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AV Nackawic reopens


June 20, 2006
By Pulp & Paper Canada
The recently restarted AV Nackawic pulp mill

Nearly two years after its impromptu shut down, AV Nackawic is back in business. The official opening, celebrated b…

Nearly two years after its impromptu shut down, AV Nackawic is back in business. The official opening, celebrated by leading community, government and company stakeholders, took place on Thursday, June 15, marking what joint owners Tembec and Aditya Birla Group hope will be a successful and prosperous venture.

“Ihope that we can continue to build on this spirit of collaboration to make AV Nackawic a long-term success,” said Shailendra K. Jain, group director, pulp and fibre business of Aditya Birla Group. He added that the company may need more government help to cope with the rising Canadian dollar due to the 11% increase in value since the decision to buy the mill in April last year, while costs have remained the same.

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Frank Dottori, chairman of the AV Nackawic Board of Directors, said that the company must continue to address the fundamental issues of high wood and energy costs.

The mill, which closed in September of 2004, when its owners abruptly declared bankruptcy, reopened with a leaner workforce of 280 people. The facility has been converted, and will now manufacture rayon from dissolved pulp. The Aditya Birla Group of India holds 75% interest in the joint venture, while Tembec Inc. of Quebec holds the remaining 25%.


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