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Forest Products News
Paper products manufacturer acquires laser technology
By: Yolandi Booyens 9th March 2012 Durban-based innovative paper products manufacturer Pandu Paper will add a new laser cutting machine to its production line. →
Limpopo farmers receive productivity support
By: Dimakatso Motau 9th March 2012 One of the largest irrigated farming ventures in Limpopo was commissioned in January and handed over to the Ikageng community, in Strydkraal. →
Skills shortage a weak link in the paper chain
By: Yolandi Booyens 9th March 2012 The Paper Manufacturers Association of South Africa (Pamsa) is recruiting young postgraduate chemical engineering students into the paper and pulp industry and will, going forward, start its recruitment drive earlier in the year to ensure it meets its targets. →
Government-funded company considers exporting its products
By: Yolandi Booyens 9th March 2012 Local producer and marketer of handcrafted paper products Phumani Paper is considering the potential of exporting its products to neighbouring countries, entering new markets and securing more consistent clients within South Africa. →
Mondi invests in energy projects as it targets 97.5% self-sufficiency 
By: Henry Lazenby 23rd February 2012 Pulp and paper group Mondi on Thursday confirmed it had put aside €170-million in capital expenditure for energy and debottlenecking projects, with the aim of achieving 97.5% energy self-sufficiency across its operations. “These are all low-risk, high-value-generating projects, with expected... →
Mpact earnings to increase significantly
By: Henry Lazenby 22nd February 2012 JSE-listed packaging firm Mpact on Wednesday said it expected its headline earnings for the financial year ended December 31, to increase to between 52c and 56c a share, compared with 2010 earnings of 23.1c a share. Mpact listed as a public company on the main board of the JSE on July 11,... →
Mondi offers €280m for the rest of Mondi Swiecie
By: Henry Lazenby 16th February 2012 Paper and pulp group Mondi on Thursday made an all-cash offer of €16.48 a share for the 17-million shares (34%) it does not already own in its Polish operation, Mondi Swiecie. The offer comprises a premium of 15.6% over the last three months’ average price of €14.26 a share and a premium of 4.1%... →
Mondi expects headline earnings to soar
By: Henry Lazenby 14th February 2012 LSE- and JSE-listed Mondi on Tuesday said it expected its headline earnings for the 2011 financial year to be considerably higher that that of 2010. Headline earnings a share were expected to be between €0.67 and €0.72 for the period ended on December 31, which is an increase of between 40% and... →
Chemical cellulose demand ‘relatively’ strong, expansions on track – Sappi
By: Natasha Odendaal 8th February 2012 Paper and packaging group Sappi said on Wednesday that its chemical cellulose business, which accounts for most of its operating profit in Southern Africa, continued to perform strongly, helped by a weaker rand/dollar exchange rate. The business is based on dollar chemical cellulose prices,... →
Small farmers in big industry earn consistent income
By: Schalk Burger 20th January 2012 Smallholders, with less than 50 ha in Malaysia, are earning a steady income from the production of palm oil, which is linked to the large-scale, corporate industry manufacturing oils, cosmetics components, biofuels, natural fertilisers and soaps, says Malaysian Minister of plantation industries... →
Bank enters sustainable forestry collaboration
By: Megan van Wyngaardt 20th January 2012 South African banking firm Nedbank Capital and public engagement project Face the Future have signed a pioneering memorandum of understanding (MoU) designed to facilitate collaboration between the two with the sole intention of enabling them to jointly develop sustainable forestry projects in... →
€20m biomass-fuelled plant to be completed end-2012
By: Natasha Odendaal 30th September 2011 Power and heating plant solutions company MW Power, a joint venture between global sustainable technology providers Metso and Wärtsilä, has started construction of a modularised biomass power plant for combined heat and power (CHP) production for local energy utility Heizkraftwerk Zwickau Süd, in... →
Group to assess Mpumalanga biomass-to-energy potential
By: Natasha Odendaal 9th September 2011 Engineering, management and specialist technical services group Aurecon and sugar producer TSB Sugar have been contracted by the Mpumalanga Cane Growers Association to undertake a feasibility study to investigate boosting economic development in rural areas in Mpumalanga’s Nkomazi district, using... →
