Bracell Secures Preliminary License for New Pulp Mill in Bataguassu, MS

PAPER INDUSTRY NEWS

Jino John

12/9/20251 min read

Bracell, a leading producer of specialty cellulose fibers, obtained preliminary environmental licensing from Mato Grosso do Sul authorities, advancing its multi-billion-real greenfield pulp mill project in Bataguassu, Brazil. This milestone clears the path for detailed engineering, financing, and construction of a facility targeting 2.5 million tonnes annual capacity of eucalyptus-based dissolving pulp for textiles, nonwovens, and high-value applications. The license validates Bracell's sustainability protocols amid Brazil's pulp export dominance exceeding 20 million tonnes yearly.​

The project emphasizes closed-loop operations with advanced effluent treatment, 100% biomass energy, and minimal water use, aligning with ESG standards and EU deforestation regulations. Local partnerships ensure planted forest sourcing from 100,000+ hectares, generating 2,500 jobs and boosting regional GDP. Bracell eyes FID in 2026 for 2029 startup, reinforcing Brazil's bioeconomy leadership. Industry watchers anticipate supply boosts for lyocell/viscose amid Asian demand surges and circular fashion trends.