Stora Enso boosts Biomaterials division with acquisition of cellulose company 

31 Oct 2018 --- Pulp and paper supplier Stora Enso has increased its ownership stake in Sweden-based Cellutech from 22 percent to 100 percent in a move reflecting its goal of replacing fossil-based materials with renewable ones originating from wood. Cellutech specializes in the development of new materials and applications based on cellulose, micro-fibrillated cellulose (MFC) and other wood-based components.

“We are investing in technologies and expertise that will further broaden application development competence in Stora Enso’s Biomaterials Division,” says Markus Mannström, EVP, Stora Enso Biomaterials.

Cellutech primarily works in the areas of foams for packaging and hydroponics where the markets are continuously growing. Such materials can, in many instances, replace plastic.

“These wood fiber-based materials can be used, for example, in the areas of packaging and insulation, where cellulose foam can replace styrofoam – polystyrene being the most widely used plastic,” Mannström tells PackagingInsights.

“They can also be used in the area of hydroponics with cellulosic foam to replace other soil-replacing materials such as rock wool, peat and coconut fibers,” he adds.

Stora Enso drives reduction in CO2 footprint
Beyond the Biomaterials Division, Stora Enso is responding to some of the key drivers in the packaging industry – notably sustainability – in a range of ways.

“Many important things drive our work, including product quality, the ability to innovate and create value for the customer and its customers, and last but not least, service delivery and the ability to solve problems,” Gilles van Nieuwenhuyzen, EVP Packaging Solutions division Stora Enso, tells PackagingInsights.

“Sustainability is a driver as more retailers, both online and physical, set up clear goals to reduce their CO2 footprint. This involves shifting to wood-fiber-based packaging from fossil-based plastics,” he explains.

A recent launch that reflects Stora Enso’s renewable vision is Lineo. 

“Lineo is a versatile renewable replacement for oil-based phenolic materials with applications in industrial resins used in the manufacturing of wood panels and engineered wood. We are researching how to use Lineo for other applications in the future, including carbon fiber and energy storage,” Mannström tells PackagingInsights.

“In addition, DuraSense, launched earlier this year, is a renewable and sustainable replacement for fossil-based plastics in an extensive range of applications,” he adds.

Sustainability is a wide-ranging theme that reaches beyond material types. It covers the solutions around transport to optimize the pickup and packing of boxes to reduce lorry emissions; the more packages that can be transported in one vehicle, the less impact on the environment. This is especially relevant to e-commerce.

“The growth of e-commerce is global, rapid and significant. Traditional packaging is not enough anymore as brand owners and consumers alike are becoming more environmentally aware, while at the same time demanding innovative and user-friendly packaging solutions,” says van Nieuwenhuyzen.

“At Stora Enso we focus on innovation collaborations together with our customers to bring unique and sustainable packaging designs to market. Digitalization is also a critical factor to consider, and that can be leveraged to increase supply chain efficiencies and to explore new communication tools between brand owners and the consumers,” he adds.

“Examples of offerings that result from customer demands include intelligent (RFID/NFC-based) packages and a new portfolio of packaging products developed specifically for online retailers and brand owners.” 

“The continued growth of e-commerce is a megatrend that supports innovative packaging. Online retailers need innovative packaging designs that allow them to build loyalty while offering convenience for the end-consumer,” he concludes.

Sustainability and e-commerce are increasingly interwoven. The demand for packaging which is designed explicitly for e-commerce further intensified amid Amazon’s new requirements, announced in September, for Frustration-Free solutions which are appropriately sized, consumer-friendly, protective and sustainable. 

While materials based on renewable sources are gaining traction in the food and beverage industry, with some leading companies, such as Tetra Pak, aiming to have a portfolio consisting of materials based on 100 percent renewable sources.

The pressure to innovate around sustainable materials has intensified in the industry as a string of high profile commitments were recently signed on the topic of packaging and sustainability, for example, The New Plastics Economy Global Commitment.

By Laxmi Haigh