Demand Rises for Pulp and Paper from India

According to market reports this Wednesday (Aug. 29, 2018) by the regional Indian agency Teleganda Today, international regulatory changes in the paper industry happening in China and in the U.S. are now helping increase the demand for paper pulp internationally. Since pulp is in demand, the paper prices have increased in the recent times and this is good for the domestic (Indian) paper industry.

However, the phenomenon is a cyclical one, said Sanjay Singh, Divisional Chief Executive, ITC Limited – PSPD.

 

Speaking at the 12th edition of industry event Papertech, Singh, who is also the Co-Chairman of the event, said China has put restrictions on using waste paper for making pulp. As a result, it is looking to tap markets like India and others for pulp, which is resulting in good prices for the local industry here. India is poised to join the ranks of countries including China, Vietnam, and the U.S. in adopting and promoting world class environment friendly paper production practices.

KS Kasi Viswanathan, managing director, Seshasayee Papers and Boards and chairman of PaperTech, said the paper industry had taken up measures for reducing water and power usage. However, the sector should continue to upgrade the processes to meet the stringent environmental norms.

PS Patwari, executive director, Emami Paper Mills and INMA president, explained all Indian national newsprint is produced with recycled waste paper. Despite the boom in digital media, he noted that print media is going strong in India compared to other countries and contributing to the overall uniquely strong growth of the paper industry in the country. He further added that the sector is offering growth and employment opportunities while also in the process of building a new expansion of the industry cycle addressing waste paper collection so as to be in line with what will likely be considered international demands of papermaking for the markets of the 21st century.

 

If the market forces favorable to India such as China's import restrictions stay in place it may provide an opportunity for Indian companies to corner more than their approximate share of 4.4% of the world market. Currently, as explained in this past week's OTW Aug. 23, 2018 edition, companies headquartered with domestic production in India such as JK Paper are now expanding and making purchases to consolidate and modernize and employ exact standards at paper production facilities across India as part of now exporting to 50+ nations outside the Indian market.