Liquid wallpaper – Latvian produced decorative wall covers based on ancient Japanese technology

We managed to catch up with the Head of Sales and Development of Silk Plaster Group, Ēriks Grišins, during a brief intermission here in Latvia, as the company representatives had just returned from the World Expo 2020 exhibition in Dubai, United Arab Emirates, but already preparing for a construction product exhibition in the United Kingdom the following week.

Your company represents Latvia at the World Expo 2020 exhibition in Dubai, and you also successfully completed the first round of the Latvian export brand competition “The Red Jackets”. Meanwhile, the product – liquid wallpaper – seems unusual and unheard of. What is it?

Liquid wallpaper is a special coating of walls after an old Japanese technology based on pulp and silk. Initially, liquid wallpaper wasn't widely available due to high material costs. Industrially, some companies in Japan started producing this coverage in the 20th century, but mostly for the local market. The Silk Plaster Group's first production plant was set up in 1997. The company developed and improved liquid wallpaper production technologies, developed a number of design collections, studied various materials, and is currently a market leader in the production of liquid wallpapers.

Silk Plaster Group has two production sites. The Riga plant was opened in 2016. Initially only as a wholesale warehouse, but later the production of the product was also begun in Riga. In Latvia, we produce for the European market and for the rest of the world.

Why did the company choose to set up a second production plant specifically in Latvia?

We examined a number of factors: a convenient logistics infrastructure, a favorable investment climate and stability. We looked at the big cities to make it easier to find a skilled workforce. Latvia is a member of the European Union, we have access to a large internal European market. Logistics is a competitive advantage for Riga, and maritime transport is the most efficient way to deliver goods to any port and destination in the world. Access to a port means a lot in the business world.

We were just in Dubai for Expo 2020, and we were invited to a meeting with the owner of Al Rahmani - a large network of building materials and household shops. At first he didn't even know where Latvia was, but when we told him that our country was next to the sea and we had a great port, he said with respect: “Oh, a port!” It can be a big advantage to a company.

How did your interest in construction materials arise and how did you start working for Silk Plaster Group?

I first studied at a university here in Latvia, and then went to London, where I studied at University of East London in the Architectural Division. After my studies, I returned to Latvia, worked on interior design, but later I started working at Silk Plaster. In the company, I'm in charge of working with designers, architects, builders, essentially anyone interested in our product. You could say I'm one of the company's engines.

What is the difference between liquid wallpaper and other wall coatings?

When we think of wall coatings, we usually have three things in mind – color, wallpaper and the so-called Venetian coating. For liquid wallpaper, the base base is composed of cellulose granules or pulp, accompanied by dyes and decorative elements. It is an ecological, environmentally friendly and fire-proof product that is easily coated on the surface.

It is unique in a way that this product has sound and temperature-insulating properties. Movie theater owners, people who deal with acoustic solutions often look for material with sound-damping properties. To truly appreciate this material, you need to feel it as well – it seems a little fluffy, warm, very cozy. We've developed a variety of collections with a broad selection of colors and tones – altogether more than 500 shades. I think liquid wallpaper is a product that can attract attention from designers and architects.

  

Does it mean that any person could make this wall coverage at home?

Yes! All you have to do is mix the dry product with water and apply it to the wall. There are instructions on the packaging, and we've also created video materials showing how that coating can be put up. The product is available in construction shops here in Latvia and elsewhere in the world. Our partner salons typically provide professionals who can come and apply liquid wallpaper, as well.

What do I do if I want to change the coverage of the wall? How can the liquid wallpaper be removed?

Very simple. If you want to change or correct something, the coating must be sprayed with water, let it soak in and then you can scrape it all off the wall with the same trowel you used to apply it.

You mentioned that there are over 500 shades of color in your collections. Which are the most seeked out?

