FINLAND – Raute Corporation has signed a contract worth EUR 49.6 million with Lumin in Uruguay for the technology delivery of a new plywood mill.

Lumin will build a plywood mill in Melo, Cerro Largo, Uruguay. The new mill will increase their plywood production capacity from 304 000 m3 to nearly 500 000 m3, making Lumin the second largest plywood producer in South America.

The order for Raute’s technology includes all main production processes to this new eucalyptus plywood mill: a log handling line, a veneer peeling line, two veneer drying lines with grading, three veneer composing lines, two plywood lay-up lines, two plywood pressing lines, panel repairing and sawing lines with extensive service package and long-term on-site management. All lines are of the most modern automated R7-Series technology equipped with analyzers for grading and MillSIGHTS software for data capturing.

The ordered machinery and equipment will be delivered between February 2024 and June 2025. They will be manufactured at Raute’s production units in Lahti and Kajaani in Finland, and in the company’s partnership network. This new mill, which will be in full operation in 2026, is part of Lumin’s strategy to capitalize on the growing global demand for sustainable timber products for the construction and furniture sectors.

Lumin, employing 780 people, is a leader in forestry and forest products in Uruguay. With more than 25 years of experience it manages 120 000 hectares of timberland and has two plywood mills in Uruguay. Lumin is dedicated to the sustainable production of plywood panels destined for international markets. It is owned by a consortium of long-term investors.