Italian mill will switch to packaging paper production

Italy-based paper maker Burgo Group has reportedly signed a memorandum of understanding to reopen a mill in Avezzano, Italy, that had been idled. The mill, which formerly produced specialty papers, will instead make packaging grades after a reported €20 million ($21.4 million) investment.

The memorandum was signed by Burgo Group officials as well as by representatives from the municipality of Avezzano and the Abruzzo regional government, according to an online report from the Ansa news organization. Abruzzo is in central Italy, east of Rome.

As part of the agreement, Brugo has reportedly guaranteed to bring employment levels back to where they were before the mill was idled while the government jurisdictions agreed to expedite environmental and administrative permitting procedures.

The Burgo Group says on its website it only used about 1% recycled fibre as feedstock when it focused on graphic, printing and specialty papers. That percentage is likely to increase significantly in light of the switch in Avezzano to packaging grades.