International forest industry group owned by 52,000 forest owners
In Södra’s operations, the whole tree is used – even the branches and treetops. The forest products are processed into paper and dissolving pulp , sawn timber, cross-laminated timber and other processed products for housing construction, energy products and raw material for liquid biofuels. Södra is an export company with a strong financial position. Both pulp production and the sawmill operations are among the largest in Europe, and the products are mainly sold in international markets.
Climate-smart products and renewable energy
Södra has control over the entire value chain, from seed to customer, and promotes sustainable development in all stages. Södra’s products can often compete with – and replace – plastic, oil and other fossil-fuel materials and types of energy with a more harmful effect on the environment. The production processes generate a considerable surplus of renewable energy, which is sold to electricity and district heating networks.
We also focus strategically on innovation, with the aim of developing new and sustainable climate-smart products based on renewable raw materials from the forest. Furthermore, we are working steadily to introduce digital solutions into all areas of our operations, from apps and drones that make forestry easier, to automated and connected mills and digital customer offerings.
Organised into six business areas
Södra has six business areas: Södra Bioproducts, Södra Building Systems, Södra Cell, Södra Innovation, Södra Skog och Södra Wood.
Södra Bioproducts
Södra Bioproducts is responsible for sales and marketing of the coal, chemical and energy products that Södra produces at its industrial sites or directly from family forestry. The product offering consists of biofuels, biomaterials, dissolving pulp, electricity, district heating and biochemicals. These products contribute to the responsible use of our raw materials and are an important part of the green transition.
Södra Building Systems
Södra Building System's operations include the production of cross-laminated timber in Värö. Sales to the market also include supplementary frame materials, such as glulam and facades and interior cladding in wood, which creates a complete offer for construction.
Södra Cell
With its pulp mills at Värö, Mörrum and Mönsterås, Södra Cell is one of the leading producers of market pulp in the world. Paper pulp accounts for most of the production. Dissolving pulp is also produced in the pulp mill at Mörrum. Södra Cell is also a major producer of biofuels, green electricity, district heating and raw material for liquid biofuels.
Södra Innovation
Södra Innovation is leading the work with commercialisation and business development within Södra. Efforts focus on such as innovation within growth initiatives, developing Södra’s subsidiaries and building new partnerships. Innovation work in close cooperation with Södra’s other business areas and focus on commercialisation of more products with clear market potential, such as timber construction solutions and biorefinery products.
Södra Skog
Södra Skog purchases forest products from members and delivers them to Södra’s mills. Södra Skog also conducts external trade with wood. In this business area, Södra is also working to develop precision forestry, especially digital forestry services. On behalf of our members, we take care of their forests – from planting and forest management to regeneration harvesting. These activities are based locally in 19 forestry operations areas and 36 forestry districts.
Södra Wood
Södra Wood’s operations comprise sawn timber and building systems. Sawn and planed construction materials are produced at Södra’s own sawmills and planing mills. Södra Wood also produces pellets and wood shavings.
Subsidiaries in the energy sector
Södra also has a number of subsidiaries and associates whose activities are in line with Södra’s strategy for sustainable innovation and are enabling the transition to a green society. These include producers of renewable energy and fuels.
Södra Medlemsel AB
Södra’s pulp mills are self-sufficient in electricity and also produce a surplus of green electricity. Through its subsidiary, Södra Medlemsel, Södra’s members, employees and partners can purchase green electricity from the pulp mills and wind turbines.
Sunpine AB
SunPine is a world-leading biorefinery in which Södra holds a 25-percent stake. The company produces second-generation renewable fuel from crude tall oil, a by-product of the pulping process. From crude tall oil, SunPine also extracts bio-oil, an alternative to fossil-based heating oils for industrial applications, and rosin, which is used as a binder in printing inks and adhesives.
Fast facts
In 2020, the wood volume was 17.4 million m³sub (cubic metres solid volume underbark). Södra’s sales amounted to just over SEK 20 billion and the number of employees was 3,141.