What does the port mean for Klaipėda FEZ companies?

From being the main reason to establish operations in Lithuania, to enabling business growth or even serving as a partner in building a more sustainable world – the Port of Klaipėda plays different but always vital roles for the companies based in the Free Economic Zone (FEZ). With one voice, the businesses of Klaipėda FEZ stress the critical importance of the port and wish it continuous expansion and improvement.

In Lithuania and Klaipėda, the port feels so self-evident that the term port city (uostamiestis) has become almost an official synonym for Klaipėda in Lithuanian language. Yet many locals barely notice their maritime gateway. However, once you try to imagine “what if it didn’t exist,” the true significance of the port quickly comes into focus: many of today’s largest and most desirable investors would never have considered the city – or even the country – without it.

According to Klaipėda FEZ estimates, about half of the exports from investors operating in the zone – worth 640 million euros last year – were physically carried out through the port. The maritime gateway is also crucial for importing raw materials used in high value-added production. For example, large PET producers such as Orion Global PET and NEO GROUP bring in more than 90 percent of their raw material via the port, although for exports they rely on land transport.

Last year alone, NEO GROUP imported and exported more than 600,000 tons of raw materials and products by sea. The port handled 95 percent of its imports and 30 percent of exports. For Lavango, a designer and manufacturer of food industry equipment, the port accounts for 80–85 percent of logistics each year, and the company notes that sea transport and timely deliveries are critical to its international operations.

Klaipėda FEZ CEO Eimantas Kiudulas recalls that more than 20 years ago both the city and the country competed mainly on price, so access through the port was crucial. For example, one of the oldest FEZ residents, Orion Global PET, part of the global Indorama Ventures group, has often stated that it chose Klaipėda largely because of the port while planning expansion into European markets. This investment, amounting to a remarkable 100 million euros between 2003 and 2006, was of major importance to both Klaipėda FEZ and Lithuania, which had just joined the EU. Indorama’s project also helped draw the attention of other international investors.

“In the past decade Klaipėda FEZ, like Lithuania overall, has changed rapidly. We now compete not on cost but with talent and ideas, new products, technologies, patents, and innovations. Yet raw materials still need to be imported somewhere and finished goods exported. Even one of our newest investors, German hydraulic systems manufacturer HAWE, mentioned that the port was a key reason to choose Klaipėda for more efficient transport routes. Another prominent newcomer, Evertis, which is investing 50 million euros in sustainable plastic products, did not directly highlight the port, but its partnership with an existing PET producer here illustrates the indirect importance. Simply put – without the port, I doubt we would have both traditional and advanced factories here,” says Kiudulas.

Everyday importance for business

FEZ companies agree on the importance of the port, though the role it plays differs. For instance, Ramūnas Tinginys, Deputy General Manager of the large biodiesel producer Mestilla, points out that the markets of Lithuania and the Baltic states are small due to population size and density. For companies competing globally, production scale and efficient ways to reach large consumer markets are essential.

“About 80 percent of our products are exported, and the most competitive way is through Klaipėda Port. In fact, most of our clients and competitors in Western Europe are based in or near ports, because in our field the supply of raw materials and products is tightly linked to maritime logistics,” says Tinginys.

Interestingly, Mestilla’s success broadens the port’s impact far beyond the coastal region: the company is one of the largest rapeseed buyers in the country, and over several decades the harvest of this crop in Lithuania has increased fivefold. In this way, the port directly affects farmers hundreds of kilometers away.

Gren Klaipėda, an energy company, has another interesting link to the port. Known for generating heat and electricity from non-recyclable waste, one would not immediately think of the seaport as Gren’s crucial operations partner. Yet Donatas Petronis, CEO of Gren Lietuva, explains that Port of Klaipėda is an essential part of their logistics chain.

“Through this port, up to 8,000 tons of fly ash – a by-product from cleaning flue gases in waste incineration – is shipped each year to Norway for environmentally safe processing. We believe both Gren and the Port of Klaipėda share the same vision: to build a clean, sustainable, and modern Lithuania. Looking forward, we see many opportunities for collaboration in innovative areas such as carbon capture, transport, utilization, and storage (CCTUS). We are convinced that together we can deliver ambitious projects that will benefit the environment and strengthen regional competitiveness,” says Petronis.

