Lithuania-based construction company Panevezio statybos trestas (PST) has entered into an agreement with food production business Kauno Grūdai to build a new production and industrial facility in Lithuania.

Located at Fortų Str 9 in the city of Alytus, the facility will comprise an overall area of 7,400m².

The value of this agreement is approximately €17m ($17.91m) (including VAT).

Construction works are expected to be finished 11 months on from the contract’s initial signing date.

Meanwhile, civil engineering company Bendrieji statybų projektai will serve as the general design contractor for this project.

The building’s design consists of engineering infrastructure rooms containing manufacturing and storage facilities, in addition to an amenity area and staff room.

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Grūdai intends to use the facility to manufacture several kinds of products such as instant noodles and porridges in packs and cups.

In addition, the business is planning to restore access roads, carry out landscaping work, add car parks and pedestrian routes adapted for persons with disabilities, and more within the site’s premises.

In February this year, Grūdai, which is a subsidiary of Linas Agro Group, revealed plans to invest €32m to expand its instant foods facility in Alytus.

The expanded facility is expected to generate approximately 250 to 300 additional jobs.

Kauno Grūdai also has an instant food production plant in Kėdainiai, also in Lithuania.