Brazil’s Suzano paper and pulp group aims to set up a factory in Mozambique

26 October 2010

Maputo, Mozambique, 26 Oct – The Brazilian company Suzano plans to produce paper and paper pulp in Mozambique, the national director of Mozambican Industry, Sidone dos Santos, has stated, cited by Agencia Brasil.

Company representatives were in Mozambique earlier this month and visited possible sites for the project, namely in Zambezia, Nampula and Cabo Delgado provinces in the centre and north of the country.

The company has yet to formally present any investment project, which Mozambican authorities hope will involve the whole production chain, from planting eucalyptus to final processing of paper pulp and paper production.

“We have a great need for such a factory in our country, but it should sell to us as well. We spend too much on imports,” dos Santos said.

Mozambique imports practically all the paper it consumes, from packages to toilet paper, newsprint, cardboard and other cellulose derivatives.

As the project involves the planting of eucalyptus and pine groves to supply the raw material for paper pulp, the project also requires approval by the Agriculture Ministry, which will analyse the initiative’s environmental impact.

Last March, Portugal’s Portucel/Soporcel company indicated that it aimed to invest US$2.3 billion in Mozambique up to 2025, with the planned paper factory to supply the Asian market and have a production capacity of 1 million tonnes per year.

Suzano Paper and Cellulose has five factories, all in Brazil, but is very active abroad. Sales to other markets accounted for 85.3 percent of the production of 1.6 million tonnes in 2009. (macauhub)