Pulp Matters 2/2022

BUSINESS BLUEPRINT

LAND USE PLANNING • Demarcation of plantable areas • Road layout • Conservation areas

MAKING AN IMPACT

SILVICULTURE • Over 30k ha planted annually • Mechanisation • Cost efficiency

ROAD CONSTRUCTION • UPM builds 900 km of roads a year after Paso de los Toros mill is operational

OVER 160 MW renewable electricity to national grid.

UPM’s entire forestry value chain in Uruguay has various positive effects on the local economy and regional development.

7,000 DIRECT JOBS from UPM and contractors. 10,000 induced jobs throughout the value chain when Paso de los Toros mill is operating.

USD 380 MILLION in taxes and social security

payments per year.

NURSERIES • 3 Nurseries

(high-tech design)

UPM Paso de los Toros pulp mill

• >40 million

USD 1.9 BILLION in pulp exports per year.

seedlings per year from seeds and through vegetative propagation

UPM Fray Bentos pulp mill

USD 290 MILLION net salaries per year.

HARVESTING • 100% mechanised • ~11Mm 3 /year after Paso de los Toros mill is operational

FORESTRY VALUE CHAIN

600 SMALL AND MEDIUM size local companies.

NUEVA PALMIRA PORT

GLOBAL MARKETS • Fray Bentos pulp mill, 1.3 MT a year • Paso de los Toros pulp mill, 2.1 MT a year

R&D – TREE BREEDING PROGRAMME • 80% increase in forest productivity (pulp/ha/year) in 25 years

TRANSPORT • Altogether 800 wood trucks enter the pulp mills each day • Whole fleet monitored by GPS optimising planning and safety

2% INCREASE IN GDP after Paso de los Toros mill is operational.

MONTEVIDEO

URUGUAY • 3.4 million people

UPM FRAY BENTOS PULP MILL • 1.3 million tonnes/year of eucalyptus pulp • 800+ people working on the mill site daily • 8% share of energy generation in Uruguay

UPM PASO DE LOS TOROS PULP MILL

UPM FOUNDATION

• Presence in

150 rural communities • More than 30 projects per year in cooperation with organisations and institutes • 80% of the projects are focused on education

• Scheduled to start up by the end of Q1 of 2023 • USD 3.47 billion total investment includes pulp mill, pulp terminal in Montevideo and investments in local community • Annual production capacity 2.1 million tonnes of eucalyptus pulp

• 1.3 million in Montevideo • The 2nd smallest nation

in South America (176,000 km²) • One of the most socially advanced countries in Latin America with a well organised social system

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