Canfor Pulp, UPM Agree to Pulp Sales Cooperation

Canfor Pulp Products Inc., Vancouver, B.C., Canada, and UPM-Kymmene Corp., Finland, have agreed to a strategic sales and marketing cooperation. Beginning January 1, Canfor Pulp's sales network will represent and co-market UPM Pulp products in North America and Japan, whereas UPM's Pulp sales network will represent and co-market Canfor Pulp products in Europe and China. In the initial phase, the cooperation agreement will consist of six grades of market pulp and approximately 1 million metric tons of pulp sales from eight mills on three continents.

Both parties consider the agreement as a significant strategic step. The customers will benefit from a broader product portfolio consisting of premium reinforcing northern bleached softwood kraft (PRP NBSK), northern bleached softwood kraft (NBSK), northern bleached birch kraft (NBBK), bleached eucalyptus kraft (BEK), unbleached electrical kraft pulp (UBE), and bleached chemi-thermomechanical pulps (BCTMP).

"We are very excited to be entering into this direct-to-market sales cooperation with UPM Pulp. This agreement will bring two significant and reputable market pulp producers together to offer our customers a broader technical approach and an enhanced product offering for a total fiber solution," said Sean Curran, VP, Sales and Marketing, Canfor Pulp Products.

Tomas Wiklund, VP, sales and marketing, UPM Pulp, said that "we are pleased to start this sales and marketing cooperation with Canfor Pulp, which is a renowned market leader in the pulp business. The cooperation will provide our customers the most versatile range of northern softwood, birch, and eucalyptus pulps available in the market, combined with world-class technical service."

TAPPI
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