The sale of Cape Kraft Mill, along with the sale of Enstra Mill which was completed earlier this month, signals Sappi's exit from the recycled paper packaging market, a market where Sappi did not enjoy any competitive advantage.
Sappi Southern Africa in future will focus on: its commercial timber operations; enhancing its already world-leading dissolving wood pulp capacity at Ngodwana and Saiccor Mills; investing in its containerboard capacity at its Tugela and Ngodwana Mills; its tissue and office (copy) paper capacity at Stanger Mill; its newsprint capacity at Ngodwana Mill; providing the South African market with a worldclass range of coated, uncoated and speciality papers made at Sappi's European mills, as well as, increasing its by-products offering including Lignosulphonate from Tugela Mill.
