Paper Mill Closure Shakes North Louisiana Economy

Times are hard right now for people in Louisiana and all across America, really. Every day you turn on the news and you see businesses going under, mass layoffs and inflation going up. Every day, it just seems to be something new.

And, unfortunately, North Louisiana was just another blow on the economic front as International Paper has announced that they are closing 4 production facilities in the US - including one in Campti, Louisiana.

International Paper to Close Campti Mill

According to a report from Reuters, International paper announced today that they will be shutting down four production facilities in the US and laying off roughly 1% of their global work force. The report indicates that decision was made after a rough 4th quarter for the company financial.

One of the facilities getting shutdown is the Red River containerboard mill in Campti, Louisiana. And, unfortunately, the containerboard mill was one of the biggest private employers in Natchitoches Parish. According to some reports, the closure of the facility will eliminate about 300 permanent, full-time jobs in the area. Overall, the closure will impact more than 450 employees.

Why is International Paper Closing the Campti Louisiana Mill?

At it's peak, the Red River Containerboard mill produced roughly 800,000 tons of containerboard annually. So, why is International Paper shutting this facility down? According the Reuters report, the company has seen "tepid demand for its pricey paper packaging as consumer goods companies temper inventories and opt for cheaper packaging options to lower costs."

International Paper also recently acquired a rival company in January and is beginning to streamline some of their facilities and services. The Campti Mill isn't the only location being shuttered. A recycling plant in Arizona, a box plant in Pennsylvania and a Sheet feeder plant in Missouri are also being closed. All four facilities are expected to completely cease operations by the end of April.

International Paper is Just Another in a Long Line of Closures in Louisiana

International Paper is just the latest to close a major facility in Louisiana. GM, Libbey Glass, Exide Technologies, AT&T and Tango Transport are just a few of the other facilities in North Louisiana to close their facilities.

Some went bankrupt, others downsized, others just decided to close their facility due to political or tax reasons. But, honestly, the reason why their gone isn't the important part. The important thing is that every time one of these companies leave our area, they put hundreds if not thousands of people out of work. And, more often than not, we unfortunately don't replace the loss with another company.