Financier moves ahead with biofuels project 
By: Natasha Odendaal 9th September 2011 The Industrial Development Corporation is moving forward with one of three planned projects to establish the South African biofuels industry. →
York reports fourfold operating profit increase
By: Loni Prinsloo 8th September 2011 Forest products group York on Thursday reported a fourfold increase in operating profit to R169.9-million in its 2011 financial year, as it continued to improve its margins. However, after-tax profit fell to R38.3-million in the year ended June 30, compared with last year’s R64.6-million, after... →
Outlook for local fruit industry positive
By: Schalk Burger 5th August 2011 While South Africa has experienced a challenging season, over the medium- to long-term, the fruit industry has a positive outlook, says fruit producer organisation Hortgro Services product manager Jacques du Preez. →
Sappi says cogeneration a strong feature of cost reduction plan
By: Brindaveni Naidoo 4th August 2011 South African paper manufacturer Sappi is “aggressively” pursuing restructuring and cost reduction plans, with cogeneration featuring strongly, CEO Ralph Boëttger said on Thursday. The JSE-listed company, which posted a third-quarter loss, said high input costs remained a challenge. →
Sappi to close paper mill in Port Elizabeth
By: Brindaveni Naidoo 3rd August 2011 South African paper manufacturer Sappi said on Wednesday it would shut down its 47-year old Adamas mill, in Port Elizabeth, citing severe cost pressures and the uncompetitive nature of the mill. The closure would affect some 213 workers, the JSE-listed company said. →
Mondi to settle KZN land claims over the next two years, posts higher earnings
By: Brindaveni Naidoo 28th July 2011 Paper and packaging group Mondi aims to settle all its land restitution claims in KwaZulu-Natal over the next two years, with 33 claims still outstanding, CEO David Hathorn said on Thursday. “This will be done as funding becomes available from government,” he told Engineering News Online. →
Mondi expects big jump in half-year earnings
By: Loni Prinsloo 22nd July 2011 Johannesburg- and London-listed Mondi said on Friday that it expected a strong rise in profit and earnings for the first half of 2011. The paper and packaging group expected its half-year earnings a share to be between €0.38c a share and €0.43c a share, up from €0.21c a share last year. →
Mondi’s unbundled packaging unit makes JSE debut 
By: Brindaveni Naidoo 11th July 2011 The listing of Mpact, previously called Mondi Packaging South Africa (MPSA), on the JSE would enable the packaging company to take further advantage of growth opportunities, CEO Bruce Strong said on Monday. Shares in Mpact started trading at R16 apiece when the market opened in Johannesburg, but... →
Mondi’s unbundled packaging unit Mpact to list in July
By: Brindaveni Naidoo 31st May 2011 Paper and packaging group Mondi remained confident that the company would maintain an acceptable broad-based black economic empowerment (BBBEE) rating following the demerger and the separate listing of Mondi Packaging South Africa (MPSA) as Mpact on the JSE, group corporate affairs manager Lora... →
Nampak sees higher earnings as two-year strategy bears fruit
By: Loni Prinsloo 25th May 2011 Diversified packaging company Nampak on Wednesday reported a 28% year-on-year increase in its interim headline a share to 93,5c a share, from 72,8c a share, on the back of stronger operating profit and lower financing costs The group’s trading margins improved from 9,5% to 10,7% for the six... →
Sappi moves to close Eastern Cape paper mill
By: Terence Creamer 23rd May 2011 Paper and pulp producer Sappi Southern Africa reported on Monday that it had initiated consultations on the closure of the Adamas paper mill, in Port Elizabeth, citing “difficult” market conditions and input cost increases – a final decision would be be made towards the end of July. The... →
Illovo raises R940m in Swaziland to pay for expansions
By: Loni Prinsloo 16th May 2011 JSE-listed sugar producer Illovo on Friday said that it had successfully raised R939-million in Swaziland to fund its Umbombo expansion and cogeneration project. MD Graham Clark said that the funding had been critical to the company’s expansion plans and would enable it to increase production... →
Sappi approves chemical cellulose expansion at Ngodwana
