Sept. 25, 2025 - Star Paper Mill announced that it is nearing completion of its US $54 million (AED 200 million) recycled containerboard mill in Khalifa Economic Zone (KEZAD), Abu Dhabi, United Arab Emirates, with construction now 95% complete.
The new mill is designed to produce 134,000 metric tons per year of high-quality recycled containerboard used in a wide range of paper-based packaging applications. With a deckle width of 5.2 meters and basis weights ranging from 80 to 220 GSM, the product portfolio will include Testliner, Fluting, Kraft Top Liner, Semi-Kraft and recycled paper for bags.
"We expect trial production at this landmark facility to begin before the end of this year, followed by progressive scale up," said Majid Rasheed, Managing Director, Star Paper Mill.
"This project reflects the vision of the UAE leadership to foster sustainable industries. It is designed on circular economy principles, with waste paper primarily sourced within the UAE serving as the main raw material," Rasheed added.
The company will source at least 80% of its required recycled paper from domestic sources, with the balance imported from markets such as the United States and United Kingdom.
Star Paper Mill has also secured an additional 32,000 square meter parcel of land adjacent to the primary mill site for potential future expansion.
"A detailed feasibility study will determine the next phase of development based on evolving market dynamics," Rasheed explained.
In addition, Star Paper Mill recently announced a strategic distribution agreement with heinzelsales, one of Europe's leading pulp and paper trading and manufacturing groups, headquartered in Vienna, Austria.
Under the exclusive distributorship agreement, heinzelsales will represent and distribute Star Paper Mill's recycled packaging paper products in international markets, including the Middle East, Africa, and Central America.
"Our partnership with Heinzel reflects the strength of our product concept and our long-term vision to serve the global packaging industry with excellence," Rasheed concluded.
Currently, Star Paper Mill operates a tissue mill in the Industrial City of Abu Dhabi (ICAD), UAE, with the capacity to produce about 40,000 tonnes per year of high-quality virgin tissue paper.
SOURCE: Star Paper Mill Paper Industry LLC