Monthly Archives: December 2017
Moody’s: Wood product growth supports 2018 stable outlook, offsetting commodity paper decline
(Toronto, December 12, 2017) The likelihood of strong profits from the wood products business, alongside higher prices and growth in paper packaging from increased e-commerce demand, will help to offset the secular declines in the printing and writing paper segment, says Moody’s Investors Service in its annual sector outlook published today. As a result, the outlook for the global paper and forest products sector will remain stable in 2018.
“The stable outlook for paper and forest products globally next year Read More...
Södra to increase the price of NBSK in Europe to USD 1070/tonne
(Sweden, Dec. 22, 2017) Södra Cell to increase NBSK pulp price to $1,070/tonne in Europe, effective Jan 1, 2018. “The global pulp market is searching for an equilibrium, but it has clearly not reached that point yet,” commented Magnus Björkman, VP Marketing and Sales Södra Cell. “On the contrary the market remains exceptionally strong and this latest announcement is a reflection of the continuing market sentiment.” (Source: press release) Read More...
End of the road for newsprint maker Norske Skog; to file for bankruptcy
(Oslo, Dec. 19, 2017) The board of the parent company for Norway’s long-troubled forestry firm Norske Skog announced that they are declaring Norske Skogindustrier AS insolvent and filed for bankruptcy in an Oslo court on Tuesday Dec. 19. However, the company announced that operations at the company’s seven paper mills would continue as usual.
The board of Norske Skog has for months been trying to avoid bankruptcy and has pushed back multiple times deadlines to conclude negotiations with creditors. However, Read More...
AF&PA Urges Chinese Authorities to Keep an Open Market for Recovered Paper Imports; “China has violated their WTO obligations,” says CEO Donna Harman
(Washington DC, December 19, 2017) Advocating for free and fair recovered fiber trade policies with China, American Forest & Paper Association (AF&PA) President and CEO Donna Harman announced the association’s filing of formal comments with the World Trade Organization (WTO) and Chinese authorities:
“We believe China has violated their obligations under the WTO and will disrupt international trade and the global market for recovered fiber by their import limiting actions. Specifically, China has mischaracterized certain valuable raw material as ‘solid Read More...
UPM Prepares to Permanently Close Paper Machine 5 at Blandin Mill at Year-end
(Helsinki, December 20, 2017) UPM on Oct. 24 announced plans to permanently close paper machine 5 at UPM Blandin in Minnesota, (USA) in response to overcapacities in the North American paper market. The company today said that all related processes have now been completed, and paper machine 5 will be permanently closed on December 30, 2017 at the latest.
The number of employees affected is 148.
The closure will reduce UPM’s annual capacity of coated magazine paper by approximately 128,000 tons. Read More...
Total U.S. Boxboard Production Decreased Slightly in November 2017
(Washington DC, USA, Dec. 20, 2017) The American Forest & Paper Association released its November 2017 U.S. Boxboard Report, which said total boxboard production decreased 0.4 percent when compared to November 2016 and decreased 2.0 percent from last month.
Unbleached Kraft Boxboard production increased over the same month a year ago and increased compared to last month.
Total Solid Bleached Boxboard & Liner production decreased when compared to November 2016 and was flat compared to last month.
The production of Recycled Boxboard Read More...
Total U.S. Printing-Writing Paper Shipments Decreased Six Percent in November
(Washington DC, USA, Dec. 21, 2017) The American Forest & Paper Association has released its November 2017 Printing-Writing Paper Report. According to the monthly report, total printing-writing paper shipments decreased six percent in November compared to November 2016. Shipments of uncoated free sheet shipments remained flat while the remaining three major printing-writing grades declined year-over-year.
Total printing-writing paper inventory levels increased less than one-half of one percent from October 2017.
November uncoated free sheet (UFS) paper shipments were flat year-over-year following Read More...
Resolute Acquires Full Ownership of Newsprint Operation, Donohue Malbaie, in Quebec
(Montreal, Canada, Dec. 21, 2017) Resolute Forest Products Inc. today announced the closing of a transaction to acquire the 49 percent equity interest held by The New York Times Company in Donohue Malbaie Inc. for a cash purchase price in the amount of C$20 million.
