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Feds invest $10M in Kruger Packaging for mill transformation project

Kruger Packaging is investing over $30 million to modernize its Place Turcot Containerboard Mill in Montréal. The company expects this transformation to be completed in 2025.

Kruger shares in a press statement that the Place Turcot facility will be the first in North America to manufacture 100 percent recycled saturating kraft board, a product that is used to make high-pressure laminates for furniture, countertops and decorative panelling. In addition to eco-friendly saturating kraft board, Place Turcot will make other specialty products from 100 percent recycled fibres, including gypsum board paper, customized board for residential construction, folding box board for FDA-compliant food packaging and white top linerboard. The transformation project will help to secure the mill’s 153 jobs and contribute to reducing its overall environmental footprint.

In support of this innovative project, the government of Canada is contributing $10 million through the Investments in Forest Industry Transformation (IFIT) program. The Québec government is providing a combined sum of more than $3 million through the Innovation Bois Program, as well as the ÉcoPerformance program, which stems from the 2030 Plan for a Green Economy.

“With this transformation project, our aim is to secure the future of our Place Turcot Mill and to consolidate its position as a key player in the circular economy. We’re especially proud to take part in the efforts of the governments of Canada and Québec to strengthen our industry by investing in technology, energy efficiency and cutting-edge AI capabilities. This project will give us more flexibility to meet the ever-changing needs of the market and enable us to keep making better products with a smaller environmental footprint,” said Maxime Cossette, corporate vice-president of fibre, biomaterials and sustainability at Kruger.

The project was announced during a press conference held at the Place Turcot facility in the presence of the Honourable David Lametti, Minister of Justice and Attorney General of Canada, who was standing in for the Honourable Jonathan Wilkinson, Minister of Natural Resources; Maïté Blanchette Vézina, Québec Minister of Natural Resources and Forests; Maxime Cossette, Corporate Vice President, Fibre, Biomaterials and Sustainability at Kruger; and Stéphane Deshaies, General Manager of the Place Turcot Containerboard Mill.

“The Government of Canada is partnering with industry and workers to reduce emissions and create better products to meet global demand. Today, we announced a $10-million investment in Kruger Place Turcot mill in Montreal. This investment will result in a state-of-the art recycled product while reducing emissions and supporting good jobs,” said Minister of Natural Resources Jonathan Wilkinson.

A key aspect of the Place Turcot Mill’s transformation is the implementation of state-of-the-art machine learning and artificial intelligence technology. Together with upgrades to manufacturing equipment, these new capabilities will enable the plant to increase its productivity, reduce waste, and diversify its product lines to meet growing market demand for saturating kraft and other specialty paper grades.

The modernization will allow Place Turcot, which is the only consumer of old corrugated containers (OCC) in the Greater Montréal area, to consolidate its role as a crucial player in the circular economy. The mill consumes the equivalent of all OCC generated in the region. The mill is also expected to reduce its GHG emissions by more than 2,200 tonnes per year once the modernization is completed.

The Canadian forest sector plays a vital role in providing sustainable resources and materials for Canadian and global markets. From energy-efficient construction, to recyclable everyday items, to new environmentally friendly designs and innovations, the Government of Canada continues to support this sector and the workers who power it.

Kraft paper products like construction board, cardboard folding boxes and packaging for food and beverage items are extremely durable and commonly used. As we ban harmful single-use plastics, sustainable and recyclable alternatives are becoming more important than ever.