Henkel announces new investment plans

German based producer of detergents, cosmetics, and building chemicals, Henkel, has announced plans to invest EUR 5.5 million in Poland in 2004. The funds will be used to modernize and expand the production lines in all five of its Polish plants. Company representatives however, do not want to disclose details of the investments. Henkel's sales in Poland amounted to over zł. 950 million in 2002, which represents around a quarter of the concern's sales in Central and Eastern Europe, thus making Poland its largest market in the region. The investments are a part of the company's new strategy for the area. According to Friedrich Star, the president of Henkel for Central and Eastern Europe, the company plans to invest EUR 45 million to strengthen its position and expand further East. Mergers and acquisitions will have a key role in the new plan. (Puls Biznesu, p. 15; Rzeczpospolita, p. B5) A.K.