Finnish wood and cellulose producer UPM-Kymmene (Helsinki; www.upm-kymmene.com) is investing around EUR 12m in a new plant in Karlsruhe / Germany to provide output to meet increasing demand for wood plastic composite in central Europe. Production start is scheduled by the end of 2008 with around 50 people.

The new plant will manufacture UPM “ProFi Deck” decking boards, from waste paper and plastic remaining from the production of self-adhesive label materials. The company first began production of the decking in Lahti / Finland, a year ago.

UPM ProFi director Markku Koivisto said: “Karlsruhe can effectively utilise the residue materials from nearby self-adhesive label industries. Also, the surplus material from UPM Raflatacin Nancy / France can be utilised by the German plant.”