Growth opportunity

Significant boost to economy and regional development. The pulp mill project is proceeding at full speed according to the planned schedule.


UPM is building a 2.1 million tonne greenfield eucalyptus pulp mill near Paso de los Toros in central Uruguay. The mill is scheduled to start production by the end of March in 2023. Besides the mill, the total investment of USD 3 billion also includes a pulp terminal in the port of Montevideo as well as investments in local facilities in Paso de los Toros.


Latest developments

  • More than 7,000 people are working on the pulp mill project at various construction sites. Strict COVID-19 protocols have been maintained and adjusted to the current context in Uruguay.
  • At the pulp mill site in Paso de los Toros, the installation phase with mechanical erection continues to progress in all main process areas. Majority of large civil works have been completed. Commissioning works will proceed in the coming months.
  • Large scale cargo transfers from the UPM Fray Bentos port to the new mill site continue including the transports of machinery, equipment, and structures for the new pulp mill.
  • A large part of the pulp terminal area in the port of Montevideo has been completed. The pier walls, storage tanks and warehouse building are ready, the rest of the works inside the concession will be completed during July-August. Currently the focal ones are dredging of the dock, railway works, pavements, electrical, piping and automation installation, among others.

Significant boost to economy and regional development


World class pulp mill in central Uruguay