What Baltic Block does

Baltic Block is a Latvian family-owned manufacturer of composite wood components for the global pallet industry, operating from a single 9-line production facility in Sauleskalns, Madona Municipality. Its flagship product, BBlock®, is a pressed-woodchip composite pallet block made from locally sourced coniferous wood rich in natural resins, manufactured through a waste-free process that converts wood waste, firewood, and recycled untreated wood into high-performance blocks. The company's technical differentiation is supported by an in-house quality testing laboratory (daily nail durability, density, moisture resistance and formaldehyde testing) and by externally validated performance — including 5.5 kN average nail extraction resistance, 2% width and 4% height swelling after water contact, and 4.8-ton compression strength for the smallest 75x75mm block as tested at Riga Technical University. The Madona plant produces 15,000 m³ of blocks per month and ships up to 375 trucks per month to pallet manufacturers in 32 countries.

The company has expanded its product surface beyond the core BBlock® line with BBoard® pallet boards (launched Summer 2023), custom-coloured composite blocks (2022), BBrikete® wood-sawdust briquettes made from production residues, and — as of February 2026 — EPAL CP (chemical-industry) certified blocks, placing it among a handful of producers worldwide qualified for that specification. Revenue is generated almost entirely through direct B2B sales to pallet manufacturers via account managers, supported by quote-based pricing and multi-year contracts; the go-to-market combines a multilingual website (English, Finnish, German, Italian, Spanish, Latvian), active participation in industry trade shows (LIGNA, NWPCA, FEFPEB Congress, Woodpack Global, Dubai Wood Show), and full memberships in NWPCA and FEFPEB. The company is held by the founding Skele / Dombrovskis family, with Andis Skele serving as Director, Gatis Skele as Sales Director, and Eva Skele as Marketing Communications Manager.

Baltic Block's growth has been funded primarily through EU and Latvian public grant programmes rather than external equity, with cumulative EU drawdowns including a EUR 9.9M ERAF pilot-plant project (2019), EUR 2.55M ERAF solar project (2024), EUR 1.9M Cohesion Fund energy-efficiency project (2017), and earlier LIAA production-line grants (2013–2014). It holds ISO 9001, ISO 14001, ISO 50001, FSC, PEFC, EPAL, HT (ISPM 15), REACH, and Latvenergo 100% green-energy certifications, and is the second-largest woodchip pallet block manufacturer in Europe by volume. Sustainability investments include on-site bark-residue energy generation and a 3.49 MWp solar park commissioned in February 2026.

Name

Baltic Block

Legal name

SIA "Baltic Block"

Website

https://balticblock.com

Company type

Private

Founded year

1997

Operating status

Operating

Headcount range

101–250 employees

Short description

Baltic Block is a Latvian family-owned manufacturer of composite pallet blocks and boards, serving industrial pallet producers in 32 countries as the second-largest woodchip pallet block maker in Europe.

Ownership category

akta.pro rank

Product category

Composite Pallet Blocks

NAICS

Wood Container and Pallet Manufacturing (32192), Wood Container and Pallet Manufacturing (321920)

SIC

Lumber & Wood Products (No Furniture) (2400)

akta.pro primary industry

Pallets (Wood, Plastic, Metal, Presswood) (IMALAFAF)

akta.pro secondary industry

Wood Chipping, Residue Processing & Biomass Feedstock (IMAMABAG)

Keywords

• Composite pallet blocks
• Wood pallet manufacturing
• Pallet components
• Pressed wood products
• Wood briquettes

Headquarters

HQ city

Sauleskalns

HQ country

Latvia

HQ region

Europe

Offices2 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Composite Pallet Block Sales: Sale of BBlock composite pallet blocks to pallet manufacturers globally. Blocks are sold in standard sizes (65, 75, 78, 85, 95, 100mm heights) with customization options for dimensions, color, and inkjet printing. Main revenue stream from manufacturing and exporting 15,000 m3 monthly to 30+ countries.
2. Pallet Board Sales: Sale of BBoard pallet boards and solid wood pallet beams. Newer product line launched in 2023.
3. Wood Briquette Sales: Sale of BBrikete premium wood sawdust briquettes for heating. Made from production residues, providing clean long-lasting burn with minimal ash.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels4 records

Core offering

Baltic Block manufactures and sells composite pallet blocks (BBlock®) and pallet boards (BBoard®) made from pressed woodchips of coniferous trees rich in natural resins, supplying pallet producers worldwide with IPPC-compliant, high-load-capacity components. The company also produces wood sawdust briquettes (BBrikete®) made from production residues as a heating fuel. Manufacturing is carried out across 9 production lines at its Madona facility, producing 15,000 m³ monthly and exporting to 32 countries.

Product overview

Baltic Block operates as a single unified product portfolio centered on composite wood-based components for pallet manufacturers. The core offerings consist of BBlock® (composite pallet blocks), BBoard® (pallet boards), and BBrikete® (woodchip briquettes). BBlock® serves as the flagship primary product, while BBoard® was introduced as a complementary pallet board product in 2023, and BBrikete® represents a downstream utilization of production waste materials. Together, these products enable the company to offer complete pallet component solutions to demanding customers worldwide.