In Europe, it's the gray, warm tones that give the homey feel. White is preferred in Germany. But there is demand for a bit of “crazy” tones, too, like we have one particular black tone, which is in high demand. In Asia, bright yellow and purple tones are popular, our luxury collections are more popular in Japan. In Romania, for example, blue and green tones are top sellers, while no one wants the green tones in Latvia. In our experience, the choice of tones and texture depends more on the region.

What is the approximate price of the product?

It heavily depends on the collection. We have both budget collections and luxury collections, and the price of one parcel ranges from fourteen to a hundred and more euros. A single parcel may cover the surface of 3 m2 to 5 m2. It also depends on the collection. It should be noted that the luxury collection's liquid wallpaper is most often used as an accent, supplementing other wall coatings. The price depends on materials, processing, number of ingredients and texture. Quality is of paramount importance for the production of liquid wallpaper.

Are liquid wallpapers more commonly used in apartments or public spaces?

Mostly in residential spaces, but we have a wide range of products, many of which are also used in hotels and other commercial spaces. Some collections can't be used in bathrooms where high humidity is present. Silk Plaster produces other products, too, that can be used on building facades. It is a plaster for inside and outside walls, which is also sold as a ready-made product and can be easily put up by the customer.

How many jobs does Silk Plaster Group provide? Is a skilled workforce also one of Latvia's strengths?

We currently employ 18 people, mainly in manufacturing and marketing. However, it is not easy to find adequate employees in both management and production, which is sometimes a problem. We're currently also expanding and are looking for new staff members to join our team.

Do you purchase raw materials outside Latvia and how were the supply chains affected by the pandemic?

We buy pulp and are tracking its quality in different markets. The pandemic made deliveries difficult, and affected the prices, increasing them accordingly. Sometimes I even wonder how everything kept and still keeps going on despite the pandemic. As we can see, different countries have battled it differently and for some it's still an ongoing fight. But despite all of it we can once again go to exhibitions and see that the demand is growing. Yes, prices are still high, deliveries are sometimes delayed, but it's all ongoing.

What is the annual turnover for the Silk Plaster Group?

Last November, turnover was slightly above one million euro and has increased by around 10% each year. The product is exported from the Latvian plant to the countries of the European Union, the United Kingdom, the United States, Brazil, Africa and Asia, also paradoxically to Japan, from which the product has originated. The Japanese found out about Silk Plaster at an exhibition in France. We usually find partners in major world-class construction product exhibitions, but as of lately, also our social networks and internet advertising.

Which market has shown the most significant growth and where do you see the most potential?

One of the biggest markets we have is Brazil, the Asian countries (Taiwan), the UK and, more recently, the US, where we see future potential. Much depends on the activity of the local partners. We also support very small distributors. There are people who like the product and they are gradually getting to know the ropes. This is how we started development in a number of countries of the European Union. We initially delivered boxes, but now we're sending over large pallets as purchases have increased.

Given the world's construction volumes, it looks like Silk Plaster still has potential for major growth.

Definitely! However, to do so, you have to establish yourself within a market first, which is why we attend so many exhibitions. A big thank you goes to the Latvian Investment and Development Agency (LIAA) for helping us with this. In most countries people know nothing about this product, and it's hard to prove the benefits of a new product. Our mission is to get people acquainted with liquid wallpaper as an alternative finishing material. We just need to keep digging!

What are the future plans for the manufacturing plant in Riga?

We are now continuing to grow and expand production, upgrading Latvia's production plant. We have recently purchased a unique high-tech plant in Europe that allows us to produce a special product that is not produced anywhere else in the world. We plan to install another new automatic machine, we want to increase production capacity. We also plan to expand the warehouse in the future, because all the collections and shades are stored on spot. If a tone is out of stock, we can produce the requested product within five working days.

How well is liquid wallpaper known in Latvia?

We are not very known in Latvia, although our product can be purchased in the local construction shops. Maybe we haven't showcased enough in local construction exhibitions. But have decided to expand the local market as well. We also participated in the “The Red Jackets” competition for the Export and Innovation Award 2021.

© DELFI