Domtar Corporation will indefinitely idle operations at its Grenada, Miss., paper mill in September, marking a significant transition for an industrial cornerstone that has stood at 1000 Paper Mill Rd., for decades.
Officials with Domtar, a leading North American manufacturer of diversified forest products, which purchased Resolute Forest Products in March 2023, announced the decision to its employees Wednesday morning, citing a response to newsprint market conditions.
According to officials, the decision is part of Domtar’s ongoing efforts to align its operations with current business conditions. The company is taking steps to ensure a safe and orderly wind-down of production and is committed to supporting the more than 160 employees, their families and the Grenada community through career transition resources, benefits guidance and transparent communication during this period.
Photo by Adam Prestridge © 2025 Emmerich Newspapers, Inc. | The paper mill in Grenada, Miss., has been in operation since 1989, located at 1000 Paper Mill Rd.
Matthew Harrison, president & CEO for the Greater Grenada Partnership, said Domtar’s announcement is a transitional period for Grenada County.
“The closing of the Domtar/Resolute mill in Grenada is certainly a moment of transition for our community,” he said Wednesday morning. “For decades, this facility has provided good jobs and has been a proud part of Grenada’s industrial story. We honor the hard work of the men and women who dedicated their careers to this company and helped strengthen our local economy.”
Harrison added that the mill’s closure is “difficult,” but not the end of Grenada’s story.
“Our community has proven time and again that we are resilient, innovative and forward-looking,” he said. “Grenada continues to attract new investment, grow our manufacturing base, and create opportunities for the future. The Greater Grenada Partnership is already working with state and local leaders, workforce agencies and potential new investors to ensure that our people and our industrial assets are positioned for success.”
According to its website, Domtar’s Grenada mill operates one of the most modern, high-speed and efficient newsprint machines in North America. The mill produces a high-quality, cost-competitive product sold to newspaper publishers across the Southeastern United States, Mexico and Latin America. Proximity to ports along the Gulf of Mexico provides cost-effective access to international markets. The mill, which was built in 1989, is considered one of the region’s preferred employers and has been recognized on several occasions by the Tennessee Valley Authority (TVA) for its work to improve energy efficiency.
Grenada’s paper mill was originally known as Newsprint South, Inc. It was built over an 18-month period and, at the time, was a wholly owned subsidiary of Mississippi Chemical Corp. It was built to produce high-quality newsprint using a thermomechanical pulping process. It was considered a state-of-the-art facility at the time. Over the years, the mill has undergone various ownership changes and expansions, becoming part of Resolute Forest Products, which is now part of Domtar.
Photo by Adam Prestridge © 2025 Emmerich Newspapers, Inc. | A pile of logs awaits production at the Domtar mill in Grenada, Miss.
Domtar is a leading, privately held manufacturer of diversified forest products, with a workforce of nearly 14,000 employees in more than 60 locations across North America. The company has an annual capacity of 6.3 million metric tons of pulp, paper, packaging and tissue annually, and has an annual production capacity of about 3 billion board feet of lumber and other wood products. Formerly known as the Paper Excellence Group, Domtar is comprised of legacy businesses Paper Excellence Canada Holdings Corporation, Domtar Corporation and Resolute Forest Products, and is owned by investor Jackson Wijaya.
“This is a time not only to reflect on the contribution the Domtar/Resolute team has made but also to look ahead with confidence. Grenada’s future remains bright, and together we will continue to build a stronger, more diverse economy for generations to come,” Harrison concluded.