Lithuania-based straw panel maker Modulina is taking a "sustainable entry" approach to the Ukrainian market, looking to raise brand awareness before setting up a production line in the country, said Kateryna Pylypchuk, the company's strategic business development advisor.
"In this way, you do not need to risk your money," Pylypchuk said in an interview with Ukraine Rebuild Newswire.: "We understand that the role of a communicator, educator, mindset changer is the role of such companies as Modulina. This is the main thing we have to do in each market we enter because we are growing the new generation of clients for the new building materials."
For Modulina to establish production in Ukraine, it needs a proven track record of sales or contracted amounts or a partner who takes on the risks, Pylypchuk said.
Modulina's pilot project in Ukraine will result from the Rebuild Green Hackathon 2024 winning project. The hackathon, which kicked off on Saturday, aims to promote sustainability in the reconstruction of Ukraine by giving participants a chance to develop projects that focus on biomaterials and eco-friendly technologies. Modulina will donate its straw panels to the hackathon's winning project.
The donated material will be brought from Lithuania, Pylypchuk stated, adding that Modulina would set up a mobile factory in Ukraine if a project requires it, which would reduce risks and allow for the use of local raw materials.
"Mobile factory is one of the solutions we have developed for entering the Ukrainian market and utilizing the Ukrainian raw material because we understand how important is to use the local straw," Pylypchuk said.
Asked whether the end of the war in Ukraine would speed up Modulina's decision-making on establishing production in the country, Pylypchuk said the company's plans are not strictly tied to having the highest level of security.
"It can be done even earlier, if we have enough understanding that it is worth it to have a factory now and to produce the big amount of straw, if it is required or ordered by the municipalities or private companies in Ukraine," Pylypchuk concluded.
