24.11.2025

Success for Koskisen’s Pilot in Recycling Innovation Competition

Koskisen, Kesko, and Purkupiha have piloted a solution where wooden packaging materials removed from the retail distribution chain, such as pallets, are utilized as raw material for particleboard. Over several years of research, Koskisen developed a unique treatment process that enables particleboard containing recycled wood to match the quality of products made from virgin wood.

Using recycled material supports Koskisen’s sustainability goals and expands its range of circular economy products. Although the share of recycled wood in the finished product is still small at the pilot stage, Koskisen estimates it could use about one truckload of recycled material per day in production.

Until now, Finland has lacked an industrial-scale solution for end-of-life wood, which has mostly been incinerated. The pilot results show that utilizing recycled wood can be economically viable and add value. The goal is to integrate the solution into regular production once the permit process is completed at the beginning of 2026.

Kimmo Ahonen

Kimmo Ahonen, Business Development Manager at Koskisen who has been involved since the start of the pilot, shares two significant observations highlighting the importance of the pilot and the solution developed. “The first key observation concerns the status of recycled wood. Unlike plastic, metal, or concrete, there are no EU or national-level definitions or limits for recycled wood products. Wood has traditionally been seen as a less valuable secondary material because burning it has been an easy and accepted end-use,” Ahonen notes.

According to Ahonen, the second key observation is that this is a collaborative model where Koskisen and other stakeholders have carefully planned every step of the process together. While Koskisen does not aim to dominate the collection sources for recycled material, the company has invested heavily in defining and cleaning the material. “Our goal is not to create a separate recycled product but to develop more responsible solutions and prepare for future legislative changes that may require the use of recycled materials. At the same time, we aim to maintain product purity and cost-efficiency compared to virgin raw material,” Ahonen explains.

Ahonen describes the pilot and the development of this new approach as a rewarding experience, reflecting Koskisen’s principle that not even sawdust should go to waste. For customers, the opportunity to recycle discarded and waste wood for long-term domestic reuse in particleboard could mean a decisive improvement in operating conditions. Even products using recycled material must meet Koskisen’s high quality standards, Ahonen emphasizes: “Koskisen quality must remain. That cannot be compromised.”

Koskisen’s pilot participated in the PuuLoop recycling innovation competition, won the industrial category, and placed second overall in the Puumarkkinapäivät final on October 30, 2025.

Read the press release