LUSA 05/21/2025

Lusa - Business News - Portugal: Altri invests €75M to convert Vila Velha de Ródão plant

Lisbon, May 20, 2025 (Lusa) - Altri will invest €75 million in converting its bleached pulp plant in Vila Velha de Ródão to produce soluble fibres, mainly for the textile industry, it was announced today.

In a statement, Altri highlights that with this investment in its Biotek unit - which should be completed by the end of 2026 and is supported by the Portuguese State, through the Agency for Investment and Foreign Trade of Portugal (AICEP) - it will become one of "Europe's leading producers of fibres for textiles".

According to the group's CEO, this is a "critical investment for Portugal, which will now have two industrial units producing soluble fibres, mainly for the textile industry, making a strong contribution to the decarbonisation of the sector".

"The conversion of this unit offers significant environmental gains, including in the manufacturing process, using the latest technologies. This investment will transform Altri into a leading European group in producing fibres for the textile industry and a major contributor to decarbonisation," said José Soares de Pina.

Upon completion of this investment, the Altri group will have an installed production capacity of over 300,000 tonnes/year, entirely focused on foreign markets. Its Caima unit, located in Constância, will be exclusively dedicated to the manufacture of this raw material.

Soluble fibres (DWP) are a basic raw material for a wide range of products, including the textile industry, and are a natural substitute for fossil-based fibres.

Their application extends to other products, particularly in the pharmaceutical sector, but also in the food industry, hygiene products and some types of packaging.

Data provided by Altri indicate that the soluble fibre market is currently worth around €6 billion and is expected to reach €7.6 billion by 2033.

Asia leads the global demand for soluble fibres, absorbing around 6.5 million tonnes, while Western Europe consumes 0.6 million and North America 0.5 million.

"The growing demand for biomaterial-based products has created opportunities for the transformation of bio-factories that used to convert wood into paper pulp into more efficient units with a lower environmental footprint, switching to the manufacture of soluble fibres," the statement said.

Europe currently accounts for 14% of installed soluble fibre production capacity, with the largest producers in Germany, Sweden and Austria.

PD/ADB // ADB.

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