SCA Opens New Kawerau Tissue Site in New Zealand

A $60 million expansion of the SCA Kawerau, New Zealand, tissue site was recently opened by Prime Minister John Key, marking a new era for the iconic Bay of Plenty facility. The expansion includes a new 13,000 sq. meter tissue conversion hall, a 55-meter-long, state-of-the art Italian made tissue winding machine, and robotized packing and dispatch. The Australasian company is a joint venture of Swedish-based SCA, a global paper and hygiene company, and PEP, an Australian private equity fund. 

 

"This expansion secures a long term future for our Kawerau site as the sustainable supplier for the New Zealand and Australian markets. It also confirms the site’s significant export role with an estimated 2,600 containers of product exported through the Port of Tauranga each year," Peter Diplaris, president of SCA Hygiene Australasia (SCA HA), said. 

 

Total output from the site will initially increase by the equivalent of sixty six 40-ft. containers each week, with a further 11 per week to be added beginning in 2015. The increased efficiency of the Kawerau site will add to the significant gains made in sustainability over recent years.

 

In 2009, the site converted its steam heat source for its papermaking process from steam generated by a natural gas fired boiler to geothermal steam in a ground-breaking partnership with the Ngati Tuwharetoa iwi, contributing to a 45% reduction in annual total carbon dioxide emissions since the changeover to geothermal steam.

 

Diplaris said that the skilled, knowledgeable, and committed local workforce was a further factor in the company’s decision to invest in the Kawerau facility. "I wish to pay particular tribute to the project team, site employees, and the army of local and international suppliers. We have kept everyone safe through more than 175,000 hours of work while also delivering this major undertaking on time and on budget."

 

SCA Hygiene Australasia produces a number of tissue brands including Sorbent, Purex, Libra, TENA, Treasures, Handee, Deeko, Tork, and Orchid. The company has facilities in Australia, New Zealand, and Fiji, and employs approximately 1,300 people.