Czech container glassmaker Stölzle-Union is investing a total of €700 million in its Hermanuv Mestec factory, which will raise production capacity by 65% and sales in the second semester of 2010 by 20%.

The investment is the plant’s largest since 1992, when it was taken over by parent company Stölzle-Oberglass, according to its spokesperson, Petr Bohác.

In December 2009, production at the factory was affected by a fire and only partly resumed in July 2010 (fully in September 2010). As a result of the damage, the company had to build a new melting furnace, which has a capacity of 140 tons – 60 tons higher than its predecessor.

By November 2010, the plant will begin manufacturing 700 million amber glass containers per year, which it supplies to distillers as well as the pharmaceutical industry. Another 20 employees will reportedly be added to its current workforce of 150 to accommodate this increase in output.

Had it not been for the blaze, Stölzle-Union reports, the investment would have taken place between 2011 and 2012.

Meanwhile, the glassmaker’s turnover for 2010 is expected to reach approximately CKr330 million (approximately €13.3 million).