Modern paper honeycomb production in Indonesia The applicant Honicel Worldwide B.V. (part of Imker Holding B.V.), is active in production and marketing & sales of paper honeycomb (see picture below). The local partner is specialised in the production and marketing & sales of polyurethane screens, polyurethane castings and components and rubber (conveyor belt) rollers. The Honicel paper honeycomb is used as core material in constructive and packaging application. It is used in a.o. doors, partition walls, furniture and as pallets and thus offers an alternative to the use of wood. Paper laminated honeycomb (named Honipack) is used as a substitute for environmental unfriendly packaging products like EPS (Expanded Poly Styrene). Because transport cost form a substantial part of the total cost, the current way of export from the Netherlands is no solution for the long-term. The project partners believe that the impact to use paper honeycomb will boost low cost housing and furniture. Further, the partners see good market opportunities on the packaging market in Indonesia. Honipack can be used in a number of industries as protective packaging solution for white good and electronic industries and pallets for transport/export of products.Therefore, the project partners intend to set up a facility for the production of paper honeycomb and honipack. A joint venture will be established between Honicel Worldwide B.V. and the local partner.Corporate Social Responsibility (CSR)No certification will be obtained during the project. However, the joint venture will aim to be FSC certified in the future. To obtain FSC certification for the joint venture the supplying paper mills should also be FSC certified. The joint venture will stimulate this and make the effort to push paper mills to work towards FSC certification.Impact•	Employment and working conditionsDuring the project 10 jobs will be created. Two years after finalisation of the project 16 staff will be contracted. The project partners are conservative in their figures. Once Honipack production will be operational at least an additional 100 employees will be needed for production of packaging solutions. This is currently also the situation in the production facilities in China. Minimum salary will be 10% above the legal minimum wage.Further, the joint venture will subsidise the education of one child per employee annually. A medical insurance for every employee will also be policy in the new joint venture.•	Innovation / Transfer of knowledgeAll knowledge with regard to the Honicel-honeycomb production technology is new for Indonesia. Further, the applications of Honicel-honeycomb and Honipack in several industries in Indonesia are also new and will therefore need guidance from Honicel Worldwide B.V..•	Chain effectsThe joint venture will be supplied with recycled paper from at least three different paper mills in Indonesia. Further, numerous end users could process Honeycomb for a wide spectrum of applications varying from the furniture industry to the automotive industry.•	EnvironmentThe impact on the environment will be positive. The Honipack and Honeycomb products can replace the use of (solid) wood and the use of oil based products such as plastic and EPS. The Honicel-honeycomb respectively Honipack can be used in the furniture industry and packaging industry. Honipack can also replace the use of wooden pallets. The production of hundred wooden pallets requires at least eleven trees as raw material. The purpose of the project is to produce 600 tons of paper honeycomb and 125,000 m2 of honipack.