Setra to streamline and further develop processing business

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The wood products company Setra is to streamline and further develop its processing business in order to strengthen long-term competitiveness. Setra will invest in the processing unit in Skutskär to meet new customer demands. Negotiations will be initiated under the Co-determination at Work Act (MBL) on closure of the planing mill in Valbo.

“In order to optimise the flows in each business – from raw material to customer – we will have more efficient production in fewer units and increase our total capacity utilisation,” says Hannele Arvonen, President and CEO of Setra.

“A new structure, where we think “One Setra” and place marketing expertise in one organisation and production expertise in another, will provide conditions for improved efficiency, stronger competitiveness and a clearer customer focus throughout the value chain,” says Arvonen.

In order to optimise capacity utilisation at existing units, Setra has decided to initiate negotiations under the Co-determination at Work Act (MBL) on closure of the planing mill in Valbo during 2016 and relocating these operations to the Group’s other units. Setra Valbo is located in Gävle municipality and has some 25 employees who are affected.

At the same time, in order to develop its processing business, during the autumn Setra will start an investment in strength grading and cutting to exact lengths at the processing unit in Skutskär.

“The investment in strength grading and cutting to exact lengths will increase our competiveness and strengthen our total offering to both the building materials trade and industry. Furthermore, this will strengthen our positions in selected export markets,” says Olle Berg, Market Director at Setra.

Setra Group has a total of nine sawmills (two of which have integrated further processing), three specialised processing units and two modular building factories.

For further information, please contact:

Hannele Arvonen, President and CEO, telephone +46 8 705 03 10, mobile +46 706 18 19 17

Olle Berg, Market Director, telephone +46 8 705 03 11, mobile +46 705 31 43 45

Setra is one of Sweden’s largest wood products companies. We process raw material from responsibly managed forests and offer climate-friendly products and solutions for building and living in a global market. The Group has approximately 900 employees and annual sales of SEK 4.2 billion. Exports to Europe, North Africa, the Middle East and Asia account for about 60% of sales.

Read more at www.setragroup.com.

Press contact: Lotta Löwhagen Lundberg, lotta.lowhagen.lundberg@setragroup.com, +46 706 54 13 44

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