"The investment is UPM's way of meeting the increasing demand for label papers. The company wants to secure its market leader position in label papers and support customer growth," said Pentti Putkinen, GM of the Tervasaari Mill.
Antti Heimola, product manager of UPM Label Paper, noted that "the new technology enables us to produce even thinner high quality papers. The better efficiency of the paper production and material usage also improves the competitiveness of label papers. This strengthens the position of paper based label stock in competition with other materials and alternative product decoration techniques in the market."
The UPM Tervasaari Mill produces approximately 385,000 metric tpy of specialty papers using three paper machines. UPM signed a preliminary contract in February 2012 and will sell its packaging paper production to the Swedish company Billerud. The transaction includes two packaging paper machines: PM 7 in Tervasaari that produces kraft papers, i.e. envelope, bag and technical papers, and PM 1 in Pietarsaari that produces kraft paper and sack kraft paper. The aim is to finalize the transaction during the second quarter of 2012.
TAPPI
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