SCA to develop new container port, cargo handling areas in Tunadal

Business & Finance

Swedish forest products company SCA revealed plans to invest approximately SEK 460 million (about $54.7 million) in Tunadal port between 2021 and 2024.

SCA

As informed, the investment will encompass a new container port and new cargo handling areas.

Image Courtesy: SCA

SCA’s investments in Östrand pulp mill, in addition to the ongoing investments in pulp production at the Ortviken industrial site, will more than double the volume of pulp to be shipped from the Sundsvall region. The increased volumes mean that the pulp will be delivered to new and more distant markets. Tunadal and Bollsta sawmills are also ramping up their production volumes.

Containers are being increasingly used to transport pulp and solid-wood products. Over the past five years, the volume of containerized trade from Tunadal port has more than doubled, according to SCA.

“This development has meant that we need to be able to handle larger volumes of containerized cargo than previously and be able to accommodate larger ships – both container ships and break bulk vessels,” Magnus Svensson, President Sourcing and Logistics at SCA, explained.

SCA is now building out the port to be able to accommodate ships with a draft of 15 meters, compared with the current 12 meters. SCA also will build a container port with a capacity of 100,000 TEU per year.

Finally, the company intends to build land south of the current port to create new space for cargo handling.

“With this expansion of the port, we will be able to load significantly larger ships and be able to ensure the efficient and competitive transport of the products that are growing in volume in the region. Key parts of the port expansion will be ready in time for the new volumes from the Ortviken industrial site comprising pulp and recycled textile fibers from Renewcell.”

“With the expanded port, the combined terminal being built by the Municipality of Sundsvall and the improved rail links to Tunadal port, we will have a transport infrastructure that will move Sundsvall closer to the global export markets and the Scandinavian domestic market, thereby benefiting industry and trade across Northern Sweden,” Svensson concluded.