Sonae Indústria’s affiliated company Sonae Novobord Ltd has began consultations with affected parties regarding the restructure of its operations in South Africa.
“The commissioning of our new particleboard line in White River coupled with lower than expected growth in the construction sector, resulted in excess capacity in relation to the market demand,said the company.
George plant has 137 employees and a production capacity of 60,000m3/year.
Sonae has also announced that its affiliated company Spanboard Products has entered into consultations with employees and trade unions regarding the future of its operations in Northern Ireland. The current economic climate and rising costs for energy and raw materials have impacted on Spanboard’s profitability.
Sonae remains totally committed to the South African, UK and Irish markets.
