Knowledge of the paper industry: how much money to invest in a paper mill? Modern pulp and paper production operation
Release time:
2021-11-12 11:01
Modern pulp and paper mills utilise wood residues as the basic raw material. Production operations are highly automated and many mills are now computer-controlled. In North America, large mills are generally more economically efficient overall due to high labour productivity. Therefore, the investment in the construction of viable modern mills is very high, for example, a new bleached sulphate pulp mill with a capacity of 1,000t per day is currently estimated to cost more than US$1 billion. The high level of investment (generally more than US$1 million per employee) makes the pulp and paper industry a capital-intensive industry.
The economics of integrated forest products mills are also good, where wood is first sent to lumber mills for the production of high-priced sawn boards, plywood and particleboard. The wood residues are then cut into chips and transported to the next process, where they are processed into pulp. Finally, the pulp is transported to the third section of the integrated plant, where it is copied into paper. The high value of the wood fibre raw material and its large volume require complete and optimum utilisation with as little transport as possible.
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