Stora Enso, a leading force in renewable packaging solutions, has taken a bold step towards revolutionizing its corrugated packaging production in Poland. The company has announced a substantial investment of €30m to enhance its Ostrołęka facility, demonstrating its commitment to meeting the growing demand for sustainable packaging solutions while simultaneously improving operational efficiency. This strategic move is set to strengthen Stora Enso's position in the European market and reinforce its integration with its containerboard business.
At the heart of this investment is the installation of a state-of-the-art 2.8m-wide corrugator, which will significantly boost the facility's production capabilities. This advanced piece of equipment, coupled with other planned upgrades, will enable Stora Enso to cater to a wide range of industry segments, including food and beverage, electronics, furniture, and the rapidly expanding e-commerce sector. The company's focus on these diverse markets underscores its adaptability and foresight in addressing evolving packaging needs across various industries.
Ad Smit, Stora Enso Packaging Solutions EVP, emphasized the company's ambition to become the premier partner for corrugated packaging solutions in Europe. He stated, This investment demonstrates our dedication to further strengthen our position in this area and serve our customers even more efficiently than today through our modernised production in Poland. This statement reflects Stora Enso's customer-centric approach and its commitment to continuous improvement in its service offerings.
The timeline for this ambitious project is clearly defined, with construction scheduled to commence in the third quarter of 2024. The company expects to complete the upgrades by the end of 2025, setting a brisk pace for the implementation of these significant changes. This swift timeline indicates Stora Enso's urgency in adapting to market demands and its confidence in executing large-scale projects efficiently.
In parallel with this substantial investment, Stora Enso has also announced key executive appointments that will shape the company's future leadership. Niclas Rosenlew has been named as the new group CFO, succeeding Seppo Parvi. Rosenlew, currently serving as group CFO at SKF, a Swedish stock-listed industrial company, brings a wealth of financial experience from his previous roles at Basware, Microsoft, and Nokia. This appointment signals Stora Enso's focus on strengthening its financial leadership and strategic planning capabilities.
Additionally, Carolyn Wagner has been appointed as the executive vice-president of the Packaging Solutions division, taking over from the retiring Ad Smit. Both Wagner and Rosenlew are set to join Stora Enso by January 2025 and will become integral parts of the company's group leadership team. These appointments reflect Stora Enso's commitment to bringing fresh perspectives and diverse expertise to its top management, potentially driving innovation and growth in the coming years.
It's worth noting that this investment in Poland comes at a time when Stora Enso is carefully considering its strategic moves across Europe. In May of this year, the company postponed its decision to convert two paper machines at its Langerbrugge site in Belgium into a high-volume recycled containerboard line. This pause in the Belgian project, contrasted with the significant investment in Poland, suggests a nuanced approach to resource allocation and market prioritization within the company's broader European strategy.
