Sappi Fine Paper
75% of group sales
Sappi Fine Paper is a leading producer of:
- Coated graphic paper, used in producing calendars, catalogues, brochures, books, premium magazines, direct mailings and annual reports.
The division also produces a range of:
- Uncoated graphic and business paper,
- Coated and uncoated speciality paper – such as paper used in flexible packaging – and
- Casting release paper used in the manufacture of synthetic leather and decorative laminate products.
With 11 mills in Europe and North America, Sappi Fine Paper has the capacity to produce 4.9 million tons of fine paper per year and is approximately 74% integrated in terms of capacity based pulp supply.
On a regional basis, we purchase slightly less than half of the Sappi Fine Paper business’ pulp requirements in Europe and are net sellers of pulp in North America. The Sappi group, including Southern Africa, is approximately 98% integrated in terms of capacity based pulp supply.
The two manufacturing regions, namely:
have customers in over 100 countries. This geographic spread of our operations allows us to optimise global knowledge of market developments, operational best practices and technological advancements.
Sappi Southern Africa
25% of group sales
Sappi was formed in South Africa in 1936 to serve South African consumers with locally produced paper. Sappi Paper and Paper Packaging continues this tradition by innovating and developing new products to meet local demand for:
- coated and uncoated fine paper,
- office and business paper (stationery, printing and photocopying),
- security and speciality paper (passports, cheque and election ballot paper),
- containerboard (cardboard boxes used for exporting fruit)
- packaging paper (petfood, agriculture and fast moving consumer goods).
Headquartered in Johannesburg (South Africa), the division operates five pulp and paper mills and has a production capacity of approximately one million tons of paper and one million tons of pulp per year.
Sappi Forests supplies over 70% of the wood requirements of Sappi Southern Africa from both our own and managed commercial timber plantations of 554,000 hectares. This equates to more than 35 million tons of standing timber.
All wood grown on Sappi-owned land and a large proportion grown on plantations managed by us is Forest Stewardship Council™ (FSC™)
and ISO 9000 certified. Approximately 150,000 hectares of our land is set aside and maintained by Sappi Forests to conserve the natural habitat and biodiversity found there, including indigenous forests and wetlands.
Sappi's sawmill, Lomati, produces sawn timber for the construction industry.
Sappi Southern Africa is a net seller of pulp that effectively hedges pulp purchases by our European business.
Our Specialised Cellulose division produces dissolving wood pulp, sold to converters for a wide range of consumer products, but in particular for viscose and textiles. We are the world’s largest manufacturer of dissolving wood pulp and we export almost all of the production of our Sappi Saiccor Mill in KwaZulu-Natal.
The mill has the capacity to produce 800,000 tons of dissolving wood pulp per year.
In 2011 we announced plans to expand our dissolivng wood pulp production capacity by almost 70% to 1.3 million tons through two conversion projects, namely 220,000tpa at our Cloquet Mill in the USA and 210,000tpa at our Ngodwana Mill in South Africa. These projects are due to come on line before June 2013.
Sappi Trading operates a network for the sale and distribution of our products outside our core operating regions of North America, Europe and Southern Africa.
Headquartered in Hong Kong (China), the division manages a network of 11 sales offices and serves over 100 countries around the world. Sales and logistical operations are provided for most of the group’s pulp sales and a large proportion of the group’s fine paper and specialty paper sales in export markets.
By providing our manufacturing regions with cost effective access to worldwide markets, the division is an essential component in maximising Sappi’s profitability.