Metsä Board has started a new folding boxboard production line at its Husum mill in Sweden.
With a production capacity of the 400,000 tonnes per annum, the line will help the company meet the demand from the Americas, as well as serve global food service industry with cups, plates and trays.
Metsä Board CEO Mika Joukio said: "Metsä Board is well-known for its high-quality, lightweight, folding boxboards, used widely in packaging globally.
"Thanks to the new production line and our recent product development, we are now able to respond to food service packaging requirements and demand better than ever before."
The BM1 folding boxboard machine has been delivered by Valmet, and its installation is a significant part of the €170m investment programme at Husum mill facility.
Improvements were undertaken at the pulp mill and the mill site's own port are also part of the programme, which has been undertaken to complete the firm's transformation process to a pure paperboard company.
The installation phase of the machine spanned from mid-October until January.
During this period, more than 1,000 external workers were employed at the Husum site.
Following the start-up of the new production line, the target was on smooth running and achieving high-product quality as soon as possible, the company claimed.
Last November, Metsä Board also announced that it would invest an additional €38m in a new extrusion coating line and related infrastructure in Husum. This line will become operational by early next year.