This is Setra
How we are increasing the value of our products In a time of climate challenges, there are many benefits to Setra being in an industry that is part of the solution. Growing and responsibly managed forests are a fantastic renewable resource and since wood captures carbon, greater use of wood helps to cut emissions of greenhouse gases. This sustainability incentive not only creates business and growth opportunities for us as a company, but is also good news for the wider society. Our strategy is clear – we want to increase the added value of our products to meet customer demand and secure our long-term competitiveness. With this in mind, a number of strategic investments were made in 2017. We are constructing a new wood industry centre in Långshyttan for production of components of doors, windows and cross-laminated timber (CLT), for example. We have also invested in a new trim saw with an integrated planing machine in Hasselfors. Setra is also key player in the development of renewable energy. In the sawmill industry, half of the log is turned into planks and boards, while the other half becomes bioproducts in the form of bark, sawdust and chips. Bioproducts account for 14% of Setra’s sales. An important development project currently managed by Setra involves the production of pyrolysis oil from sawdust. This bio-oil can be used to produce biofuel, which will help facilitate the transition to a fossil-free transport sector. Sustainability in all its forms is our most important guiding light. We are continually working on measures in order to improve our work environment and boost motivation among our employees. Moreover, we actively contribute to the global sustainable development goals in Agenda 2030. Our journey towards becoming the wood products company with the strongest sustainability profile in Europe continues apace!
Our production units
Pine sawmills Spruce Processing units
Rolfs
With a total of eight sawmills and three processing units, Setra ensures that the forest’s potential reaches around the globe.
Malå
Färila
Kastet Skutskär
Långshyttan
Nyby Heby
Skinnskatteberg
Hasselfors
Setra Wood Products (UK)
Hannele Arvonen, CEO Setra Group
This is Setra Setra is one of Sweden’s largest wood products companies. We process raw material from responsibly managed forests and offer climate-friendly products
This is Setra — Setra Group
and solutions for building and living in a global market. The head office is located in Solna, with sales and administration in Gävle. The Group has eight sawmills and three wood processing units, one of which is in the UK. Setra has approximately 800 employees
and annual sales in excess of SEK 4 billion. Exports to Europe, North Africa, the Middle East, Asia and Australia account for 65% of sales. Setra employs around 50 people abroad, with sales offices in the UK, Germany, Poland, Spain, Tunisia, Japan
and China. Setra is owned 50% by Sveaskog, Sweden’s largest forest owner, and 49.5% by the forest owners’ association Mellanskog. 0.5% is owned by approximately 1,400 minor shareholders. For more details, visit setragroup.com
Setra’s value chain Setra’s sustainability measures involve taking responsibility for how we affect people and the environment through the entire value chain – from forest to final product. The starting point is to reduce any negative footprint and increase the value and positive impact of our operations at every stage. The economic value Setra has generated in 2017 is shown here.
Net profit SEK 116m
Customer revenue from sales of wood products, bioproducts and building systems.
Sawmill Sawn timber
Processed wood products Raw material
Purchases of timber raw material from our suppliers. SEK 2,089m
Bio products bark, raw chips and saw dust
Salaries and social security costs for our employees. SEK 504m
Purchases of other goods and services plus depreciation. SEK 857m
Focus on the right issues Our sustainability work focuses on issues where Setra has a significant impact, a clear responsibility and the ability to contribute. Our key sustainability issues are as follows: • Economic performance • Responsible forest management • Resource efficiency • Climate impact • Customer portfolio • Work environment, occupational health and safety
Economic performance is obviously a major issue for stakeholders and Setra alike. If the financial strength to run and develop the business is lacking, then the capacity to improve sustainability work will also be lacking. Responsible forest management is also high on the list. Setra’s business begins in the forest, and its products are made from wood. As a purchaser of timber, Setra has a major responsibility to demand certain standards of raw materials.
Transport purchases. SEK 535m
Dividend to owners SEK 58m
Interest to lenders. SEK 14m Tax to the state. SEK 30m
Our production process utilises the entire log. This is vital from both a resource and an economic perspective. The bioproducts left overs – chips, sawdust and bark – are sold on as cellulose chips, biofuel or animal bedding. Setra’s commercial operations generate emissions of greenhouse gases. At the same time, wood products bind carbon and the benefits of using wood for construction and housing exceed the emissions generated by production and transport. The climate issue is a priority area for all of Setra’s stakeholders.
Setra’s customer portfolio– sawn and processed wood products and bioproducts – must meet the customer’s quality requirements and be delivered on time. Technical expertise, customer interaction, service and availability are integral parts of this offering. Work environment and occupational health and safety are important issues for Setra and its stakeholders. Satisfied employees are a prerequisite for being able to conduct high-quality business.
This is Setra — Setra Group
Key figures 2017 OPERATING PROFIT
NET SALES
SEK 159m
SEK 4,139m
(SEK 153m in 2016)
(SEK 4,043m in 2016)
PROPORTION OF SALES ATTRIBUTABLE TO EXPORT
PRODUCTION OF SAWN WOOD PRODUCTS
1.64 million m3
65%
AVERAGE NUMBER OF EMPLOYEES
793
BIOENERGY DELIVERED
1,847 GWh
Our markets Scandinavia 35%
Sales offices
UK Germany Spain
Poland
Europe 25%
North Africa & Middle East 17%
This is Setra — Setra Group
Japan
Tunisia China
Asia & Australia 23%
A stamp of quality Royal, Setra’s shipping mark, has been used to brand sawn wood products since 1943. The mark signifies the company that manufactured the product in addition to its quality. Once the packaging has been removed, the red stamp is the only sure way of knowing the timber was produced by Setra.
