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Israel-Based Shalag US Invests $16 Million To Expand Its North Carolina Manufacturing Plant

02/20/2015
Shalag US, Inc. will be expanding its production facility in Granville County, North Carolina. The expansion will create 40 new jobs over the next three years. The company plans to invest $16 million in Oxford.

The North American division of Shalag Industries Ltd., Shalag US is an Israel-based company that produces non-woven materials, for the hygienic and wipes markets. The expansion of the facility in Oxford would add a third thermo-bonding production line. The company currently has 74 employees in its Oxford plant.

“I am delighted about our continued expansion of our manufacturing facility here in Oxford,” said Jeff Harari, CEO of Shalag US Inc. “When our new line is complete and running at anticipated levels, it will increase our overall production capacity in the United States by 60 percent, and increase our entire company’s production capabilities by 25 percent.”

The main factor in the Oxford plant expansion is the company's objective to increase its range of products and reach more customers. The current plant will be enlarged and specialized equipment added for an additional production line. This enhancement will raise the efficiency of production and work processes, both on the additional manufacturing line as well as on existing lines.

The project was made possible in part by a performance-based grant from the One North Carolina Fund of up to $100,000. The One NC Fund provides financial assistance, through local governments, to attract business projects that will stimulate economic activity and create new jobs in the state. Companies receive no money up front and must meet job creation and investment performance standards to qualify for the reimbursement. The One NC Fund also requires and is contingent upon local matches.

“Manufacturing is one of North Carolina’s traditional industries that has helped build our economy,” said Governor Pat McCrory. “It’s always great to see companies such as Shalag US expand manufacturing operations and create additional jobs right here at home.”

In addition to the North Carolina Department of Commerce and the Economic Development Partnership of North Carolina, other partners that helped with this project include: North Carolina Community College System, Vance-Granville Community College, Granville County Economic Development, and Granville County.
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