With an apparent overcapacity of coated magazine paper in Europe, paper and pulp producer Sappi’s Finnish subsidiary, Finland I Oy, was looking at ways to improve the company’s profitability, which could involve the permanent closure of the 210 000-t/y Kangas mill.
The paper producer said that the mill had already taken a continued level of downtime, which was no longer considered to be viable, necessitating a review of production capacity.
Sappi would enter into a consultation process with Kangas mill employee representatives regarding the review.
It noted that possible redundancies at the mill, which employed about 150 people, could be implemented by the end of this year.
In the event that the mill was permanently closed, production of the Galerie Silk range would be supplied to customers from the Lanaken mill, in Belgium.
A complementary grade, Galerie Fine Silk, would also be launched at the Kirkniemi mill, in Finland, which would widen the product offering of coated magazine paper, while ensuring that there is no supply interruption.
Edited by: Mariaan Webb
Creamer Media Deputy Editor Online
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