Metsä Group's Wood Products Industry Metsä Wood has bought a 10 hectare industrial site in the city of Pärnu, Estonia and commences the construction work of the new birch plywood mill immediately.

The construction of the birch plywood mill in Pärnu is part of the 100 million euro investment program Metsä Wood published in June 2016. The program is carried out during 2017-2018.

The new mill will create approximately 200 jobs to Pärnu. The mill will start production by the second half of 2018.

"Metsä Wood is investing in birch plywood production to better meet the globally growing demand. The location of the new mill in Pärnu offers very good logistical connections to our main markets. The birch veneers will be manufactured in Finland and converted into plywood at the Pärnu mill. This is a major investment in our competitiveness. The annual birch plywood production capacity at the Pärnu mill will be 50 000 cubic metres," says Jari Tikkanen, SVP Production and technology at Metsä Wood.

The construction agreement signed between Metsä Wood and Nordecon AS includes the construction of the production hall of 29 000 square metres and the non-work rooms and office premises.