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Green Cargo meets Holmen’s new transportation needs

Press release   •   Jun 15, 2020 14:36 UTC

Despite the prevailing situation with COVID-19 and reduced demand in many segments, Holmen’s round timber customers need to transport raw materials, with a resulting increase in Holmen’s need for more freight transportation. Green Cargo has been able to meet Holmen’s requirements for extra trains thanks to its customer adaptability and solution-oriented approach with a focus on flexibility and punctuality.

Holmen and Green Cargo have a long history of collaboration with the transportation of pulpwood and saw logs between regions in northern Sweden. In April last year, this collaboration grew with several new destinations, and a transportation solution entailing more locomotives and a new wagon was developed to optimize capacity. The transportation solution is environmentally and financially sustainable with more timber being transported to more regions using fewer trains.

“Not only does Green Cargo have a long-term and stable transportation solution, it can now offer us greater opportunities for a more flexible transportation flow that can be booked on short notice. Our new requirements for extra trains have been met favorably during the latest period and we have therefore been able to secure deliveries to our end customers. Collaboration has been strengthened by good communication, customization and flexibility in Green Cargo’s operations. Green Cargo meets our needs and demand, which is extremely positive and important for us in terms of new business opportunities,” says Maja Öberg, Supply Coordinator at Holmen.

Photo: Employees at Holmen and Green Cargo with Maja Öberg, Supply Coordinator at Holmen and Johan Roswall, Key Account Manager at Green Cargo on the far right.

Rail freight is an important cornerstone for Sweden’s prosperity and competitiveness. Many of Sweden’s industrial companies, just like Holmen, rely on well-functioning rail freight, an unbeatable method of transportation environmentally and in terms of capacity. Green Cargo’s cross-functional team, with representatives from various parts of the company, are working hard together to speed up the process for setting in extra trains and handling new inquiries.

“We have the ability and the desire to meet our customers’ needs, and we can now provide the flexibility that Holmen’s round timber customers require with production that adapts more flexibly to the market, allowing us to maintain and win new business. Holmen places high value on the way that we work, and of course we want to live up to that,” says Johan Roswall, Key Account Manager at Green Cargo.

Holmen’s business concept is to own and add value to the forest. Forest holdings form the basis of the business in which the raw material grows and is refined into everything from wood products for climate-smart building to renewable packaging, magazines and books. The forest is managed to provide a good annual return and stable value growth while the industry is run with a focus on profitability and increasing the value added. Holmen’s sales increased to almost SEK 17 billion in 2019, and employees numbered around 3,000. The share is listed on Nasdaq Stockholm, Large Cap.

Green Cargo is a sustainable logistics partner and crucial for Scandinavia’s trade and industry. Electric trains make up over 95 percent of our ton kilometrage, meaning the climate impact is next to zero. Every 24 hours, some 400 freight trains depart, replacing around 9,000 truckloads on the road network. We serve close to 300 locations in Sweden, Norway and Denmark through our network, and with our partners we reach all of Europe. Green Cargo is owned by the Swedish State. We transport 22 million tonnes of freight, have 1,800 employees and annual sales of about SEK 4.1 billion (2019).