Tuesday, June 10, 2025
Oulu mill at Stora Enso ushered in a new era with the launch of its brand-new packaging board line in March 2025. The project’s goal is to turn the conventional paper mill into a manufacturer of superior packaging board.
The strategic choice to invest in Oulu, which was decided in the fall of 2022, has now been carried out. In order to satisfy the increasing demand for consumer packaging board, the paper mill that was previously shuttered has been effectively updated. Stora Enso’s substantial investment is a direct response to the global demand for packaging materials that are more recyclable and sustainable, especially for food and hygiene items. “In recent years, around three out of four of Stora Enso’s investment decisions have been in renewable packaging, and already around 60 percent of our Group-level revenue is generated from it. The new packaging board line in Oulu is very important for us, as it strengthens our leading position as a developer of sustainable packaging solutions,” states Stora Enso’s CEO, Hans Sohlstrom.
The Oulu factory is a strong anchor from a strategic standpoint
Sohlström maintains that the Oulu mill refurbishment is still strategically warranted in spite of geopolitical unpredictability and conflicts in international trade. This opinion is supported by the packaging board market’s steadiness and the new Oulu line’s growing delivery volumes. “The start-up of the new packaging board line has been excellent in terms of quality and production volumes – the quality achieved in particular has been very promising. With this investment, the Oulu mill will develop into a strategically significant production hub for Stora Enso, where mill integration is advanced,” Sohlström is optimistic.
The Oulu mill produces about 450.000 tonnes of corrugated board raw material and 550.000 tonnes of unbleached softwood pulp annually, in addition to the new consumer packaging board line’s 750.000 tonnes of annual capacity. The mill sells some of the pulp and uses it to make its boards.
Wood flow in the massive mill is secured by a sawmill
As the Oulu mill becomes a more significant component of Stora Enso’s manufacturing network, the requirement to secure raw material supply increases. Therefore, Stora Enso has taken a crucial strategic step to guarantee the supply of wood for the giant mill. The business said in October 2024 that it had purchased all of Junnikkala Oy’s shares. The Kalajoki further processing unit and sawmills in Kalajoki, Oulainen, and Oulu are included in the deal.
Stora Enso will now own a top-of-the-line, productive sawmill in the Oulu industrial region as a result of the acquisition. The three sawmills owned by Junnikkala Oy can produce about 700,000 cubic meters of sawn timber annually. Every year, about 3,5 million cubic meters of pulpwood will be used in Stora Enso’s mill in Oulu. The Finnish Wood Procurement department of Stora Enso will acquire the wood for the Oulu mill and the Junnikkala sawmills. In addition to increasing Stora Enso’s direct wood procurement in the Oulu region, the Junnikkala acquisition improves regional logistics and collaboration. Stora Enso can secure raw material supplies for years to come and expedite wood delivery by controlling local sawmills.
Technology lowers pollutants and increases material efficiency
Oulu’s new packaging board factory uses cutting-edge technologies to lower emissions and increase material efficiency. One example is the proprietary FiberLight TecTM fiber processing technique from Stora Enso, which makes it possible to produce lighter boards that are nevertheless robust. “Folding boards made with Stora Enso’s FiberLight Tec technology are up to a third lighter than traditional boards, but their strength and bulk properties are maintained or even improved. This lightness reduces material consumption and can also reduce transport emissions,” Sohlström describes.
The Oulu mill is steadfastly dedicated to Stora Enso’s environmental objectives and sustainable business practices. For instance, this is demonstrated by the company’s increased energy production and use of secondary heat in the city of Oulu’s district heating network and other working locations, as well as in nearby businesses. The goal of the new packaging board line is to gradually switch out fossil fuel-based materials with recyclable and renewable ones. “We are investing in reducing Stora Enso’s carbon footprint, where we are already ahead of our targets. 94 percent of our products are already recyclable, and our goal is 100 percent by 2030. We are also promoting biodiversity through 15 of our indicators and cooperation with the International Union for Conservation of Nature,” Sohlström jots down.
An important collaborator in sustainable development
Over the past year and a half, Sohlström has had close meetings with the company’s major clients, which have improved Stora Enso’s reputation as a valued development partner. By actively investing in product and manufacturing development, the company helps customers lower their emissions and increase energy efficiency, which in turn boosts corporate profitability. In addition to being an environmental obligation, sustainable development is a major source of demand for Stora Enso, and the corporation would be well advised to make investments in it. But there are drawbacks to the forest industry’s more environmentally friendly course. Careful management and ongoing investments in forest development are necessary to guarantee a future supply of high-quality household wood.
“I think the Finnish government has done a good job in this regard. It is important to highlight the importance of sustainable forestry and improve the common understanding of carbon sinks, wood production, and biodiversity. Finland must now actively seek ways to increase forest growth through systematic and more precise forest management,” Sohlström aggregates.
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