The European Investment Bank (EIB) is providing a €20m loan to Hinojosa, which is headquartered in Xàtiva (Valencia). Hinojosa’s business model is based on the circular economy, as everything generated in the production process provides a source and raw materials for new processes, minimising waste generation.
Hinojosa aims to improve production processes to achieve greater efficiency by modernising facilities, equipment and machinery and incorporating advanced technology. The investments will be made in eight of its existing production plants for recycled paper and packaging solutions, all located in Spain. The financing will also cover the company’s digitalisation strategy and the installation of photovoltaic panels.The EIB-financed investment plan is in line with the bank’s climate action and environmental sustainability objectives as it will promote the replacement of fossil-based single-use plastics with more sustainable and recyclable paper-based packaging solutions. It will also lead to more efficient production processes and will contribute to the generation of renewable energy, thereby reducing greenhouse gas emissions.The project will mainly be implemented in cohesion areas of Spain to support the local economy and employment. Despite increased efficiency and digitalisation, Hinojosa plans to increase its workforce in the coming years.Ricardo Mourinho Félix, Vice-President, EIB, said, “As the EU climate bank, we are pleased to be supporting Hinojosa in modernising and digitalising its production systems to improve the sustainability of its products and processes. This agreement demonstrates the EIB’s strong commitment to innovation and to promoting clean technologies, which are key to achieving the European objective of climate neutrality.”