Sustainable Business Model
Resource Circulation Throughout the Value Chain
The sustainable business model which serves as the foundation of Oji Group is supported by three forms of recycling: “Forest recycling,” in which we practice sustainable forest management through growing, harvesting and planting trees due to the fact that approximately 60% of the raw material used in paper is recovered paper, and the remaining 40% comes from wood; “water recycling,” in which we reduce water consumption by circulating and reusing water in manufacturing processes and purify wastewater; and “paper recycling,” in which we collect and recycle paper products.
By deploying this model globally, we are working to enable our businesses to help build a sustainable society.
By deploying this model globally, we are working to enable our businesses to help build a sustainable society.
Initiatives for Sustainable Forest Management (Forest Recycling)
Since the 1910s, Oji Group has valued the sustainability of forest resources. We have managed sustainable forests and positioned forest resources at the core of our sustainable business model. We own and manage forest plantations not only in Japan but also in ten regions of six countries outside of Japan. Specifically, we own ~446k ha of production forests, which are mainly for producing wood in consideration of environmental conservation and ~129k ha of environmentally conserved forests, which are primarily for protecting biodiversity and basins. The total area of these forests is ~575k ha. In addition, we participate in forest certification programs* to manage forests appropriately for the environment, economy, and society.
At the end of FY2021, 91% of overseas forest plantations and 100% of company-owned forests in Japan are certified (the achievement rate: 95%).
*Forest certification is aimed at sustainable forest management.
An independent, third-party organization examines a forest to ensure that it is well managed by specific standards and then certifies it. The programs include all forests, including production forests and environmentally protected forests. e.g., FSC™ and PEFC.
Overview of the Overseas Forest Plantation Business
Oji Group owns 260,000 ha of forest plantations, primarily in Brazil, Oceania, and Southeast Asia. We mainly plant high-growth species, including hardwoods such as eucalyptus and acacia (harvestable in around 10 years) and softwoods such as radiata pine (harvestable in around 30 years).
Our forest plantations in Brazil operate on a rotating basis, harvesting eucalyptus around every seven years.
Our forest plantations in Brazil operate on a rotating basis, harvesting eucalyptus around every seven years.
Overview of Company-Owned Forests in Japan
Oji Group owns around 190,000 ha of forests in approximately 650locations throughout Japan, extending from Hokkaido to Kyushu. We have obtained SGEC forest certification for our company-owned forests with the exception of shared forests*, clearing stringent third-party standards and engaging in sustainable forest management.
*A plantation on land owned by another party but to which Oji Group holds rights.
Water Recycling
Reduction of Water Consumption and Water Recycling
Paper and pulp manufacturing requires large amounts of water, but Oji Group has reduced water consumption* by improving operations, and treating and reusing (recycling) the water it uses to reduce water intake.
At paper mills, we maintain a recycling rate of 93%, using water without waste through water cascades for water intake and recycling.
For paper manufacturing, we also recover the raw materials (fine fibers, etc.) from the water used to dilute pulp and reuse them.
At paper mills, we maintain a recycling rate of 93%, using water without waste through water cascades for water intake and recycling.
For paper manufacturing, we also recover the raw materials (fine fibers, etc.) from the water used to dilute pulp and reuse them.
* Water consumption that does not return to rivers or the sea due to evaporation during the manufacturing process or product moisture Water consumption = Intake − Wastewater
Paper Recycling
Various Efforts to Promote the Use of Recovered Paper
Paper is essential in our day-to-day lives. It is used in a wide range of situations for various applications such as newspapers, notebooks, copy paper, tissues, toilet paper, corrugated containers, and packaging materials.
Approximately 60 percent of the raw material used for these types of paper is recovered paper, and the remaining 40 percent comes from trees.
Oji Group is working on “paper recycles” for the purpose of sustainable use of resources and contribution to the environment.
Approximately 60 percent of the raw material used for these types of paper is recovered paper, and the remaining 40 percent comes from trees.
Oji Group is working on “paper recycles” for the purpose of sustainable use of resources and contribution to the environment.
Recovered Paper Use Results
Oji Group uses approximately 3.80 million tons of recovered paper each year, the largest amount and about 24% of the 15.70 million tons of total recovered paper use in Japan. The breakdown of recovered paper use is as follows: about 51% old corrugated containers, about 21% old magazines, and about 18% old newspaper.
In addition, recovered paper utilization ratio* in FY2020 was 68.5%, an increase of 6.1 points in the past 10 years as a result of various efforts to use recovered paper as a resource.
In addition, recovered paper utilization ratio* in FY2020 was 68.5%, an increase of 6.1 points in the past 10 years as a result of various efforts to use recovered paper as a resource.
*Recovered paper utilization ratio = Volume of recovered paper consumed ÷ Total volume of fiber raw materials consumed (total consumption of recovered paper, wood pulp, and other fiber raw materials)
Initiatives for Paper Recycling at Overseas Business Locations
Activities to Promote Recovered Paper Recycling in Malaysia
GSPP, a member of Oji Group, consumed 330 thousand tons of recovered paper in 2019 for manufacturing corrugated containerboard.
Most were collected through domestic recovered paper franchise (recovered paper collecting and sorting bases) in alliance with GSPP, and the volume accounted for 15% of all recovered paper collected in Malaysia. GSPP is currently carrying out works to increase corrugated containerboard production capacity.
