Upcycling wood waste for a sustainable economy
Enterprise
Dijamanti Sh.P.K.
Presentation of the enterprise
Building on a 35-year family legacy and founded in 2019, Dijamanti Sh.P.K. is Kosovo’s only laminated wood panel producer and a key manufacturer of renewable wood pellets.
Amount of co-financing
EUR 150,000
- Kosovo
- 2025
- Ongoing
Challenge
Kosovo’s wood processing industry generates large amounts of waste, most of which ends up burned or dumped due to the absence of structured recycling systems. This results in environmental degradation and missed economic opportunities. At the same time, households face rising heating costs, while the country remains dependent on imported wood-based materials, including panels and pellets. There is a clear gap in the market for local, circular solutions that turn waste into value while reducing import dependency and environmental harm.
Innovative solution
Dijamanti addresses these challenges through a vertically integrated circular business model that transforms wood waste into high-demand products. The company produces laminated panels using 15–20% internal wood residues. It manufactures heating pellets from sawdust and wood offcuts – 90% of which come from its own operations. By connecting its production and distribution processes with a growing network of over 173 partners in the wood sector, the company ensures a reliable supply of waste materials and cost-effective logistics. The model reduces pollution, supports local supply chains, and offers affordable renewable energy and materials to both households and manufacturers.
Impact
- Production of 330 additional tons of renewable heating pellets
- Affordable renewable heating for 160 new households
- Additional 70 tonnes of wood waste reused
- Local manufacture of 830 m³ laminated panels for 330 clients
- Income increases for 45 new wood waste collectors and suppliers
- Creation of 10 new green jobs in wood processing
- Cleaner workplaces through new dust extraction system


Targeted Sustainable Development Goals
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Over 238 households access cleaner, low-cost pellet heating made from recycled wood waste.
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10 new green jobs are created, engaging youth, and 40 workers are trained in labour rights and OHS.
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The company recycles a total of over 650 tons of wood waste annually into energy and building materials.
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The project reduces CO₂ and air pollution by preventing open burning and using clean energy solutions.
News
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In late 2024, Luxembourg’s Development Cooperation launched a new call for proposals under the LuxAid Challenge Fund, a programme designed to support innovative, locally driven solutions to social and economic challenges. Competition was intense: more than 80 applications poured in from across Kosovo, each with bold ideas to tackle the… -
LuxAid Demonstration Fund
Feb. 2026Luxembourg Embassy briefing highlights support for innovation and private sector growth in Kosovo
On 28 January 2026, the Luxembourg Embassy in Pristina hosted an information and briefing event that brought together representatives of Kosovo’s business community, institutions, and partners to present the LuxAid Demonstration Fund (LDF), an initiative financed by the Grand Duchy of Luxembourg and implemented by LuxDev, the Luxembourg Development Cooperation… -
LuxAid Demonstration Fund
Dec. 2025Over 1 million euros to supports high-impact business innovations in Kosovo
After the success of the first edition in 2025, the Luxembourg Development Cooperation is launching a new call for proposals aimed at well-established Kosovo-based businesses. The LuxAid Demonstration Fund (LDF) seeks to accelerate the growth and impact of digital and green innovative solutions. Selected projects will receive up to EUR… -
LuxAid Demonstration Fund
Dec. 2025Driving Change in Kosovo: How businesses are tackling city congestion and industrial waste
What if the greatest challenges to Kosovo’s future weren’t a shortage of ideas, but the struggle to turn them into reality? Across the country, a new wave of companies is turning real-world problems into scalable products – from easing urban congestion to cutting industrial waste. Among the initiatives supporting this…