Customer: Lindbäcks Bygg
Climate-smart raw material At Setra, we have the good fortune of working with what we believe to be the world’s best raw material: wood. Wood is renewable, and benefits the climate with its mere presence. As the forest grows, it absorbs carbon. Young, growing trees take up more carbon than older trees. This is why forest management is associated with major benefit for the climate, provided it takes place sustainably and with care. Growth of the forest is greater than the volume harvested. Today there is around twice as much forest in Sweden as there was 100 years ago. This is due to lessons learned, legislation and a
holistic approach to forest management. Pine and spruce are the raw materials used in Setra’s production. All wood comes from responsibly managed forests and can be traced all the way back to the harvesting site. The timber purchased by Setra is either certified or checked in accordance with FSC och PEFC. It also meets the requirements in the European Timber Regulation. Setra’s sawmills and processing units are certified according to the FSC’s standards.
Sustainability in three figures
100 % All of the wood purchased by Setra is traceable, and meets requirements on controlled raw materials.
1.64 million cubic metres Setra manufactured 1.64 million cubic metres of sawn wood products in 2017. That is enough to build 47,000 standard detached houses. Many apartment blocks are now also built with timber frameworks.
1,312 thousand tonnes Wood binds the equivalent of 800 kg of carbon dioxide per cubic metre of sawn product. The volume of wood products Setra produced and sold in 2017 (1.64 million cubic metres) has thus captured in the region of 1.312 thousand tonnes of carbon dioxide. That equates to the greenhouse gas emissions of around 123,000 people in Sweden.
Building the city in the countryside What are the obvious sustainability benefits of building in wood compared with other materials? “Wood is a renewable material, and one that we have an abundance of here in Sweden – which is, of course, extremely positive from a sustainability perspective. And for industrial builders like us, wood makes even more sense because the material is easy to work with and light to transport, which creates less of an impact on the climate.” You’re a long way ahead of the game in developing industrial wood construction – why is this so important for a sustainable city? “By relocating house production outside the city centre, we end up building the city in the countryside. The preparatory work and construction work in the city can be cut significantly, ensuring minimal disruption on site for the environment and local people in the form of noise and so on.” When are apartment blocks in wood really going to break through? “I think we’re at a turning point right now. There is a huge difference between building prototypes and regular production, but we now have several players in Sweden who can handle it. To be able to say that wood construction has broken through on a broad front, we would need to have a market share of 20% in about 10 years’ time – we have some way to go, but we’re getting there!”
Helena Lidelöw is Platform Manager at Lindbäcks Bygg in Piteå, which uses glulam from Setra in many of its projects. Helena is also an associate professor at the Department of Civil, Environmental and Natural Resources Engineering at Luleå University of Technology.
This is Setra — Setra Group
Contact Setra Group AB
Our products Setra’s portfolio of processed products includes glulam, cladding, flooring, decking, joists and construction timber. The company is building a factory for components of doors, windows and cross-laminated timber (CLT) in Långshyttan. Production of components is scheduled to begin in autumn 2018, with CLT following at the start of 2020. Our sawn wood products customers operate mainly in the wood processing industry comprising, for example, building and furniture manufacturers. The largest markets are Asia, Europe, North Africa and the Middle East.
Setra customer service for Sweden and Scandinavia Sawn wood products Tel: +46 26 54 80 00
Cellulose chips are a key raw material in the paper and pulp industry. Dry chips, bark and sawdust are used in heating and combined heat and power plants. Sawdust and wood shavings also go to the pellet industry.
Setra is focusing heavily on components for doors and windows as well as structural elements in cross-laminated timber. A new wood industry centre is currently under construction in Långshyttan.
Processed wood products Tel: +46 26 14 78 30 Glulam Tel: +46 225 452 00
Sales offices outside Sweden UK Setra Wood Products 11 St Mary’s Court North Bar Within, Beverley EAST YORKSHIRE HU17 8DG, UK Telephone: +44 1482 87 00 35 Setra Wood Products Estuary Road King’s Lynn NORFOLK PE30 2HJ, UK Telephone: +44 1553 76 00 71 Germany Setra Sales Germany Reichenberger str 5 DE-912 07 LAUF Telephone: +49 170 921 1121 Poland Setra Poland Ul. Staromiejska 17 E PL-84-300 LEBORK Telephone: +48 695 19 86 86 Spain Setra Sales Spain C/ Colombia 63, 4 B ES-28016 MADRID Telephone: +34 91 353 39 20 Japan Setra Group Tokyo Office 4th floor, Shibakoen No 32 Mori Building 3-4-30, Shibakoen Minato-ko TOKYO 105-0011 Telephone: +81 3 5404 7560
Glulam comprises lamella layers which are connected through finger-jointing and adhesive. Glulam is a versatile, climate-smart material which is stronger than both steel and concrete in relation to its own weight.
Ideal for load-bearing structures, Setra glulam is particularly suitable for buildings spanning large areas such as sports halls and churches. We can deliver your project in six working days.
China Setra Group Guangzhou Office Room 1305-1306, Teem Tower No 208 Tianhe Road, Tianhe District, GUANGZHOU 510620 Telephone: +86 20 2826 1820 North Africa/Tunisia Setra Group c/o Mehdi Daldoul 17 Rue Ibnarfa El Manzah 8 2037 Ariana, TUNIS Telephone: +21 6 708 33 975
For more details, visit setragroup.com
This is Setra — Setra Group