SCA announces suspension of planned construction project in Olawa

Swedish paper concern SCA has suspended its decision to build a paper mill in Olawa, although the company stresses that it has not withdrawn its investment, only postponed it. The first stage of the project would have involved the construction of a brand new hygienic paper production factory, at a cost of DM100 million to DM150 million. According to Michael Pedersen, president of SCA Hygiene Products, the decision to suspend the investment was necessary in view of the uncertain situation on the European market. Any decision to relaunch the investment is not expected until next year. However, SCA is still considering building a distribution center in Olawa, at a cost of some DM20 million. (Rzeczpospolita, p. B3) P.W.