The papermaker Fibre Excellence Tarascon in the Bouches-du-Rhône, placed in protective liquidation by the Commercial Court of Toulouse on Tuesday 12 January, has obtained an extension of its observation period for a period of one month.
The pulp and paper mill, which was placed in receivership on 8 October last, avoided bankruptcy, thanks in particular to a contribution of EUR 1.6 million from the State. The company had already received ?7 million in public funds in the autumn.
The plant also benefited from the arrival of new customers for unbleached pulp in Asia and Europe. With a lower production cost than bleached pulp and a higher selling price, raw pulp represents a favourable development for the mill. New rules on the import of recycled paper into China have increased the demand for raw pulp.
The company, which has 280 employees and produces 270? 000 tonnes of pulp per year, plays an important role for the region with a direct impact on other players in the timber industry. It belongs to the Canadian company Paper Excellence, itself owned by Jackson Widjaja, whose family runs Asia Pulp and Paper, the Indonesian giant of the global paper industry.
Rated Seveso 2, Fibre Excellence Tarascon is also at the heart of a lawsuit for air pollution. For several years, local residents and environmental associations have been denouncing the pollution generated by the plant. At the beginning of January, the public prosecutor requested a fine of 50? 000 euros. A deliberately low amount due to the fragility of the company. Deliberation will take place on March 31.
