Forests

With 2.6 million hectares, SCA is Europe’s largest private forest owner.

Swedish forestOver 75% of the forestland, 2 million hectares, is used for active forestry, of which approximately 5% is excluded from felling in order to preserve the natural values of the forest. The remainder comprises areas with low timber production.

The forest is managed on a long-term basis and provides the base of SCA’s raw material integration. Residual products from felling, such as branches and tops, are being used increasingly for production of renewable energy. A pilot project is also under way using stumps as an energy raw material.

SCA’s forests are managed to sustainably yield valuable wood raw material, while the forests nature qualities are preserved. SCA’s forestry is managed according to the demanding standard of Forest Stewardship Council (FSC) for responsible forest management.

Strategy

Control of its own wood raw material is a key part of the Group’s long-term strategy. It provides a stable cash flow, reliable supplies and facilitates quality and cost control. This is becoming increasingly important with intensified competition for timber raw material in northern Europe and rising demand for biomass from the energy sector, which confirms the value of the Group’s long-term sustainability strategies.