This report presents a climate riskassessment for International Finance Corporation (IFC’s)investment in Bulleh Shah Paper Mills (BSPM) in Kasur,Pakistan. This facility is owned by Packages Limited, theleading integrated paper products manufacturer in Pakistan.Starting in 2005, packages began to relocate its papermanufacturing facilities from Lahore (which has limitedcapacity for expansion), to Kasur. This has allowed thecompany to increase paper and paperboard production at thenew site, while continuing to operate a packaging productionplant at Lahore. This study explores the potential climaterisks to the company’s operational and engineering plant, towheat straw input yields, to groundwater resources, and tothe local community. In the absence of detailed informationon the company’s sensitivity to climate variability (a sitevisit was not possible for this case study) this report alsopresents a general overview of the climate risks faced bythe pulp and paper sector worldwide. For more publicationson IFC Sustainability please visit www.ifc.org/sustainabilitypublications.