The energy and chemicals business plays a key role in Södra’s strategy and is an area that will grow and further contribute to a fossil-free future. As a result, the Södra Bioproducts product area is now being formed to further strengthen the customer offering through a more coherent business structure and sales.
Södra’s future product portfolio consists of five main businesses – sawn timber, pulp, building systems, carbon, and energy and chemicals. The energy and chemicals business will continue to grow and provide additional support for Södra, where the whole tree is processed for tomorrow’s green economy. To develop and optimise the existing business, the Södra Bioproducts product area is now being formed to gather the customer offering in energy and chemicals. Johannes Bogren, currently Vice President of Södra Cell Bioproducts, will become new Vice President Marketing & Sales, Södra Bioproducts.
“By taking an overall approach to our entire energy and chemicals business, we will to be able to offer our customers a broader portfolio of products, better service and a developed customer offering. We also want to play a clear role in the transition to a fossil-free future, and there is a major need for green products. This will make Södra an even more attractive partner,” said Johannes Bogren.
Södra Bioproducts will be responsible for developing and optimising the existing business, which includes electricity, district heating, dissolving pulp, solid fuel products and liquid products such as biomethanol, tall oil, and turpentine. The responsibility for production will remain with Södra’s various business areas.
Key area for strategic development
Energy and chemicals currently account for 7 percent of income and is an area in which Södra will continue to grow. By developing the energy and chemicals business, we are strengthening the profitability of forest estates in both the short and long term. It is also a way to step up measures to address climate change, for both us and our customers.
“Through better coordination, data-driven decision making and a leading customer offering for our existing products, we will be able make considerable progress. We are also planning to develop new business over time, such as lignin and investments for large-scale biorefinery operations. This is an important part of our strategy and our mission,” said Malin Nordin, Director of Strategy.
The new Södra Bioproducts product area will be formed on 13 March.
Products included in Södra Bioproducts: Dissolving pulp, tall oil, turpentine, biomethanol, electricity, district heating, pellets, briquettes, cutter shavings, bark, sawdust, dry chips, forest residue chips and fuel wood.