Brazil expands cellulose industry with major projects

Major industrial developments are underway in the Brazilian cellulose sector. Arauco is progressing with Project Sucuriú in Inocência, Mato Grosso do Sul. The project involves an investment of approximately R$ 25 billion (US$ 4.6 billion) to build what is described as the world’s largest single-stage cellulose factory. As of April 30, 2026, the project reported a 62.1% overall advancement, with more than 12,000 workers on-site. The facility is expected to produce 3.5 million tons of cellulose per year, with operations slated to begin in the fourth quarter of 2027.

In Rio Grande do Rio Grande do Sul, Chilean company CMPC has secured a 412,500-square-meter area at the Port of Rio Grande to establish a dedicated cellulose export terminal. Developed alongside Neltume Ports, the project involves an estimated investment of R$ 1.5 billion. The terminal is designed to handle two ships simultaneously and has a storage capacity of approximately 194,000 tons. While initial estimates suggested a capacity of 5 million tons per year, the terminal could eventually reach 9 million tons annually. This infrastructure will support CMPC’s future industrial unit in Barra do Ribeiro, which is expected to produce 2.5 million tons of bleached eucalyptus cellulose annually.