SCA TISSUE MEXICO

The project concerns the design, construction and operation of a new tissue (toilette paper) production plant from recycled paper in Tepeapulco, Hidalgo (Mexico), with an annual capacity of 60 kt. The purpose of the project is to substitute obsolete promoter’s existing plants and increase its current production capacity in Mexico.

The project will contribute to the supply security on the fast growing Mexican hygiene paper market and increase competition on this market. It increases the utilisation rates of recycled paper made from locally collected recovered paper, which also stimulates higher collection of waste paper reducing pressure on natural resources. The paper mill will also not only create considerable direct employment opportunities during construction and operation of the mill but also indirect jobs mainly in the labor intensive upstream paper collection business and in the service sector.

The new production plant requires an EIA in accordance with the Mexican Environmental legislation as well as European legislation (EIA Directive 85/337/EEC). On February 27th 2009 after the completion of the EIA procedure (which includes public hearing), an Environmental permit was granted to the project.

The promoter is a European owned private company that is not operating in the utilities sector, and thus is not covered by EU Directives on procurement. The promoter carries out competitive international consultations among potential suppliers for goods and services, which is a standard practice for this industry.