To maintain its strong position and develop an even more competitive industrial structure over time, Södra Wood is consolidating its sawn timber operations. The aim is to achieve economies of scale by relocating production volumes to Södra Wood's larger production units.
Södra's mission is to strengthen the value of family forestry by ensuring that our mills process raw material in the most profitable way possible by constantly strengthening competitiveness. In recent years, we have experienced major external changes that have affected the market for wood raw material, while demand for sawn timber has slowed.
To strengthen and future-proof Södra Wood's competitiveness, the industrial structure will be changed in 2024 and the units in Åtvidaberg and Ramkvilla will be closed down. The unit in Klevshult will be converted to a processing unit developed towards planing and the sawmill operations will be discontinued. Parts of Södra's unit in Torsås will be closed down and the remainder put up for sale. The assessment is that these changes will make 61 employees redundant.
"We operate in a competitive industry where it is important to keep our eyes on the horizon and work with continuous improvement. This decision has been made to strengthen our position and to gradually build up an even more competitive operation, where the offering to Södra Wood's customers is at least as attractive tomorrow as it is today. It is always difficult when a change affects employees and we will offer the best possible support to those affected throughout the process," said Marcus Åsgärde, President of the Södra Wood business area.