For other companies, the port has become a growth partner. Glassbel Baltic, an architectural glass producer, says that when it started nearly two decades ago, the port was not vital for daily operations, though the potential was clear. This later became important: as the company developed high-demand products and expanded to markets across nearly every continent, about 60 percent of its exports now go through the port.

On the import side, only around 5 percent of Glassbel’s raw materials arrive by sea. The opposite is true for German polymer giant Rehau, which opened a plant in Klaipėda FEZ a few years ago: about half of its raw materials are imported by sea, while most finished products leave by land.

“The Port of Klaipėda is a strategic logistics point in our operations. Before establishing in Klaipėda FEZ, this was a positive and important factor, and its value grew even more with the proximity and efficiency. Next year we plan to slightly increase the share of exports through the port,” says Rasa Povilaitytė, Head of Logistics at Rehau Production LT.

Even companies still preparing to launch operations show the importance of the port. Finegri, a talc powder producer, already imports 100 percent of its test raw material batches via the Port. According to CEO Vilma Želvienė, the company plans to import its full annual 24,000 tons of raw material through the port, while up to 70 percent of exports will also go through it.

“The port is very important to our company both for raw material imports and product exports. One of the main criteria for choosing Klaipėda FEZ was the port. It performs and will continue to perform one of our main transport and logistics functions,” says Želvienė.

For logistics companies based in Klaipėda FEZ, the port is daily bread. Tomas Rauckis, CEO of AD REM LEZ, calls it “a vital link in the company’s cargo chain,” since about 70 percent of the cargo they handle goes through the seaport.

“For imports, the port is especially important for sea containers from East Asia – China, South Korea, Vietnam, India – as well as from North and South America. For exports, Klaipėda Port plays an equally critical role, as we send cargo to Scandinavia, including Norway, Sweden, and even Iceland, as well as to other EU countries. It’s also important that many of the goods, after storage, sorting, or assembly at our Klaipėda terminals, are forwarded to Germany or Scandinavia. That’s why regular ferry connections in these directions are crucial,” says Rauckis.

According to him, the company chose Klaipėda precisely because of the port, and over time this relationship only grew: warehouse infrastructure, geography, and services expanded, along with the need for speed and sea connections.

“Today, goods from our warehouse can reach Scandinavian clients within 24 hours of an order. For us, the Port of Klaipėda is much more than a transport artery – it is a strategic partner with whom we maintain close cooperation with terminals, shipping lines, and public authorities. We share a common vision of building a modern, sustainable, and competitive logistics hub in the Baltic Sea region. Looking to the future, we see opportunities to expand green logistics, digitize processes, and enhance the region’s appeal to international business,” says Rauckis.

Looking ahead

For years, the port, the companies operating within it, and the products they create have been recognized both in Lithuania and abroad in renewable energy, robotics, engineering, and other fields. FEZ CEO Eimantas Kiudulas emphasizes that the port is not just infrastructure, but an ecosystem – a network of ideas, partners, and facilities, whose very presence in the city makes conversations with potential investors easier.

Therefore, investors wish for the Port of Klaipėda not only to improve existing functions but also to create new opportunities, boosting the city’s overall attractiveness.

“We would like the Port to maintain a strategic outlook, flexibility, and creativity – especially in realizing bold, large-scale projects. This will undoubtedly strengthen Lithuania’s position in the field of green innovations,” says Gren CEO Donatas Petronis.

“First of all, I wish for Port of Klaipėda to continue the chosen path – investing in modernization and infrastructure in order to maintain leadership among Baltic Sea ports. It is also essential not to forget digitalization: faster automation of customs and port processes and constant efficiency improvements are necessary to stay internationally competitive. Another key direction is the green transition – the Port has all the potential to become a leader among green ports in the region. Strengthening partnerships is also vital – closer cooperation with logistics operators would allow the creation of integrated, higher value-added services and expand the customer geography even further. Finally, it is important to promote broader geographical connectivity – the Port of Klaipėda can become an even stronger logistics hub, smoothly linking not only EU and Scandinavian markets but also strategically significant countries such as the UK, Turkey, or Ukraine,” adds AD REM LEZ CEO Tomas Rauckis.

“We would wish for further investments in infrastructure modernization and digitalization, as well as closer cooperation with FEZ companies to jointly create innovative logistics and sustainability initiatives,” echoes Rehau’s Rasa Povilaitytė.