Três Lagoas (MS), considered the National Capital of Pulp in Brazil, will soon receive its fourth plant in the segment with the construction of the second pulp line of Eldorado Brasil. Today, there are three pulp and paper mills operating in the municipality.
In an interview with RCN Negócios on TVC and Rádio Cultura FM, Eldorado Brasil’s forestry director, Germano Vieira, stated that with the second line, the company, which today uses 250 thousand hectares of forests, will significantly increase its consumption. “With the second line, we will consume about 400 thousand hectares of forests. A truly relevant area,” said the executive.
Considering that every pulp industry needs to have its main input close to the factory, Germano pointed out that the raw material logistics issue is fundamental within the company. “The cost of freight, of transporting wood, is extremely expensive for the forestry sector, ranging from 30% to 40% of the cost of wood / factory. That is why we have strong logistics on roads, we cannot afford to lose money”, evaluated Germano. The average distance from the forest to the ideal industry for a factory like Eldorado, which produces one million seven hundred thousand tons per year, would be 60 kilometers. “When the factory doubles, which reaches 4 million tonnes, it goes to 100 to 110 kilometers,” he noted.
The executive also commented on Eldorado’s business model regarding land – the company used many leased areas to produce eucalyptus, but today, it has also been working with purchases and partnership contracts. “The business model, lease or partnership, is very much at the discretion of the producer. Today, the producer prefers leasing. In the Eldorado area, 70% is leasing and 30% is partnership. From the beginning, this was clear, this is open between the parties. The initial idea is to overpay the landowner’s land in relation to what is being used”, he declared.
The main challenge since Eldorado arrived in Três Lagoas, according to the executive, is the lack of manpower. “The forestry sector consumes a lot of labor, despite being mechanized today. This has grown in the region, but it still falls short of what we need. If production increases a lot, it is necessary to bring in labor from abroad. But I believe that this entire region of Três Lagoas and Água Clara will be important to support these industries that are arriving”, he evaluates.
The use of technologies, however, remains one of the company’s strengths. “Today we have a knowledge of the plant and its interaction with the environment, this is large and measured. We have daily assessment of the trees. Eldorado has measuring equipment, molecular marker for all trees. We have a lot of work to identify all the trees and we have the DNA of each clone. In the area of nutrition along with climate, we have a lot of equipment that we use for this, as well as in the measurement of trees and the imaging sector. And all this technology is in Três Lagoas which, in the last ten years, has grown the planted area four times”, he stressed.
Finally, Germano said that there is still a great demand for pulp in the world, that “it is adapting to the new world customs”. For example, the consumption of cellulose for the manufacture of printing and writing paper fell, but, on the other hand, it increases the production of cellulose for the manufacture of toilet paper, towels, disposable diapers, among other products, in addition to packaging. Cellulose is continuously growing in the world”, he concluded.