Nippon, Kasuga Paper to Establish JV Tissue Operation in Japan

Nippon Paper Crecia Co., Chiyoda-ku, Tokyo, Japan, a Nippon Paper Group company, and Kasuga Paper Industry Co., Fuji-shi, Shizuoka, Japan, this week concluded a basic agreement to jointly establish a new company in April 2017, through which they will launch a new joint venture for household sanitary paper products. The new company will install cutting-edge facilities to produce roll toilet tissue and other products on the premises of Fuji Mill (Fuji-shi, Shizuoka) of Nippon Paper Industries.

Nippon Paper Crecia, a household paper product producer in the Nippon Paper Group, has made every effort to thoroughly strengthen cost competitiveness through a review of its production structure and create new demand by reinforcing marketing. Through the new joint venture for household paper products with Kasuga Paper Industry, a leading household paper manufacturer that focuses on waste paper recycled products, the companies will make effective use of the assets and pulp and energy generated at Nippon Paper Industries' Fuji Mill, which is conveniently located near the Tokyo metropolitan area, and enhance the paper production and converting capabilities to establish the foundation of a stable supply. 

The two companies say they will strive to achieve growth in the market for their household paper product business, which is expected to increase in demand, by utilizing the expertise that Kasuga Paper Industry possesses in handling wastepaper recycled products and catering to diverse needs.