Cascades Inc. is closing its Norampac containerboard mill in Burnaby BC, blaming high operating costs and a high dollar.
September 21, 2011
by PLANT STAFF
KINGSEY FALLS, Que: Cascades Inc. is closing its Norampac containerboard mill in Burnaby BC, blaming high operating costs and a high dollar.
The Kingsey, Que.-based forest products company that makes green packaging and tissue paper products, said nearly 100 employees would be affected by the Dec. 1 closure.
“This decision was made to mitigate the negative impact of several factors such as the strength of the Canadian dollar, as well as very high labour and recycled fibre costs,” said Marc-Andre Dépin, president and CEO of Norampac.
Depin said the mill’s profitability has been below expectations for a few years.
The mill, which produces 100% recycled linerboard, medium and gypsum used to manufacture cardboard boxes and other corrugated packaging, has an annual capacity of 128,000 short tons. Norampac said it will redirect that production to other plants.
Cascades employs almost 11,000 employees at more than 100 locations in North America and Europe.