Arkhangelsk Pulp and Paper Mill (APPM), one of Russia’s largest pulp and paper producers, plans to build a second stage of the plant for the production of sanitary and hygienic products in the Kaluga region in 2023, according to recent statements, made by the company and some local media reports.
According to the company, the project has already received support from the Industrial Development Fund (IDF), one of Russia’s largest public funds.
The commissioning of the second paper machine (PM-2) and the launch of mass production is scheduled for Q1 quarter of 2023 year.
The IDF approved a loan as part of the Priority Projects program in the amount of 2 billion rubles to Arkhbum Tissue Group LLC (, a subsidiary of JSC Arkhangelsk Pulp and Paper Mill). With the help of the IDF loan, the company will launch the second stage of the plant for the production of tissue paper and paper products under its own brand Soffione. The production capacity will double and amount to 140,000 tons of finished products per year.
The project will allow Arkhbum Tissue Group to significantly expand its product range by installing a second paper machine and new converting lines. In addition, there are plans to start manufacture of products intended for use "outside the home" (paper towels Z and V folds, industrial rolls). The raw material for the production of products will be primary bleached pulp of softwood and hardwood, produced at the key enterprise of Pulp Mill Holding in Russia - the Arkhangelsk Pulp and Paper Mill.
The project will create more than 200 jobs. The total investment of Pulp Mill Holding in the second stage of Arkhbum Tissue Group will amount to more than 10 billion rubles.
Arkhbum tissue group LLC is the largest investment project of Pulp Mill Holding. Its cost is estimated at more than 30 billion rubles. Currently, the company successfully sells products throughout Russia, in the CIS countries and Europe under its own brand Soffione.
By: Eugene Gerden