Thursday, June 6, 2019 - Member
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In This Issue |
Weekly Spotlight
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Market Roundup
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Pulp & Paper
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Containerboard/Packaging
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Legislative
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New Products
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Sustainability
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People
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TAPPI News
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Weekly Spotlight
Study explores current industry trends and advancements that Canada’s forest products sector has made in the face of growing business challenges. It also provides a number of recommendations, which would enable the sector to enhance its contributions to the Canadian economy and our country’s environmental goals.
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Domtar and NCSU work together to introduce paper science students to the world of fluff pulp and the many types of personal care products that can be made and the future opportunities involved. Students traveled to Toledo, Spain to learn more about Domtar's personal care business.
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We live in a world that is growing more conscious of the environmental effects of consumer choices. In the flurry of information about making sustainable choices, some myths about paper sustainability have proliferated.
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Market Roundup
The global fluff pulp market is expected to post a CAGR of over 4% during the period 2019-2023, according to the latest market research report series summary published on Tuesday, May 14, by Technavio Research. Increasing awareness, esp. the hygiene needs of infants and the elderly, prompts customers to invest in personal hygiene products such as diapers and sanitary napkins. Feminine hygiene products have also become one of the most adopted personal hygiene products.
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Pulp & Paper
"The repurchase of Bergvik Skog Öst is part of our strategy to ensure a long-term competitive and stable wood supply. Going forward our intent is to find suitable investors to this forest land and thereby ensure long-term wood agreements, rather than tying our capital into forest assets. The process to find suitable investors is ongoing," said Petra Einarsson, CEO and President at BillerudKorsnäs.
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"Due to the current and long-term log supply constraints we face in the Vavenby region, along with the high cost of fiber, we have made the very difficult decision to permanently close the sawmill and sell the associated forest tenure to Interfor. The ongoing depressed lumber markets have expedited this decision," said Don Kayne, President and CEO, Canfor.
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Once fully operating, the mill will produce approximately 300,000 metric tons of product per year. Currently, Phoenix Paper employs approximately 224 people at the Wickliffe site and is owned by Shanying Intl., an industrial papermaking enterprise and packaging board manufacturer in China. Verso closed the mill in 2016.
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Interfor to acquire two replaceable licenses with annual cutting rights of approximately 349,000 cubic meters, an interest in a non-replaceable forest licence and other related forestry assets in the B.C. Interior that were previously associated with Canfor’s Vavenby sawmill.
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Target for the ongoing pre-engineering project is to create conditions for building a bioproduct mill with an annual production capacity of approximately 1.5 million metric tons of softwood and hardwood pulp to Metsä Group’s current mill site in Kemi. In addition to pulp, the mill would produce various other bioproducts.
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The turnkey order comprises two PrimeLineCOMPACT V tissue machines with steel Yankee as well as complete stock preparation systems, pumps, automation, hall ventilation, and electrification. The TMs have a design speed of 1,900 m/min and a width of 2.85 m.
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Company will now be able to implement our long-term strategy with great force and speed by continuing to improve our core business, convert relevant parts of our paper machines and diversify within the bioenergy, fiber and biochemical markets, said Mr. Sven Ombudstvedt, Chairman of the board and CEO of Norske Skog.
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PMP will supply a new Crescent Former Intelli-Tissue® Advanced 2100 machine with a maximum capacity of 41,000 tpa, reel trim of 2850 mm and the maximum balance speed of 2100 mpm. Machine will produce high quality tissue with the basis weight range of 12.5-40 gsm at the reel.
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"We have the intention to grow as a forest owner in the Baltics", said Jonas Mårtensson, President Forest."The Baltic states are a natural part of our raw material supply base and we have been present in the market for a long time as a buyer of timber. Having our own forest resource strengthens our operations in the region."
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"SCA has run its own logistic servies since 1967 and Rotterdam is one of the most important ports for SCA’s products", says Magnus Svensson, President Sourcing & Logistics. "Through the sale of the terminal to Matrans Holdings, we will be able to maintain the present high logistics service level."
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As part of the transaction, Stora Enso acquires Bergvik Skog Plantor AB nursery and three wind turbine projects. This will further strengthen the group’s comprehensive offering to forest owners in Sweden and is in line with its commitment to sustainable forestry.
