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13
December 2017
 |
Paper (The Total
Investment & Insurance Solutions)
The Chinese government’s move to ban
waste paper amidst environment concerns is expected to benefit the Indian paper
manufacturers.
Waste Paper (WP) is one of the major sources of raw material used for manufacturing the recycled paper products. The recycled paper products are extensively used for manufacturing packaging materials like corrugated boxes.
The Chinese Government’s decision to ban waste paper imports has caused a drop in global waste paper prices. As a result, the price of recycled paper in China, used for packaging material, has increased due to short supply of WP. Indian manufacturers using waste paper stand to benefit on account of lower global waste paper prices (on excess supply) and higher realization for recycled paper. The Total Investment & Insurance Solutions
The global shortage of wood pulp has resulted in increasing prices of finished paper. Indian wood pulp based having requisite self-sourcing (farm forestry) are expected to benefit from increasing global finished paper prices.
The companies like West Coast Paper, TNPL and NR Agarwal Industries which majorly import waste paper for manufacturing processed recycled paper are expected to improve margins on account of falling waste paper prices.
As per the industry reports, the global price fall in waste paper is evident as the old corrugated containers (OCC), the most common form of waste paper, fell from €150 per tonne in July 2017 to €135 per tonne in December 2017. Also, the prices of Kraftliner, the recycled paper manufactured by processing the waste paper, have risen from €642 per tonne in July 2017 to €694 per tonne in December 2017The Total Investment & Insurance Solutions
Waste Paper (WP) is one of the major sources of raw material used for manufacturing the recycled paper products. The recycled paper products are extensively used for manufacturing packaging materials like corrugated boxes.
The Chinese Government’s decision to ban waste paper imports has caused a drop in global waste paper prices. As a result, the price of recycled paper in China, used for packaging material, has increased due to short supply of WP. Indian manufacturers using waste paper stand to benefit on account of lower global waste paper prices (on excess supply) and higher realization for recycled paper. The Total Investment & Insurance Solutions
The global shortage of wood pulp has resulted in increasing prices of finished paper. Indian wood pulp based having requisite self-sourcing (farm forestry) are expected to benefit from increasing global finished paper prices.
The companies like West Coast Paper, TNPL and NR Agarwal Industries which majorly import waste paper for manufacturing processed recycled paper are expected to improve margins on account of falling waste paper prices.
As per the industry reports, the global price fall in waste paper is evident as the old corrugated containers (OCC), the most common form of waste paper, fell from €150 per tonne in July 2017 to €135 per tonne in December 2017. Also, the prices of Kraftliner, the recycled paper manufactured by processing the waste paper, have risen from €642 per tonne in July 2017 to €694 per tonne in December 2017The Total Investment & Insurance Solutions
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