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Giant Chooses Brazil and Injects R$ 25 Billion Into Mega Pulp Factory — More Jobs Than Residents in Small Town and Record Production

Published on 13/09/2025 at 12:21
Updated on 13/09/2025 at 12:24
Celulose, Inocência, Mato Grosso do Sul, Fábrica de celulose
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Arauco’s Sucuriú Project Transforms Inocência Into A Billion-Dollar Industrial Hub, With Record Production Of Pulp, Sustainable Energy, And Thousands Of Jobs

The Chilean company Arauco confirmed the selection of Inocência, in Mato Grosso do Sul, as the location for the Sucuriú Project. The investment allocated for the factory’s implementation is US$ 4.6 billion, equivalent to R$ 25 billion.

According to the company, the undertaking is considered the largest pulp project in a single phase ever carried out in the world.

The expectation is that the plant will start operations by the end of 2027, with the capacity to produce 3.5 million tons of pulp per year.

Why The City Was Chosen

The choice of the region is explained by the natural conditions. The soil and climate favor the cultivation of eucalyptus, the main raw material for the industry.

While in Chile the tree takes about 12 years to be ready for harvest, in Mato Grosso do Sul this period is reduced to approximately seven years.

This difference makes the region highly competitive and attractive for Arauco’s expansion. Therefore, Inocência becomes part of the so-called “Pulp Valley,” which includes municipalities dedicated to the sector.

Pulp Factory: Job Creation And Energy

During the construction phase, the factory could open up to 14,000 job positions. If we compare this with Inocência’s population, which is around 8,400 inhabitants, we already have an idea of the impact this gigantic project will have on the city.

Moreover, after completion, the permanent operation is expected to guarantee around 6,000 direct and indirect jobs in areas such as logistics, transportation, and tree replanting.

The project also provides for significant energy capacity. The plant will have 400,000 hectares of eucalyptus planted to support production.

At the same time, the unit will be able to generate 400 megawatts of energy, with half allocated to the national electrical grid.

Impact On Inocência

With just over 8,400 inhabitants, Inocência is set to undergo a major transformation in the coming years. Founded in 1959, the municipality is known as the “Princess of MS” and has an economy based on agriculture and reforestation.

The arrival of the factory promises to boost the local economy, which currently has a Gross Domestic Product (GDP) of R$ 406.2 million and a GDP per capita of R$ 53,691.86.

The city occupies an area of 5,776.26 km² and could gain prominence within the forestry sector, as it will become a key player in the Brazilian pulp export chain.

Additionally, the project brings new opportunities for income, development, and appreciation for the population, consolidating Inocência as one of the most strategic industrial hubs in the country.

With information from Diário do Litoral and GMC Online.

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Romário Pereira de Carvalho

Já publiquei milhares de matérias em portais reconhecidos, sempre com foco em conteúdo informativo, direto e com valor para o leitor. Fique à vontade para enviar sugestões ou perguntas

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