Cenibra millionaire investment plans on expansion project

Celulose Nipo-Brazilian (Cenibra), located in Belo Oriente (Vale do Rio Doce), is preparing a $ $200 million to increase the ability of the plant to 150,000 tons to 200,000 tons of pulp per year. The supply still depends on the final decision of the shareholders of the company. Currently, the installed capacity of the industrial complex in Belo Oriente is of the order of 1.2 million tons of pulp a year and, if the investment out of the paper, the gain in capacity shall be at least 12.5%. According to the President of the company, Naohiro Doi, the contribution is possible because the two production lines that operate can make improvements that allow the increase of the load. Cenibra maintains in other investment on the order of drawer $ $2 billion to expand your production capacity to more than double the current volume. However, the project remains stalled because the company would need to raise your forest area planted, what coming up on national legislation, which limits the acquisition of land by foreigners, since the Company is brazilian, but have foreign capital. "For this investment in another production line we have to increase reforestation area and, for that, we have to buy more areas, but, unfortunately, the company's foreign capital and land acquisition is limited", stressed the President of Cenibra. Based on information from the Ministry of industry, Trade and services (Mdic), the State exports of pulp folder – remembering that Cenibra is the only production company in Minas Gerais – totaling $ $457.9 million between January and July this year, with a 33.8% growth compared to the same months of 2017 ($ $342.2 million), even boarding 36400 tons less product this year. DOI showed that, despite the production having been impacted by approximately 20000 tonnes for truck drivers ' strike in the last week of may, when the company froze the lines for about a week, the profitability of foreign sales increased by around 30% in over the past year thanks to an increase in the international price of cellulose. "The international pulp price certainly has improved due to the greater demand for pulp, especially on the European market, in China and in the United States. Comparing with the last year, the price is about $ $100 per ton on average, "he explained. Another reason that boosted the company's revenue, added Doi, was over. According to the President of the Company, as the company is basically an export sales are made in u.s. dollars and converted into reais, which became an advantage with the dollar above the R $4.00. The production of Cenibra is mostly exported, with the index coming in at about 90% of the volume of the product that comes out of the lines in Belo Oriente. In addition, since last year the company operates at rate of 1.2 million tons of pulp, which means that the company is operating under full load.