Kruger to invest $240 million in Quebec tissue plant

Kruger Products has announced it will invest $240 million to expand its tissue manufacturing plant in Sherbrooke, Que.--a state-of-the-art facility that recently completed construction.

The investment will allow Kruger to expand operations at the Sherbrooke plant, which contains Canada’s largest and most modern through-air-dry (TAD) tissue machine, with new production lines as well as the construction of a new tissue manufacturing facility over the next three years.

It is supported by the Government of Québec, which is contributing $165 million in loans, and is part of Kruger's "broader focus on expanding its business and continuing to offer high quality tissue products to customers across North America," according to a press release.

“We couldn’t be more pleased to be making this additional investment as part of our strategic growth plan. Sherbrooke will become a major production hub that will work together with our existing facilities to reach our North American markets,” said Kruger CEO Dino Bianco.

The additional capacity will allow Kruger to expand its offering and grow market share across its different categories including bathroom tissue, paper towels and facial tissue for household and away-from-home use.