Södra’s business is built on value-generating relationships and a long-term approach. The overall assignment from its owners is to promote the profitability of their forest estates by providing advice and support for responsible and sustainable forestry, and to contribute to a market-based rate of return on their forest products.
The wood from their forest estates is processed in Södra’s mills and converted into sawn and planed timber, interior wood products, biofuel and pulp for the pulp market. Södra purposefully focuses on innovation to develop new products based on renewable wood raw material.
Södra has one of the largest sawmill operations in Sweden, and is one of the biggest suppliers of softwood sulphate pulp to the European pulp market. Södra also produces dissolving hardwood pulp. Södra’s three pulp mills are largely fossil-fuel free, and generate surplus energy. This energy is sold as bio-based products, such as green electricity and district heating. In 2015, the wood volume was 15.1 million m³sub (cubic metres solid volume underbark), Södra’s sales amounted to more than SEK 18 billion and the number of employees was approximately 3,600.
SÖDRA HAS THREE BUSINESS AREAS
Södra Skog purchases forest products from members and delivers them to Södra’s mills. Södra Skog also provides forestry services and, on behalf of Södra’s members, manages the entire ecosystem of their forests – from planting and forest management to final harvesting, land preparation and replanting for future-generation forestry. The business activities are locally based, in 19 geographic forestry operations areas and 36 forestry districts.
Södra Wood comprises two product segments: sawn timber and interior wood products. High-grade sawn and planed construction materials are produced at Södra’s sawmills and planing mills. Interior wood products include moulding, panelling, flooring, glue boards and posts. Södra Wood also offers pellets, wood shavings and other by-products of wood raw material.
With its three pulp mills at Värö, Mörrum and Mönsterås, Södra Cell is one of Europe’s leading manufacturers of pulp for the pulp market. The operations have now entered a phase of expansion, due to a major investment programme. Softwood pulp accounts for some 80 percent of the production volume, and hardwood pulp for the remaining portion. Dissolving pulp is also produced at the mill in Mörrum. Södra is a major supplier of biofuel, green electricity and district heating.