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Stora Enso invests in new containerboard machine

Jan 11 2011  Stora Enso has decided to invest 285 million Euros in a new containerboard machine at Ostroleka mill in Poland. The machine will have a capacity of 455,000 tons per year. Start-up is scheduled to take place in the beginning of 2013.

The new containerboard machine with greater capacity and a modern product will not only renew Stora Enso's product offering, it will also improve Stora Enso's overall cost position through efficient internal supply of light-weight containerboard made from recycled fiber.“Recycled fibere is the dominant raw material for corrugated packaging and continues to win share from virgin fiber," says Mats Nordlander, Executive Vice President and head of Stora Enso's Packaging Business Area.“Strengthening our competitive position in corrugated packaging in the growing markets of Central and Eastern Europe is at the core of our growth strategy. The investment at Ostroleka is another concrete step in building sustainable and profitable growth for the Group,” comments Jouko Karvinen, CEO of Stora Enso.The markets for transport packaging in Central and Eastern Europe have grown and will continue to grow by over five percent per year, according to Mats Nordlander."This investment will support our growth and increase Stora Enso's self-sufficiency in containerboards from 35 to 60 percent, and it will also clearly improve the cost competitiveness of Stora Enso's Industrial Packaging segment. Stora Enso's integrated recovered paper collection network in Poland, the new efficient power plant just completed at Ostroleka mill, and this new state-of-the-art containerboard machine will make Ostroleka the benchmark in both cost and product offering in Europe,” Nordlander explains.Stora Enso's corrugated packaging product portfolio includes transport and consumer packaging, packaging design and machinery. The Group's twenty corrugated packaging plants in Finland, Sweden, Russia, Poland, Hungary and the Baltic States with a total capacity of 1.3 billion m2 of corrugating packaging used some 560,000 tons of containerboard last year.The annual capacity of Ostroleka mill, which is part of Stora Enso's Industrial Packaging segment, is currently 270,000 tons of containerboard and kraft paper. The annual capacity of the new containerboard machine will be 455,000 tons, and the annual capacity of the mill's existing PM2 is 85,000 tons of containerboard. In conjunction with the start-up of the new machine, Stora Enso plans to shut down PM2.

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