By: Loni Prinsloo 9th May 2011 Paper and pulp producer Sappi on Monday announced that it would expand its Ngodwana mill operations in Mpumalanga to produce chemical cellulose, which is primarily used for viscose fibre in the textile industry, by 2013. The expanded mill would produce kraft linerboard, newsprint, as well as 210... →
Higher prices and sales see Mondi achieve strong Q1 profit
By: Loni Prinsloo 5th May 2011 JSE- and LSE-listed paper and packaging group Mondi on Thursday said that an increase in product prices and sales volumes more than offset growing input costs and reported a profit of €187-million for its first quarter, well in excess of profits from its previous two quarters. CEO David Hathorn... →
Mondi signs €750-million credit facility to complete its refinancing
By: Loni Prinsloo 15th April 2011 Johannesburg- and London-listed Mondi on Friday announced that it had inked a new €750-million credit facility, with a consortium of ten banks. CFO Andrew King said that the facility would further strengthen the group by extending its debt maturity profile and provide it with additional... →
Sappi announces $680m notes offering to repay debt
By: Loni Prinsloo 4th April 2011 Paper and pulp manufacturer Sappi on Monday announced an offer of $680-million in senior secured notes to be issued in two series due in 2018 and 2021. The proceeds of the offering would be used to redeem the remaining outstanding amount of the issuer’s 6,75% guaranteed notes due in 2012 and to... →
Mondi posts fourfold profit rise as demand and prices recover
By: Loni Prinsloo 21st February 2011 After two difficult trading years, paper and packaging group Mondi on Monday reported a significant increase in its full-year earnings, buoyed by a recovery in demand, which led to a positive pricing environment. The Johannesburg- and London-listed group reported a 312% jump in headline earnings... →
Sappi to unveil chemical cellulose growth plans later this year
By: Terence Creamer 10th February 2011 Pulp and paper producer Sappi will, within the next six months, announce several projects aimed at increasing its chemical cellulose capacity – a product used primarily by the textiles sector and which has emerged as an increasingly material contributor to the JSE-listed group’s earnings. CEO... →
Sappi to buy back $150m in debt, posts Q1 profit
By: Loni Prinsloo 9th February 2011 Paper and pulp manufacturer Sappi will continue to reduce its debt in the 2011 financial year, CEO Ralph Boëttger said on Wednesday, announcing a $150-million notes buyback. Sappi’s debt increased to $2,43-billion in the December quarter, from $2,22-billion in the previous quarter, owing to the... →
William Tell receives first part of DTI manufacturing grant
By: Chanel de Bruyn 19th November 2010 Wood-based panel (WBP) manufacturer William Tell has received the first R9-million of a manufacturing grant from the Department of Trade and Industry (DTI). In December last year, the AltX-listed company announced that it had been granted a R30-million grant from the DTI in respect of its second... →
Mondi sees strong final quarter, says rand a 'major headwind'
By: Chanel de Bruyn 1st November 2010 Paper and packaging group Mondi expects to continue to deliver a strong performance in the last quarter of the year, but warned that the continued strengthening of emerging market currencies was impacting on the competitiveness of some of the group’s businesses. The group, led by CEO David... →
KZN forestry property first to be proclaimed a nature reserve
By: Christy van der Merwe 29th October 2010 Gilboa Nature reserve is the first forestry property to be proclaimed as a private nature reserve within KwaZulu-Natal (KZN), under the biodiversity stewardship mechanism. Through the biodiversity stewardship initiative, Ezemvelo KZN Wildlife, in partnership with the Grasslands Programme of the... →
York begins to turnaround from dismal 2009 
By: Creamer Media Reporter 30th September 2010 Forestry and forest products group York Timbers recorded a R64,6-million profit in the 2010 financial year, a significant turnaround on the R232-million net loss recorded in the previous financial year. The group, which was hit by falling demand and prices during the 2009 recession, reported... →
Mondi transfers 258 ha to KZN community
By: Creamer Media Reporter 23rd September 2010 Paper and packaging group Mondi has concluded its ninth land restitution settlement, transferring 258 ha of its forestry land to members of the Mkhwanazi community, in Port Durnford, in KwaZulu-Natal. The members of the community will gain ownership of the land through the Phalane Trust and plan... →
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