News | January 4, 2017

ArborGen And International Paper Brazil Expand Eucalyptus Sales And Development Agreement

CAMPINAS, BRAZIL--(BUSINESS WIRE)--

ArborGen, a world leader in the development and commercialization of technologies that improve the productivity of trees, announced today that it is expanding its agreement with International Paper Brazil by granting ArborGen additional access to IP’s Eucalyptus germplasm. This will allow an increased effort to develop and sell new varieties of seedlings with improved traits and capable of being grown in regions of Brazil where there is growing interest in Eucalyptus plantations. Since 2013 when the company began its commercial sales operation sales have increased to a current projection of 47 million Eucalyptus seedlings and nine million Pine seedlings in 2016.

The Brazilian forestry industry is one of the largest, fastest growing in the world; Brazil is the world’s largest producer and exporter of hardwood pulp. The Eucalyptus market utilizes approximately 700 million seedlings per year. With the original agreement, private landowners gained access to elite Eucalyptus clones that were once only available to integrated producers. This new agreement will increase that access and allow for additional development of advanced genetics for landowners.

ArborGen formed ArborGen Brazil in 2004 as a product and business development center. The company initially began working with several large integrated Eucalyptus and Pine pulp and paper companies and has conducted extensive field trials with biotech products. Since 2013 ArborGen do Brasil increased its interests in the Brazilian Eucalyptus seedling market through its operation of the Luiz Antonio nursery and working with other contract nurseries to produce and sell improved varieties to the open market. “This expanded agreement allows ArborGen to utilize its advanced technologies and tree breeding expertise with IP germplasm to continue to improve the genetics of existing seedlings. We will also be able to offer additional benefits such as increased yields and improved growth to landowners while expanding the breeding program to other regions of Brazil and other sectors as sawtimber, bioenergy, etc.,” said Gabriela Monnerat, managing director of ArborGen of Brazil.

For over 110 years – more than 50 of them in Brazil – International Paper has been one of the companies that most cares about the environment. Thus, the expanded agreement only reinforces the company's commitment to the development of the forestry sector. "We know the genetic material choice is fundamental to guarantee the success of any new forestry development, so the expansion of the agreement with ArborGen provides the opportunity for other companies to produce wood with top quality genetic material. IP continues investing in actions and programs which contribute to the growth of the forestry sector in Brazil," highlights Luis Fernando Silva, Fiber Production Senior manager at International Paper.

About ArborGen

ArborGen is revolutionizing productivity in commercial forestry. ArborGen is the largest global supplier of seedling products and a leading provider of improved technologies to the commercial forest industry. Through innovations in conventional breeding, improved genetics and emerging biotechnology advances, ArborGen is developing high-value products that significantly improve the economic returns and productivity of a given acre of land. These products enable ArborGen’s customers to grow trees that yield more wood per acre with greater consistency and quality in a shorter period of time. ArborGen’s work is improving the sustainability of working forests while helping to meet the world’s growing need for wood, fiber and energy. For more information, please visit www.arborgen.br.com.

About International Paper

International Paper (NYSE: IP) is a leading global producer of renewable fiber-based packaging, pulp and paper products with manufacturing operations in North America, Latin America, Europe, North Africa, Asia and Russia. We produce packaging products that enable world-wide commerce; pulp for diapers, tissue and other personal hygiene products; papers that drive communication; paper bags that carry groceries; and paper cups and food containers that provide convenience. We are headquartered in Memphis, Tenn., and employ 55,000 colleagues located in more than 24 countries. Net sales for 2015 were $22 billion.

In Brazil the company works in the businesses of printing and writing papers, containerboard and corrugated packaging, employing approximately 5,000 employees.

The integrated system of printing and writing paper production from International Paper in Brazil consists of three mills: two in the State of São Paulo and one in Mato Grosso do Sul. Its products – printing and writing paper lines Chamex e Chamequinho and graphic paper line Chambril – are 100% produced from certified eucalyptus forests.

The packaging business consists of three containerboard plants located in the State of São Paulo, and four units to manufacture corrugated packaging and sheets: two in the State of São Paulo, one in Goiás and one in Amazonas.

For more information about International Paper, our products and global citizenship efforts, please visit internationalpaper.com


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