Recently, Södra has inaugurated its new Södra Timber Värö facility. The plant was inaugurated by Swedish Minister for Trade Ewa Björling. Through its subsidiary Södra Timber, the Södra forestry Group has invested SEK 1 billion in a new sawmill in Värö that has been relocated from Germany.
The new sawmill is one of the largest and most modern in Europe and represents an investment that will increase competitiveness in terms of both the market and raw material. The sawmill has created new job opportunities and will also generate employment in the forestry and transport sectors. The project involved replacing an existing sawmill in Värö, resulting in a threefold increase in production at Värö to 750,000 cubic metres.
The investment reinforces Södra’s clear ambition to become an international player in the sawmill industry. The market is also moving toward more standardised products, some of which require significant volumes to be competitive in the long term.
A key part of the project is the location of the new sawmill adjacent to Södra’s pulp mill; the combination effect with the pulp mill offers unique coordination opportunities between Södra Cell and Södra Timber. The combined facility generates cost advantages in terms of energy, wood chip transports and overheads.