Swedish forest products firm SCA has announced its plans to invest nearly $54.7m in Tunadal port between 2021 and 2024.
The company stated that the funds will be used for developing a new container port and new cargo handling areas.
In addition to investing in pulp production at the Ortviken industrial site, the company’s investments in the Östrand pulp mill will increase the pulp to be shipped from the Sundsvall region to more than twice the current capacity.
The rise in volume clearly indicates that the pulp will now be supplied to new markets.
Furthermore, Tunadal and Bollsta sawmills are also boosting their production volumes.
The company noted that the volume of containerised trade from Tunadal port has grown by more than two times over the last five years.
SCA sourcing and logistics president Magnus Svensson said: “This development has meant that we need to be able to handle larger volumes of containerised cargo than previously and be able to accommodate larger ships, both container ships and breakbulk vessels.”
The port will be built to handle vessels with a draft of 15m instead of the current 12m.
The company is also planning to build a new space for cargo handling near the new container port, which will have a capacity of 100,000 TEU.
Svensson said: “With this expansion of the port, we will be able to load significantly larger ships and be able to ensure the efficient and competitive transport of the products that are growing in volume in the region. Key parts of the port expansion will be ready in time for the new volumes from the Ortviken industrial site comprising pulp and recycled textile fibres from Renewcell.
He added: “With the expanded port, the combined terminal being built by the Municipality of Sundsvall and the improved rail links to Tunadal port, we will have a transport infrastructure that will move Sundsvall closer to the global export markets and the Scandinavian domestic market, thereby benefiting industry and trade across Northern Sweden.”