Smurfit Kappa Parenco to continue SC paper production

Photo courtesy of Smurfit Kappa Group
24 Apr 2019 − 

A conversion of the 270,000 tpy magazine paper machine PM 1 at the former Parenco mill in Renkum to recycled containerboard production has been under discussion since the takeover of the company by the Smurfit Kappa Group. However, it seems as if this potential project will not be realized in the near future.

A Smurfit Kappa representative told EUWID that the company would not implement the plan to convert the PM 1 at the Smurfit Kappa Parenco mill to packaging paper production within the next two years. There were more than sufficient production capacities in the recycled containerboard market at present and a rebuild would be pretty cost intensive, the spokesperson explained. At the same time, selling the PM 1 to another company was said to be unfeasible, because the PM 1 is located right in the middle of the plant and from an organisational point of view, can hardly be uncoupled from the remaining structure.

Also with regard to its medium-term planning horizon of four years, the company is of the opinion that the plan for carrying out the rebuild is not reasonable under current circumstances.As a result, Smurfit Kappa will continue producing SC B paper on the PM 1 for the time being.

This article is part of our free coverage on the pulp and paper industry in Europe.

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