2015-09-01

Setra to streamline and further develop processing business

The wood products company Setra is to streamline and further develop its processing business in order to strengthen long-term competitiveness. Setra will invest in the processing unit in Skutskär to meet new customer demands. Negotiations will be initiated under the Co-determination at Work Act (MBL) on closure of the planing mill in Valbo.

“In order to optimise the flows in each business – from raw material to customer – we will have more efficient production in fewer units and increase our total capacity utilisation,” says Hannele Arvonen, President and CEO of Setra.

“A new structure, where we think “One Setra” and place marketing expertise in one organisation and production expertise in another, will provide conditions for improved efficiency, stronger competitiveness and a clearer customer focus throughout the value chain,” says Arvonen.

In order to optimise capacity utilisation at existing units, Setra has decided to initiate negotiations under the Co-determination at Work Act (MBL) on closure of the planing mill in Valbo during 2016 and relocating these operations to the Group’s other units. Setra Valbo is located in Gävle municipality and has some 25 employees who are affected.

At the same time, in order to develop its processing business, during the autumn Setra will start an investment in strength grading and cutting to exact lengths at the processing unit in Skutskär.

“The investment in strength grading and cutting to exact lengths will increase our competiveness and strengthen our total offering to both the building materials trade and industry. Furthermore, this will strengthen our positions in selected export markets,” says Olle Berg, Market Director at Setra.

Setra Group has a total of nine sawmills (two of which have integrated further processing), three specialised processing units and two modular building factories.

Setra to streamline and futher develop processing business