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The cellulose sector plans R$105 billion in new investments by 2028, expanding factories and creating thousands of jobs.
A industry Brazilian pulp and paper industry is preparing for a new cycle of growth and modernization. With projected investments totaling R$105 billion by 2028, the sector aims to expand its production capacity, improve its logistics infrastructure and boost the creation of job vacancies. This ambitious plan was recently announced by the president of the Brazilian Tree Industry (IBÁ), Paulo Hartung, during a meeting at Palácio do Planalto with president Luiz Inácio Lula da Silva and the vice-president and minister of Development, Industry, Commerce and Services , Geraldo Alckmin.
Confidence in Brazil and the cellulose industry
During the announcement, Geraldo Alckmin highlighted the importance of these investments for the country. According to him, “this is a super important announcement, which shows confidence in Brazil”. The vice-president also highlighted that the paper and cellulose industry is an example of the “New Brazil Industry”.
He emphasized the competitiveness of the sector, which in addition to being innovative and sustainable, is a major exporter and contributes significantly to the Brazilian trade balance.
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Currently, Brazil is the largest exporter and second largest producer of cellulose in the world.
IBÁ represents 47 companies in the sector and 10 state entities linked to products derived from the industry, such as wood panels, laminated flooring, cellulose, paper, energy forests and biomass.
Among the biggest projects announced, some already underway, are investments from the companies Arauco (R$25 billion), Suzano (R$22,2 billion), CMPC (R$25 billion), Bracell (R$5 billion) and Klabin (R$1,6 billion).
Generation of job vacancies
The announced investments should generate a significant impact on the job market.
According to the client involved, 36 jobs will be created during construction work at the new factories and another 7,3 direct and indirect jobs will be created when the units come into operation.
Paulo Hartung explained that these investments will be allocated to new factories in regions with low economic dynamism, following a Ministry of Agriculture program that promotes the conversion of areas of low pasture productivity into cultivated forests.
He highlighted that the cellulose industries are expanding, with 19% growth in the production area in the first six months of the year, compared to the same period of the previous year.
The sector is one of the country's largest employers, generating 2,6 million direct and indirect job openings in 2022.
Another highlight is the commitment to sustainability, since 90% of the energy consumed in the sector's industrial operations comes from renewable sources.
Main investment projects in the cellulose industries
Arauco — Innocência (MS): Sucuriú Project (R$ 25 billion)
Arauco, a Chilean company, is investing in its first cellulose factory in Brazil, scheduled to open in 2028.
A unit It will have an initial production capacity of 2,5 million tons per year, with the potential to double by 2032.
The project also includes the generation of 400 MW of clean energy, ensuring the plant's energy self-sufficiency.
The construction is expected to generate 12 jobs at the peak of works for the cellulose industry, in addition to 2,3 direct and indirect jobs in the operational phase.
Suzano — Ribas do Rio Pardo (MS): Cerrado Project (R$ 22,2 billion)
Suzano is investing R$15,9 billion in the construction of a new factory and another R$6,3 billion in logistics infrastructure and the formation of a planting base.
The new unit will have a production capacity of 2,55 million tons of eucalyptus pulp per year, making it the largest single cellulose production line in the world.
Operations began in July this year, with the creation of 3 direct and indirect jobs, in addition to 10 jobs during construction.
CMPC — Barra do Ribeiro (RS): CMPC Nature Project (R$ 25 billion)
The Chilean multinational CMPC plans to invest R$25 billion in a new industrial pulp plant and a port terminal.
The new factory will have an annual production capacity of 2,5 million tons of bleached eucalyptus pulp.
The project is expected to generate 12 jobs during construction and another 1,5 jobs when the plant is in operation.
Other company projects in Brazil are:
Bracell — Lençóis Paulista (SP): Tissue Project – Bracell Papéis (R$ 5 billion)
Bracell, controlled by Royal Golden Eagle (RGE), will invest R$5 billion in a new tissue paper (sanitary paper) factory.
The construction is expected to generate 2 jobs for the cellulose industry, with a further 550 permanent jobs in the operation.
Klabin — Piracicaba (SP): Figueira Project (R$ 1,6 billion)
Klabin, a packaging paper producer, is finalizing an investment of R$1,6 billion in Piracicaba.
The project involves the expansion of the company's production capacity in the region.
Eldorado Brasil — Três Lagoas (MS): R$ 25 billion
Eldorado Brasil plans to invest R$25 billion in the construction of a second production line in Três Lagoas, in addition to a new railway branch to transport production.
In Ribas do Rio Pardo/MS, an excellent option for economically exploiting degraded or low-fertility lands and for settling people in sparsely populated areas such as Mato Grosso do Sul. However, it cannot be separated from important investments in public policies such as sanitation****, supply, education, health, security and urban and road mobility.
Correct that, the media is already discredited in the last one, and you lie too much. It's 3 billion dollars. Not 105 billion.
If you add up all the values, it comes to close to 100 billion, but in reality it will be more!! Bracell announced this week another project worth around 25/30 billion and there is already a lot happening that has already happened this year!!
Congratulations to the federal government! The Ministry of Agriculture's program launched in 2024 that promotes the conversion of low-productivity pasture areas into cultivated forests, in addition to contributing to food security, combating climate change, and sustainable development. A 10!