Valmet Secures Third Tissue Line Order from Faderco, Doubles Algerian Capacity

Event summary

  • Valmet has secured an order from Faderco Group’s subsidiary, WARAK, for a third Advantage DCT 200TS tissue line.
  • The new line, located in Mostaganem, Algeria, is expected to double Faderco’s total tissue output to 130,000 tons annually.
  • The project, valued but undisclosed, is slated for completion in Q1 2027 and was included in Valmet’s Q4 2025 order book.
  • Faderco Group operates six production sites with over 65 production lines across North Africa, serving both domestic and export markets.

The big picture

Faderco’s investment underscores the growing demand for tissue products in North Africa and the increasing reliance on advanced technology to meet it. Valmet’s continued partnership with Faderco demonstrates its success in penetrating the region, but also highlights the potential for concentrated risk with key customers. This expansion positions Faderco to capitalize on rising disposable incomes and urbanization trends across its target markets.

What we're watching

Regional Demand
The success of this expansion hinges on Faderco’s ability to maintain and grow export volumes into Southern Europe, the UK, and Africa, given increased competition in those markets.
Valmet's Pipeline
Further orders from existing customers like Faderco suggest Valmet’s Advantage DCT technology is becoming a preferred solution, but the lack of disclosed order value raises questions about project profitability.
Energy Costs
Faderco’s emphasis on energy and water efficiency highlights the increasing importance of sustainable operations in the region; any significant rise in energy costs could erode margins.