Bio Pappel registered a 23.2% year-on-year increase in its corrugated box sales in 2020, to 14,989 million pesos.
The production of corrugated boxes is one of the main businesses of this Mexican company and represents a significant part of its profit.
This business does not have cyclicality, however, the company does face moderate cyclicality in its notebook business, taking into account that its sale is in line with the school year.
In general, corrugated boxes are used to pack agricultural, industrial and consumer products, such as appliances, electronics, spare parts, groceries, perishables, books, tobacco, furniture, food and beverages.
Regarding the volume of its corrugated box sales, these totaled 864,000 tons in 2020, a growth of 10% at an annual rate.
Bio Pappel is the largest manufacturer of paper and paper products in Mexico, with operations in the United States of America and Colombia.
Corrugated box
The company operates in three business groups: Titan, Scribe and McKinley.
Furthermore, Bio Pappel is the largest producer of paper and paper products in Latin America.
At the end of last year, Bio Pappel had an installed capacity of approximately 3.6 million metric tons at the end of 2020.
The company is a national leader in the manufacture of paper (for packaging, newsprint and bond paper) and paper products (corrugated cardboard boxes, sacks, cut paper and notebooks).
Regarding the risks or effects that climate change may have on Bio Pappel’s businesses, the company does not expect its operations to be affected by this.
The company’s businesses do not have products that require significant emissions or products that require lower emissions.
In the United States, Bio Pappel competes with producers of paper and corrugated boxes such as International Paper Company, Packaging Corporation of America, Westrock and Smurfit Kappa.
According to the company itself, Bio Pappel is committed to being part of the solution to the problem of climate change and evolves its business DNA to develop an efficient circular sustainability model that allows it to produce paper without cutting trees, recycle paper on a large scale, cogenerate green energy taking advantage of steam from its operations, recycling water from its industrial processes and promoting the certification, development and comprehensive use of sustainable forests.
