Cascades Inc. has announced the permanent shutdown of its Norampac containerboard mill in Burnaby, B.C., blaming high operating costs and a high dollar.
Cascades Inc. has announced the permanent shutdown of its Norampac containerboard mill in Burnaby, B.C., blaming high operating costs and a high dollar.
The Kingsey Falls, Que.-based forest products company that makes green packaging and tissue paper products said nearly 100 employees would be affected by the Dec. 1 closure.
“This decision was made to mitigate the negative impact of several factors such as the strength of the Canadian dollar, as well as very high labour and recycled fibre costs,” said Marc-Andre Dépin, president and CEO of Norampac.
Depin said the mill’s profitability has been below expectations for a few years.
The mill, which produces 100% recycled linerboard, medium and gypsum used to manufacture cardboard boxes and other corrugated packaging, has an annual capacity of 128,000 short tons. Norampac said it will redirect that production to other plants.
Norampac has already reached an agreement to sell the Burnaby property.
Print this page
