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You are here: Home Page > Pulp Mill CEO Erkki Varis

Pulp Mill CEO Erkki Varis says He's Famous Thanks to Conflict and Favors Private Investment over Social Conflict

March 7, 2008 – Montevideo Uruguay. In the midst of an ongoing 500 day strong international roadblock because of a controversial Finnish pulp mill built recently on the Argentine-Uruguayan border, the now infamous pulp mill CEO Erkki Varis met with Uruguayan President, Tabaret Vasquez and financial institutions in Uruguay, and claims he's famous thanks to the conflict his multimillion dollar pulp mill has caused, but Varis claims he doesn't regret one bit what the company has done.

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For local community stakeholders in Argentina and Uruguay that oppose the mill, now in the hundreds of thousands , his words were insulting, and marked the arrogance and stubborn attitude the Finnish CEO has shown since Botnia first devised constructing Latin America's largest pulp mill, ironically, in the middle of sunny beach and tourism territory of the Uruguay River, the natural border between the countries.

Varis delivered a speech in the Cabildo (the Town Hall) of Montevideo this week, to government officials, financial institutions, and Botnia's key shareholders who traveled to Uruguay (some 75 people from Europe) for the ribbon-cutting ceremony. Varis congratulated President Vasquez and Uruguay for favoring international investment over local pressures to protect the environment and livelihoods . He said, “this will definitely bring investments to Uruguay”.

“Our dream has become a reality” said an elated and smiling Varis to those present at the official ceremony. “Thanks to the strength and resistance of Uruguayans and Finns … I am now famous in Argentina and Uruguay”. Kari Jordon, Chair of Botnia's Board of Directors was also present in Uruguay for the ceremonies thanked Uruguay for “the support the company has received which will surely bring further investment”. ”The Uruguay Tour” included a visit to Botnia's new pulp mill plant, with heightened security measures to ensure that community stakeholders could not voice their position anywhere near the visitors.

Varis indicated that Botnia Uruguay has already produced some 200,000 tons of ECF pulp that have already reached Chinese and European markets. “Our clients are very happy”, stated Varis

To stakeholders, talk of profit is salt on wounds, as they continue to vehemently oppose the environmental contamination which is already occurring in Fray Bentos (the site of the Botnia factor) and to Argentine territory across the border. Varis said to visitors, that “contamination levels are all below permitted levels”. Ronald Beare, Botnia's General Manager at the Uruguay plant, lamented the death of two workers in the construction phase, but he is very please with the investment opportunities that he claims Uruguay has created by supporting and defending the Botnia project, despite massive local opposition and the growing international conflict with Argentina caused by the investment. In reference to complaints by the local workers union that security measures were not sufficient Beare indicated that they were like any one of Botnia's other plants.

Varis refused to answer legal questions from journalists on the criminal charges he and other Botnia officials face in Argentina for intent to commit environmental crimes.

Varis' visit had the flavor of that of a head of state, with extremely heightened security, closed off streets, and assurances for foreign dignitaries that there would be no manifestation or protest against the company. Official repression of public opinion against Botnia has occurred systematically since Botnia's arrival in Uruguay. Following increased violence and threats against individuals that oppose the investment, the community has begun to send evidence to the Inter-American Commission on Human Rights about human rights violations perpetrated by the State in order to shield Botnia from public opinion.

Daniel Astori, the Uruguayan Economic Minister was happy with the ceremony for Botnia and indicated that the Botnia project was critical for Uruguay, since Botnia's investment, of nearly 1.5 billion, is the largest investment in Uruguayan history.

More Information

For more information contact:

Jorge Daniel Taillant
jdtaillant@cedha.org.ar

Observatorio de Políticas Públicas de Derechos Humanos en el MERCOSUR Biceca
OECD Watch Bank Track GT ONG