Sappi halts operations in KZN

13th April 2022 By: Marleny Arnoldi - Deputy Editor Online

Sappi halts operations in KZN

Sappi's Saiccor Mill, in KwaZulu-Natal

JSE-listed paper and packaging manufacturer Sappi says it has been feeling the brunt of the KwaZulu-Natal flooding through impaired or disrupted transportation of goods and services, as well as staff being unable to travel to and from work.

The province has been experiencing heavy rainfall and flash floods, resulting in widespread flooding that has made many areas inaccessible, since the weekend of April 9.

Many roads, including major highways and bridges, railway lines, warehousing, private residences and other types of infrastructure have been damaged or destroyed over large parts of KwaZulu-Natal.  

Sappi says its Saiccor, Tugela and Stanger mills' operations, along with export facilities at the Durban port, have been negatively affected.

The company’s production has been stopped as a safety precaution, and while there has been no material damage to any of the plants, some inventory has been damaged.

Sappi expects deliveries to domestic customers, as well as export shipments, to be impacted as a result.

The paper manufacturer confirms that production will be disrupted until the situation normalises and, in the meantime, insurance is in place for all assets and stocks.