The Navigator Company calls Portugal’s forestry management “shocking”

Portugal’s largest paper and paper pulp producer, The Navigator Company, has called the lack of progress in restoring and managing Portugal’s forests “shocking” and compromises the sustainability of the the paper-making and other related sectors reliant on effective forestry management.

In the company’s annual report for 2024, the group led by António Redondo said that the entire sector was reliant on quality and quantity in terms of raw material to maintain the industry in Portugal.

At the forestry level, the company had identified the low productivity of Portugal’s forests as the main threat to the competitiveness of the eucalyptus value chain, which was not being effectively managed, which in turn had resulted in falling profitability and a growing risk of forest fires.

“The combination of these factors, and the lack of an effective forestry management strategy from the State in recent years has resulted in the need to import raw materials which has had an impact on the profitability of all agents involved.”

And because of the risks of forest fires due to poor forestry management, the company has increased the area of forests under management in Spain with 1.111 hectares in Galiza and Astúrias.

Nevertheless, The Navigator Company increased its profits by 4% in 2024 to €287 million with business turnover up 7% to €2.0Bn.