Chilean pulp and paper giant Arauco has officially launched construction of its Sucuriú Project, a greenfield short-fiber pulp mill in Inocência, Mato Grosso do Sul, Brazil.
With an estimated investment of USD 4.6 billion, the facility will have an annual production capacity of 3.5 million tonnes and is expected to begin operations in late 2027.
Arauco CEO Cristián InfanteThe cornerstone ceremony, held on April 9, brought together company executives, government officials, and industry stakeholders. Arauco CEO Cristián Infante highlighted the company’s commitment to sustainable development and praised the local government’s professionalism as a key factor in choosing the site.
The Sucuriú mill will be the largest single-phase pulp plant in the world and will generate over 14,000 direct jobs during construction and approximately 6,000 once operational. The project also marks Arauco’s entry into Brazil’s pulp market and is expected to strengthen the company’s global position in the sector.
Valmet has been selected as the main technology supplier for the plant, which will occupy 3,500 hectares. The company estimates that 400,000 hectares of eucalyptus plantations will be needed to supply the mill, with 80% of that already secured through partnerships with local producers.
About Arauco
Arauco is one of the world’s leading forestry and wood products companies, headquartered in Chile. With operations in over 75 countries, Arauco is a global player in pulp, timber, panels, forestry, and bioenergy. The company manages extensive forest plantations and operates 55 industrial facilities across Latin America and North America, including Brazil, Chile, Argentina, Uruguay, Mexico, and the United States.