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Glomma Papp to close its paperboard mill

Jan 12 2011  Norwegian Glomma Papp will permanently shut down its paperboard mill in Sarpsborg, southern Norway. The reason is poor profitability.

The mill, with a capacity of only 40,000 tons per year, will be closed before the summer, according to a proposal from the company management to the board of directors. Despite a number of up-grading measures in the paper machine during the years 1999-2005, it has not been possible to achieve profitability in the paperboard production.According to Nina Iversen, Managing Director of Glomma Papp, other businesses in the company – production of paperboard packaging and display solutions – will not be affected by the shut down of the paperboard mill. The mill accounts for only around 20 percent of the turn-over of Glomma Papp.

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