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The decision to implement this temporary reduction is due to sustained weak pricing in global lumber markets and high log costs.
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Containerboard/Packaging
Regulatory clearance has been received from the U.S. Department of Justice in relation to the combination of the two companies. A condition of this approval is the previously announced sale of certain Amcor assets located in the US to Tekni-Plex, Inc.
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The company announced that it will close two particleboard facilities in Hope, Arkansas, and Monroeville, Alabama, over the next couple months and will not rebuild its Thomson, Georgia, facility, which experienced a catastrophic fire last week. Approximately 100 employees at each facility will be impacted.
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The center is perfectly situated in a bioeconomy ecosystem which is unique in the world. The site is shared with many businesses including Metsä Group’s next-generation bioproduct mill, Metsä Board’s board mill, the Pro Nemus visitor centre and a demo plant for Metsä Spring and Japanese Itochu Corporation that will start the production of textile fibers at the end of 2019.
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Legislative
"We are facing some of the most important issues in Canadian forest management history," said Francois Dufresne, president, FSC Canada. "It was important for FSC to equally involve a diverse group of experts and interests to establish a new national framework that can be adopted across the entire forest industry."
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New Products
Electrastar is a superior super bright sheet that makes graphics pop off the page and conveys your message with concise print quality. Electrabrite enhances printed images and is an excellent upgrade when compared to newsprint. Both grades are ideal for coldset or heatset web offset printing.
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Besides being better for the environment through lightweighting, the improved product range offers customer benefits by boosting brand appeal with its enhanced and balanced visual properties. The refreshed, simplified selection of products further helps improve Metsä Board’s folding boxboards’ already leading quality consistency, as well as supply reliability.
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Smurfit Kappa has been awarded with the 'Transforming Innovation' award from Kellogg's, in the Americas. The award was recognition for a recent project in which Smurfit Kappa redesigned the cereal giant’s packaging to optimise its supply chain. The Smurfit Kappa team worked closely with Kellogg’s to identify a sustainable and innovative packaging solution requiring fewer cases during transportation.
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Sustainability
Cascades claimed Canadian Businesses' 6th place in this year’s ranking, the company’s best showing since it first appeared on the list in 2007. This achievement is due to a number of factors, including the percentage of sales tied to eco-friendly products and the representation of women on its Board of Directors.
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Collaboration between DS Smith and the Ellen MacArthur Foundation will strengthen the company’s Sustainability strategy. This program is underpinned by nine long-term sustainability targets, which include manufacturing 100% reusable or recyclable packaging by 2025 and reducing its CO₂e emissions, relative to production, by 30% by 2030.
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Environmental Business Specialists (EBS) and Auburn University are partnering to evaluate the source, toxic effects, and frequency of occurrence of various inhibitory chemicals that make their way to the wastewater treatment process during pulp and paper manufacturing.
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Essity has signed a license agreement securing exclusive rights to a new proprietary technology to produce pulp from alternative fiber that will have the same quality as conventional wood-based pulp at a competitive cost. The source of the fiber is agricultural by-products such as wheat straw which is often made into compost or incinerated.
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"Isolated experiments in using fly ash for forest roads have also been carried out, with positive results. But we felt we wanted to get more facts and really find out how production involving the use of fly ash in road-building could work. Which method is best, how should the fly ash be handled, what does it cost and what would the road quality be?"
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People
John Picklesimer has been named PHP Sales Services’ Interim President. With John’s leadership, the company will ensure that customers continue to receive the service and quality that is expected, while they hope for Tom Gallagher's speedy recovery.
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This week, Ken Winterhalter advised the Board that he would be stepping down from his position of CEO, effective immediately, and pursuing new career opportunities.
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TAPPI News
Claim one of the limited seats now for TAPPI’s Intro to Kraft Pulping and Bleaching Course!
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ND Paper is accepting applications for a Project Manager for its Greenville, South Carolina, USA location.
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Get your box plants ready!
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Engaging in sustainable business practices to keep forests and the environment strong is critical for the pulp and paper industry to stay competitive. In 2011, the American Forest & Paper Association (AF&PA) launched a sustainability initiative called Better Practices, Better Planet 2020, one of the most extensive sustainability goals for a U.S. manufacturing industry.
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