Resolute already owned 51 percent of the shares of Donohue Malbaie.
Donohue Malbaie owns and operates a paper machine with an annual production capacity of 224,000 metric tons of newsprint in Clermont (Quebec). The Clermont operation, Read More...
Mondi Group Agrees to Acquire Powerflute for EUR 365 Million
(Kuopio, Finland, Dec. 22, 2017) Mondi Group has signed an agreement to acquire 100% of the outstanding shares in Powerflute Group Holdings Oy (Powerflute), a division of Nordic Packaging and Container Holdings (“NPAC Holdings”), for a total consideration of EUR 365 million on an enterprise value basis.
Powerflute operates an integrated pulp and paper mill in Kuopio (Finland) with an annual production capacity of 285,000 tonnes of high-performance semi-chemical fluting. Powerflute’s premium semi-chemical fluting is sold to a diverse range Read More...
Arctic Paper to Expand Uncoated Woodfree Paper Capacity at Its Kostrzyn Mill in Poland
(Poland, Dec. 18, 2017) The Management Board and Supervisory Board of Arctic Paper S.A. have adopted a decision to launch an investment project at Arctic Paper Kostrzyn with the aim of expanding the capacity at the mill. The investment, estimated at EUR 10 million, will be financed with funds from tranche B of the investment loan from the EBRD.
Completion of the project is planned for the first half of 2019.
After the investment, the Arctic Paper Kostrzyn mill will increase Read More...
Stora Enso Inaugurates Its New Polyethylene Coating Plant at Beihai Mill in China
(Helsinki, Finland, Dec. 19, 2017) Stora Enso said about 170 guests attended the official inauguration of its new polyethylene (PE) coating plant at the consumer board mill in Beihai, China today.
Stora Enso has invested EUR 31 million in the PE coating plant, following its establishment in the Guangxi region in China as a response to increasing demand on the market. The plant has an annual capacity of 80,000 tonnes of PE coated products. PE coated board is suitable for Read More...
Link: How the Indian paper industry revived itself from a slump
(Mumbai, December 26, 2017) The first phase of earnings recovery was led by consolidation. Paper sector has not seen any new major capacity addition over the past three years. Now the second leg of earnings growth could come from changes in the global paper industry. Since mid-2017, Chinese plants that produce from waste (recycled) paper shut down and demand for wood pulp (natural fibre) increased. Major pulp exporters such as Indonesia, Malaysia and Chile have now diverted all pulp Read More...
Mintel announces Five Global Packaging Trends for 2018
(Dec. 12, 2018) Mintel, the world’s leading market intelligence agency, has today (12 December 2017) announced five trends set to impact the global packaging industry over the coming year.
In 2018:
• Packaging will play a pivotal role in reducing global food and product waste.
• Online brands will reinvigorate their packaging in order to enhance the e-commerce experience.
• Brands who adopt clear and succinct package messaging will be rewarded as consumers prefer brands that embrace minimalism.
• Brands will be called to keep marine conservation at Read More...
North American Paper Producers Announce Price Hikes
(New York, Dec. 18, 2017) Midland Paper, Packaging + Supplies today reported that a number of North American paper producers have announced price increases that will go into effect between Jan. 15 - February 1.
Twin Rivers
Please be advised that effective with shipments on or after January 15, 2018, Twin Rivers Paper Company will be implementing a US $40.00/ton price increase on our publishing papers, including:
• Freesheet:
Snowbrite Opaque, Custom Brite, Custom Plus, Custom Supreme, Twin Rivers Opaque, Read More...
OCC Prices Flat in December after Roller Coaster Month
(USA, Dec. 8, 2017) Packaging and forest products analyst Chip Dillon at Vertical Research Partners, reports: “On Dec. 6, we learned from trade publisher RISI that the average price of recyclable old corrugated containers (OCC) across the USA declined by just $1/ton to $105 in early December from $106 in early November, as every single region except for the Southwest did not experience any price change. The price of OCC remained flat in the key Southeast region, at $115/ton. Read More...