Since 1990, environmental award-winner JK Paper has provided income for thousands of farmers and increased reliance on waste recycling as a substitute for virgin pulp. Meantime, the company has improved operational performance and significantly reduced its debt burden. Net income has increased 36 percent annually, on comparatively high margins. The company attributes its ability to lower operational costs to more efficient processes, captive generation facilities and lower-cost wood supply sources from its farm forestry programs. IFC is supporting the company in these ongoing efforts, with a long term investment in a new production facility that will drastically reduce reliance on virgin pulp. IFC’s GMS sector experts are providing guidance on green processes and sustainable forest management practices.
IFC Role
- $26.5 million debt and equity investment in support of new, eco-friendly, high-end duplex board plant that will use recycled waste paper, mechanical pulp and surplus mill pulp as main raw materials
- Leading-edge green equipment helps reduce chlorinated organic pollutants
- 55,000 indirect jobs for farm families through JK Paper’s farm forestry program
