The Gemdoubs mill was placed under court-ordered administration on January 7th by the Besançon Commercial Court. Located in eastern France, this company, which produces some 80,000 tons per year of CCM, is owned by the Lebanese groups Gemayel and Chaoui.
“Although the paper industry has promising medium-term prospects, bolstered by the European Parliament’s vote on the PPWR in 2024, the sector is facing a very difficult situation that has persisted for almost three years,” explains Laurent Grenier (photo), CEO of Gemdoubs, in his press release. “The sluggish markets have coincided during this period with rising costs, particularly for energy and waste paper; the price of waste paper, which was once correlated with the selling price, is now decoupled due to waste paper exports. Six paper mills have closed in France in the last year. Gemdoubs is also suffering from the extreme market downturn, although the company has been very active during this period, promoting new products and actively working to reduce its costs. (…) After lengthy negotiations, three out of four financial partners responded positively to the company’s requests. The default of one of them rendered the agreement of the others null and void. (…) Management considers this procedure as legal aid to allow the company to recover and apply for approval in 2026 for a restructuring plan through continued operations. The company’s management and staff remain highly motivated and proactive in continuing operations, focusing on the excellent relationships it maintains with its clients, the specific products it offers, and the ongoing efforts to improve its productivity and reduce its costs”.
V. L.
Photo /Valérie Lechiffre
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