Value creation at Bergs
What does Bergs do?
Bergs’s business concept is ownership and development of companies that produce and sell processed timber products to discerning customers in selected markets.
The Group consists of nine subsidiaries in four countries, ten manufacturing units, around 50 showrooms and 29 per cent ownership in Wood Tube, a development company.
There are roughly 1,500 employees in total.
The various Bergs subsidiaries provide high-quality wood products to customers with exacting demands, primarily in Europe. Customers comprise the construction trade, industrial companies, and private individuals who build, develop or renovate properties or other wood constructions. A large portion of production consists of made-to-order windows and doors.
Long service life
Most of the Group’s products are constructed and manufactured to last for a very long time.
Products from the Group’s companies often have properties that allow them to replace alternatives made of steel or concrete. This means that CO2 stored in wood stays there as long as the construction remains standing.
Events in 2022
Around 70 per cent of the Group’s deliveries originate from responsibly managed forests in the Baltic Sea region.
In 2022, deliveries from Russia and Belarus stopped owing to sanctions. This has meant that these volumes are now procured primarily from Latvia, Estonia, and Sweden.
Sustainability in the supplier chain
Bergs’s various suppliers have an important role in the value chain. As a significant client for input material for in-house production and various services, Bergs has both a responsibility and an opportunity to set requirements related to sustaina- bility. For example, suppliers are encouraged to comply with the company’s Code of Conduct. The Group and its various subsidiaries aim to collabo- rate closely with business partners over the long term so as to promote sustainability together throughout the value chain.
In 2023, Bergs will develop its efforts with the various supplier chains for the purpose of obtaining written commitments from strategic suppliers pertaining to the Group’s Code of Conduct.
Sub-suppliers for Bergs are a combination of private and state-owned forest owners as well as raw materials agents who supply the Group’s sawmills, wood protection facilities, and pellet factories as well as supplying other raw materials for the manufacture of windows, doors, buildings and garden products.
From these various suppliers, Bergs’s subsidiaries purchase goods and services at an aggregate value of SEK 2,500 million. The distribution by volume is as follows:
Turnover volumes in 2022 (Previous year in bracket)
- Wood: 614,373 m³fub) (776,310 m³fub) (round timber)
- Wood: 327,897 m3sv (429,820 m3sv) (sawn/planed)
- Sawdust: 124,218 MWh (81,605 MWh)
- Wood shavings: 35,917 (37,657) dry tonnes
- Other: 1,776 (1,990 tonnes) (insulation, plastic, steel/aluminium/paints and chemicals/
- Diesel: 1,166,142 litres, of which 130,172 sourced as fossil fuel-free (1,409,029 litres, of which 254,892 sourced as fossil fuel-free)
- Electricity consumption: 46,349,348 kWh, of which 29,795,7677 kWh sources as fossil fuel-free (49,234,512 kWh, of which 29,650,507 kWh sources as fossil fuel-free)