Once this new capacity comes on line, GSPP is planning to increase imports of recovered paper, including Japan.
GSPP is working to improve the quality of recovered paper in Malaysia, mainly with its domestic recovered paper franchise. Moreover, GSPP is conducting awareness campaign targeting general public to further promote recovered paper recycling.
Photograph on the right below shows the sorting bins donated to welfare facilities by GSPP in conjunction with the Embassy of Japan in Malaysia. Bins are designed to raise awareness of recycling by enabling separate disposal of paper, plastics and cloth.
Most were collected through domestic recovered paper franchise (recovered paper collecting and sorting bases) in alliance with GSPP, and the volume accounted for 15% of all recovered paper collected in Malaysia. GSPP is currently carrying out works to increase corrugated containerboard production capacity.
Once this new capacity comes on line, GSPP is planning to increase imports of recovered paper, including Japan.
GSPP is working to improve the quality of recovered paper in Malaysia, mainly with its domestic recovered paper franchise. Moreover, GSPP is conducting awareness campaign targeting general public to further promote recovered paper recycling.
Photograph on the right below shows the sorting bins donated to welfare facilities by GSPP in conjunction with the Embassy of Japan in Malaysia. Bins are designed to raise awareness of recycling by enabling separate disposal of paper, plastics and cloth.
Recovered paper yard in GSPP paper mill
Quality check by GSPP on receipt Donated classification boxes of
recovered paper
Donated sorting bins
Use of Recovered Paper in New Zealand
The sorted collection of recyclables in New Zealand is not as developed as it is in Japan, so all recyclables are basically collected in a recycle bin.
For this reason, it is essential to build a system for collecting only recovered paper in order to efficiently collect high-quality recovered paper with low contamination.
Oji Fibre Solutions (Oji FS) is the New Zealand’s largest user of recovered paper and the only containerboard manufacturer in the country.
For our own recovered paper collection business, Oji FS boasts the fact that the amount of recovered paper collected exceeds not only the company’s own consumption but also total domestic consumption.
With 13 baling sites (to compress and pack recovered paper into large cubes weighing about 1 ton each), Oji FS collected about 243,000 tons of recovered paper in 2020. As Oji FS has a track record of using approximately 185,000 tons of recovered paper, the surplus exceeding its own consumption is exported overseas, mostly to Oji Group company GSPP (Malaysia).
Since Oji FS efforts are directly linked to the improvement of the national recovered paper recycling rate, the company is actively engaged in activities to improve recovered paper collection and the recovered paper utilization rate, such as considering a nation-wide collection system together with the government and developing paperboard products with an increased recovered paper content.
For this reason, it is essential to build a system for collecting only recovered paper in order to efficiently collect high-quality recovered paper with low contamination.
Oji Fibre Solutions (Oji FS) is the New Zealand’s largest user of recovered paper and the only containerboard manufacturer in the country.
For our own recovered paper collection business, Oji FS boasts the fact that the amount of recovered paper collected exceeds not only the company’s own consumption but also total domestic consumption.
With 13 baling sites (to compress and pack recovered paper into large cubes weighing about 1 ton each), Oji FS collected about 243,000 tons of recovered paper in 2020. As Oji FS has a track record of using approximately 185,000 tons of recovered paper, the surplus exceeding its own consumption is exported overseas, mostly to Oji Group company GSPP (Malaysia).
Since Oji FS efforts are directly linked to the improvement of the national recovered paper recycling rate, the company is actively engaged in activities to improve recovered paper collection and the recovered paper utilization rate, such as considering a nation-wide collection system together with the government and developing paperboard products with an increased recovered paper content.
Oji FS used paper recovery vehicle
Dedicated recovery box for
corrugated containers
Recovered paper bales delivered to
a paperboard plant
Approach to the SDGs
Oji Group contributes to the realization of a sustainable society through its Forest Recycling sustainable forest and afforestation management, the effective use of resources such as its Paper Recycling, the responsible procurement of raw materials, and the stable supply of safe and secure products.
We also work to respect human rights, ensure safety and health in the workplace and promote diversity.
We also work to respect human rights, ensure safety and health in the workplace and promote diversity.
1) Development of biomass plastic films
2) Use of recovered paper in New Zealand (recovered paper bales delivered to a paperboard plant)
3) Engage in health promotion in a local community (in CENIBRA, our consolidated subsidiary in Brazil)
4) Inspection for SGEC certification of the Mimasaka mountain forest (Okayama, Japan)
5) Use of recovered paper in Malaysia (donated sorting bins)
6) Water treatment business
7) Open a nursery to help employees balance child-care and work and to contribute to the elimination of waiting lists for children waiting to get into nursery schools.
Initiatives for Conservation of Biodiversity
Sustainable forest management requires a mutual understanding between forest plantation business operators and the local community.
Conservation Activity (New Zealand / Brazil/ Japan)
Oji Group engages in activities for protecting and caring for endangered species, enabling ecosystems to recover, and other activities in cooperation with governments, administrative authorities, environmental NPOs, academics, local residents, and others.
Kiwi (New Zealand)
Mutum (Brazil)
Japanese huchen (Hokkaido)
Fairy Pitta (Kochi)
