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Gällö Timber endows SEK 80 Million

 Monday, July 4, 2016

Untitled-2 copyGällö Timber, jointly owned by SCA and Persson Invest, invests SEK 80 Million in increased kiln capacity and in a new boiler. The investment implies an increase of production in the Gällö sawmill in Northern Sweden. Through the investment the present transport of sawn timber from Gällö to Stugun for drying will cease.

 

“This is wonderful news for us at Gällö Timber”, says Urban Wiklund, Managing Director of Gällö Timber. “With this investment we will increase our annual production from slightly more than 300,000 cubic metres to 350,000. This means that our competitiveness will increase and that our owners believe in us and our continued development.” Wiklund added further.

 

“The change in Stugun will affect a couple of the employees, but the current situation will not lead to any redundancies”, comments Urban Wiklund. “SCA’s refining operations in Stugun have grown and Stugun is today the biggest site for wood refining in Jämtland. We are the biggest supplier and SCA Stugun is among our biggest customers. Together we make up a strong team with roughly 170 employees in the production and a lot more working in wood supply and forestry.” Wiklund concluded.

 

Today roughly 50,000 cubic metres of sawn timber is transported from Gällö Timber to Stugun for drying. A substantial part of this is further refined through planing and painting.

 

Together with the investment, Gällö Timber introduces a new saw log assortment, Gällö Max. The assortment includes three saw logs, one short, 3.10 metres, and two long, 4.90 and 5.50 metres.

 

“Including this investment, we have invested over SEK 160 million since the cooperation started in 2010 and we have more than doubled the production capacity. Gällö Timber and SCA’s refining operation in Stugun is now a very competitive unit and a strong wood processing industry in Jämtland,” says Jonas Mårtensson, President of SCA Timber. “We have grown as a supplier to the Scandinavien builders’ merchant sector and we will continue to grow.” He added further.

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