Eurocan Pulp & Paper Co. (District of Kitimat)

Canada / British Columbia / Kitimat / District of Kitimat
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Owned by West Fraser Timber Co, this mill produces unbleached linerboard and sack-kraft paper (grocery bags).

www.westfraser.com/products/pulp/eurocan.asp

On October 28, 2009, West Fraser announced that the Eurocan mill will close permanently on Jan 30, 2010, throwing 535 employees out of work. The 40-year-old mill, which produces linerboard and kraft paper, has historically struggled with high costs and negative returns. A contributing factor to the mill’s problems in recent years has been sawmill curtailments in the region, which have reduced the supply of lower-cost residual wood chips to Eurocan and increased the mill’s reliance on more expensive whole log chips.

In addition to these ongoing challenges, the mill’s situation took a dramatic negative turn during the past year. Since December of 2008, Eurocan has experienced a drop of approximately 40 per cent in the net selling price of its products.

This decline has been driven by the global economic slowdown, the rise of the Canadian dollar and severe competition from low-cost paper producers in other countries.
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Coordinates:   54°2'21"N   128°41'53"W

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