Differentiator

Problem solved

Functional benefit

Brands

• BBlock®: Premium composite pallet blocks designed for exceptional load capacity, deformation resistance, and durability for heavy-duty pallets.
• BBoard®
• BBrikete®

Products and services

• BBlock® Composite Pallet Blocks Premium composite pallet blocks manufactured from pressed woodchips of coniferous trees rich in natural resins, designed for exceptional load capacity (75x75mm block withstands 4.8 tons compression), high nail durability (5.5 kN extraction resistance), and IPPC phytosanitary compliance. Available in standard sizes 65, 75, 78, 85, 95, and 100mm heights with customization options for dimensions, color, and inkjet printing. Sold to industrial pallet manufacturers globally, including EPAL-certified producers and CP (chemical industry) pallet makers.
• BBoard® Pallet Boards High-quality pallet boards and solid wood pallet beams designed for reliability, strength, and durability on the toughest loads and longest routes. Complements the BBlock® product line and is sold to pallet manufacturers requiring complete pallet component solutions.
• BBrikete® Wood Sawdust Briquettes Premium quality wood sawdust briquettes produced from manufacturing residues (sawdust), providing a clean, long-lasting burn with minimal ash residue for residential and commercial heating applications. Represents downstream utilization of production by-products.

Quantifiable outcome

• Smallest block (75x75mm) withstands 4.8 tons compression force per Riga Technical University testing
• +5 more outcomes

Named customers3 records

Segments2 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

Five partnerships are on record, tiered major and core.

• FEFPEB (European Federation of Wooden Pallet and Packaging Manufacturers)majorStrategic or Co-development Partner · 11 July 2024After years of successful collaboration, Baltic Block became a member of FEFPEB, the European federation representing wooden pallet and packaging manufacturers. Company participates in annual FEFPEB Congress and sponsors the organization.
• NWPCA (National Wooden Pallet & Container Association)majorStrategic or Co-development Partner · 14 September 2023Baltic Block became a member of NWPCA, the largest wood packaging organization in the world with over 720 company members in 28 countries. Membership provides access to industry networking, standards development, and North American market connections.
• EPAL (European Pallet Association)majorStrategic or Co-development PartnerBaltic Block holds EPAL license for producing EPAL-certified pallet blocks and is among the few producers worldwide certified for EPAL CP (chemical industry) pallets. EPAL is the international standard for pallet quality.
• Latvenergo (AS Latvenergo)coreStrategic or Co-development PartnerBaltic Block received 'Powered by Green' certification from Latvenergo, confirming 100% use of green electricity produced in Latvia from renewable sources.
• JSC Latvian State Forests (VAS Latvijas Valsts meži)majorStrategic or Co-development PartnerLong-term cooperation guaranteeing continuous access to high-quality sustainably grown wood raw materials. 42% of Latvia is covered by forests providing excellent quality materials.

Scale indicators9 records

Recent moves7 records

Expansion highlights6 records

Direct peers

• Falkenhahn AG: Falkenhahn AG is a German manufacturer of pressed-wood (presswood) pallets and pallet components, including blocks and boards. It is one of the most direct comparables to Baltic Block in terms of product (composite/presswood pallet components), customer base (European pallet manufacturers and EPAL licensees), and technology (pressed woodchip process).
• INKA Paletten GmbH: INKA Paletten is a major European manufacturer of presswood (compressed wood) pallets, blocks, and export pallets with multi-country distribution. Directly comparable to Baltic Block on product (presswood pallet blocks), target market (industrial pallet manufacturers and export pallet users), and EPAL-relevant certifications.
• Presswood International: Presswood International specializes in presswood pallets, blocks, and compressed wood packaging components. It is a direct competitor to Baltic Block in the European composite/presswood block segment, serving similar pallet manufacturers with comparable engineered wood products.

Broad incumbents

• Brambles Limited (CHEP): Brambles is the global leader in pallet pooling through its CHEP brand, operating one of the world's largest pallet networks. While not a direct manufacturer of pressed-wood blocks, it is a broad incumbent in the pallet value chain whose procurement patterns and shift toward reusable plastic pallets directly affect demand for Baltic Block's wood blocks.
• Kronospan Holding GmbH: Kronospan is one of the world's largest engineered wood panel manufacturers (particleboard, MDF, OSB, laminate flooring) with extensive European production. While its core product mix differs from pallet blocks, it is a broad incumbent in the wood-product manufacturing space that could plausibly expand into adjacent pallet components at scale.
• Smurfit Kappa Group: Smurfit Kappa is a global packaging giant producing paper-based packaging including pallet components, slipsheets, and protective transport packaging. It is a broad incumbent adjacent to Baltic Block's end customers, with sustainable packaging credentials that increasingly compete for the same pallet and shipping-material procurement budgets.

Emerging players

• Cabka Group: Cabka is a European specialist manufacturer of plastic and recycled-material pallets, pallet collars, and load carriers. It overlaps with Baltic Block by competing for pallet-component share at large pallet producers and logistics customers, particularly where hygiene, automation, or sustainability drive specification away from wood.

Others

• EPAL (European Pallet Association e.V.): EPAL is the standards body and licensing authority for EPAL-certified pallets and blocks in Europe. Not a competitor, but central to Baltic Block's market access — EPAL licenses govern who can produce certified blocks and define the specification envelope in which Baltic Block competes with other EPAL licensees.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Facebookfacebook.com/balticblock
• LinkedInlinkedin.com/company/baltic-block
• Xx.com/balticblock

Compliance9 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles12 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Baltic Block