankental) initiated an opening of wood processing stock company (Aktiengesellschaft für Holzbearbeitung). The company was designed to produce cigar packages from layer glued plywood and its capital amounted to 250 000 marks. The company was built in the spring of 1899 in the neighbourhood of Luize mansion (Luisenhof.) The first few years of operations were fruitful and in 1902 production capacity was extended. New sawmill for processing of the semi-round timber (black alder) was built in the same year. Efficient conjunction encouraged further expansion: in 1905 new equipment was installed and the company began production of industrial glued plywood. In the very beginning the company was processing over 5000 m³ of wood every year in 1907 it increased to 35 000 m³, and in 1913 the capacity reached 36 000 m³.” (source)