Setra plans to close planing mill; invest in processing unit

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Setra/Fordaq
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The Swedish wood products company Setra will invest in the processing unit in Skutskär in order 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.

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

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