Martco, LLC, parent company to timber sourcing and manufacturing leader RoyOMartin, has committed over $30 million to upgrade its oriented strand board (OSB) production facility in Allen Parish, Louisiana. This strategic investment signifies RoyOMartin's dedication to long-term growth and industry leadership.
The Allen Parish OSB plant is a cornerstone of the local economy, employing a skilled workforce of 232 with an average annual salary of $75,000. The modernization project is expected to not only retain these valuable jobs but also generate nearly 600 additional indirect positions throughout the state, according to estimates from Louisiana Economic Development (LED).
"RoyOMartin is a family-owned company with a rich history in Louisiana, spanning over a century," stated LED Secretary Susan B. Bourgeois. "We are excited to see their continued commitment to innovation and competitiveness within the crucial timber industry. Louisiana boasts a skilled manufacturing workforce that readily adapts to advancements, ensuring RoyOMartin has the resources needed to thrive in the evolving marketplace."
Enhancing Efficiency and Product Quality
The project focuses on upgrading the facility's core production equipment, specifically its Dieffenbacher hydraulic press. This includes the installation of a new press hood and the execution of comprehensive maintenance across the eight-building complex. These advancements aim to achieve a twofold benefit:
- Improved Product Quality: RoyOMartin seeks to elevate the quality and consistency of its OSB products.
- Enhanced Operational Efficiency: Modernization efforts will streamline production processes, resulting in increased efficiency.
Positioning for Long-Term Success
"The Oakdale OSB facility has been a pillar of RoyOMartin since its inception in 2007," remarked Terry Secrest, Executive Vice President of Manufacturing and Product Sales. "Over the years, it has consistently ranked among the safest and most productive OSB plants in North America. However, to maintain this position and meet growing market demands, press replacement was essential."
Secrest elaborated on the key factors influencing this investment decision:
- A highly skilled workforce
- Abundant timber resources in the region
- Proximity to major, expanding housing markets
- Louisiana's favorable economic development environment
"This $30 million investment reinforces the Oakdale mill's standing as a world-class OSB manufacturing facility for years to come," concluded Secrest.
Collaboration for Regional Growth
The Allen Parish Police Jury echoed their support for RoyOMartin's continued investment. "RoyOMartin's commitment to their Allen Parish facility is commendable," said Parish Administrator Jacob Dillehay. "Their presence is a vital economic driver for our community, and we look forward to the continued success of the wood products industry in our region."
The project also garnered praise from the Southwest Louisiana Economic Development Alliance (SWLA EDA). "RoyOMartin's modernization project underscores the strength and resilience of our region's timber industry," stated Jonathan Dean, Vice President of Economic Development for SWLA EDA. "This investment in the Oakdale facility is a testament to the exceptional workforce we have in Allen Parish and southwest Louisiana. We are grateful to RoyOMartin for their commitment to our region and their dedication to industry advancement."
To incentivize this project, LED offered a competitive performance-based Retention and Modernization Tax Credit valued at $455,400. This collaboration between RoyOMartin and local development agencies signifies a shared vision for a prosperous future within the OSB manufacturing sector.
