Suzano invests R$490 million to expand fluff pulp capacity to 440,000 tons

31/10/2023
Hawthorn Advisors

Suzano, the world’s largest market pulp producer, today announces it will invest R$490 million (approximately US$100 million) in a new fluff pulp line.

The new capacity will enable Suzano to meet rising global demand and enhance sustainability standards for absorbent personal hygiene products, including baby and adult diapers, feminine hygiene items, and pet pads.

This investment will support the conversion of a BHKP pulp line at the Limeira mill into a flex machine capable of producing either Suzano’s Eucafluff® or BHKP. As a result, the company’s annual installed fluff pulp capacity will increase from 100,000 tons to 440,000 tons, with production expected to begin by Q4 2025.

The global fluff market is currently estimated at 6.4 million tons per year, with a projected CAGR of 4.2%, according to independent consultants. This growth is driven primarily by the increasing demand for adult diapers, a consequence of the aging global population and a growing middle class with greater access to hygiene products.

Eucafluff® is the world’s first bleached kraft fluff pulp made entirely from planted eucalyptus. It is the result of nearly 15 years of research conducted by Suzano. Studies and market tests carried out with leading global hygiene brands have demonstrated multiple advantages, including enhanced liquid retention (rewet), comfort, and discretion.

Suzano’s Eucafluff® is included on the list of raw materials authorized for use in disposable personal care products that comply with the EU Ecolabel and Nordic Swan certifications. These European environmental labels recognize products that meet rigorous sustainability standards across their life cycle, including reductions in fossil energy consumption, carbon emissions, water use, and land use when compared to alternative materials.

Leonardo Grimaldi, Executive Officer – Commercial Pulp, Fluff and Logistics at Suzano, stated:

“Suzano is committed to investing in innovative solutions that have a positive environmental impact, offer cost efficiency, and are scalable. Eucafluff is a perfect example of this. Following many years of R&D, we have pioneered the use of fluff made from planted eucalyptus, which brings performance advantages that enhance multiple features of our customers’ products. Ongoing projects with several global customers and rising demand for Eucafluff have made us confident that now is the right time to scale up our production.”