NBG open new factory for cellulose production at commercial scale

The most common form of microcrystalline cellulose is used in vitamin supplements or tablets.
NBG open new factory for cellulose production at commercial scale

Nordic Bioproducts Group has opened a new facility in Lappeenranta, Finland in order to produce microcrystalline cellulose and other cellulose derivatives at commercial scale.

The factory will enable the world's first continuous production line of up to 10,000 tons of MCC annually, to be used across industries whilst substituting for harmful substances within applications such as bioplastics, concrete, paints, textiles, glues and insulation.

As the purest and most versatile form of cellulose, microcrystalline cellulose has been used in a range of industries for decades – from pharmaceuticals and food supplements to food ingredients, cosmetics, and skincare. The global demand for MCC is high, and the market is projected to grow exponentially by 2030.

Lappeenranta was chosen as the location due to its closeness to six existing pulp manufacturing plants, local supply, and short access to seaports, ensuring supply chain security. Additionally, all ingredients come from FSC-certified, traceable, sustainably managed forests. The factory has been built to meet modern standards, being people-centric and enforcing employee satisfaction.

The first production phase started in March 2024, and now, the factory is gearing up to its full production capacity of up to 10,000 tons of MCC produced annually. The factory is expected to create 40 million euros in revenue in the first full operating year, aiming to triple the revenue in the following three years. The new factory employs 20 people and intends to double that number in the near future.

A spinoff from Aalto University, Nordic Bioproducts Group was founded in 2019 by Professor Olli Dahl and then Senior Commercial Officer Olli Kähkönen in cooperation with the Aalto University School of Chemical Engineering.

“The world was changed when crude oil was discovered, and now it is time to revolutionize the world with cellulose-based materials! Our goal is to bring ground-breaking solutions to the market that don’t cause negative environmental impact.

"This factory is a big investment in the green transition, and we would like to invite all companies to join us in thinking about how can we ensure that the planet survives for the next generation. We can’t do it alone, but our mass production facility for cellulosic products, like MCC, is a good start,” commented Olli Kähkönen, CEO and co-founder of Nordic Bioproducts Group.

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