Over the Wire
TAPPI
Weekly Spotlight
Wausau Paper, Mosinee, Wis., USA, this past week approved plans to expand its towel and tissue production capabilities in response to a growing demand for "green" products. The project includes a new 220-in. Voith ATMOS technology paper machine capable of producing 75,000 tpy of premium towel and tissue products from 100% recycled fiber. The new machine will be located at the company's converting facility in Harrodsburg, Ky., with construction scheduled to begin this summer and startup expected in the first quarter of 2013.
Total costs associated with the project approximate $220 million and include building construction, the new paper machine, converting line enhancements, and project-related expenses. The project received incentive commitments of approximately $7 million from the Kentucky Economic Development Finance Authority. The company expects to fund the project primarily from future cash flow from operations and available credit from its established $300 million borrowing base. Once operational, employment at the Harrodsburg site is expected to increase by up to 76 full-time positions.
Commenting on the expansion, Thomas J. Howatt, president and CEO, said that "this investment will further extend our 'green' leadership position in the away-from-home towel and tissue market. The new machine will provide the capability to produce products at a quality level that is comparable to the best virgin-fiber products on the market today." He added that "our Tissue segment has been our best performing business over the last decade and this investment will serve to accelerate its growth and profitability."
Under its Bay West master brand, Wausau Paper was first to market a broad line of Green Seal-certified products. Since their introduction in 2003, Green Seal-certified products have grown to more than half of the company's total towel and tissue volume. Consistent with the company's strategy to increase the size of its Tissue business, this investment is the cornerstone of the Tissue segment's plan to double revenue and operating profit over the next five to seven years.
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Agrobiomass and forest chips are the most underused bioenergy sources available today, and there is potential for increasing their use by 50% from current levels, according to a new study on Biomass Fuel Markets in Europe conducted as part of the EUBIONET III project coordinated by VTT Technical Research Centre of Finland. The study, which ran from 2008 to 2011, generated more accurate information than ever before available on biomass reserves in the EU.
The EUBIONET III project involved estimating the biomass potential in 23 EU member states and Norway. The annual potential for biomaterial gained from forests, fields, and industry was eventually estimated at the equivalent of 157 million metric tons of oil.
"In this project, we focused on the technical and economic potential of biomass reserves and on solid biofuels. If we further assume that about half the waste generated in the EU is biodegradable, that would translate into the equivalent of about 37 million metric tons of oil, bringing the total available biomass up to some 200 million metric tons of oil," says Senior Research Scientist Eija Alakangas from VTT, who was in charge of the project.
Since the publication of the report, the countries involved have estimated in their national renewable energy action plans that about 250 million metric tons of biomass reserves would be required to achieve the combined goals set. It has not yet been estimated at the EU level what the volume required for sustainable development might be. Moreover, some countries import their biomass fuel from other EU Member States or from outside of the EU.
"Current use of bioenergy exploits less than half the bioenergy potential of the 24 EU member states studied. The greatest potential for increase is in forest chips and agrobiomass. Finland aims to use forest chips to produce energy equivalent to the yield of 13.5 million cubic meters of solid fuel, or 25 TWh (1 TWh = 1 billion kWh of energy / 1 million metric tons of oil (Mtoe) equals 11.63 TWh of energy)," says Alakangas.
In addition to exploring the biofuel potential of the EU and its sufficiency, the project studied sustainable development criteria for solid biofuels, generated information for use in standardization, and monitored biofuel price development since 1999. The project yielded information useful for new quality standards for solid biofuels, and a price index for international trade was developed together with businesses.
Also, wood pellet trade was evaluated in the project, using customs codes and by collecting price data on biomass fuels. FOEX Indexes publishes an industrial pellet index based on prices in the Baltic Sea region, and in the future this will be extended to include forest chips. The FOEX index is based on actual sales. Information has also been gathered in countries not covered by the price index.
Following the project, a new customs code will be introduced for wood pellets to monitor the pellet trade from 2012. Major exporters of wood pellets to the EU include the USA, Canada and Russia. Most of the imported wood pellets are blended with coal and used at large power plants.
Graphic summaries of data from the study are available online.
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The Pulp and Paper Manufacturers Association (PPMA), Appleton, Wis., USA, celebrated 75 years of providing human resources services to the pulp, paper, converting and allied industries at its recent 2011 Annual Meeting and Conference in Milwaukee, Wis. The conference program included speakers addressing the new health care reform law, an aging workforce, impending labor law changes, and minimizing workplace liability. Conference content was in keeping with PPMA's mission to help member companies improve business performance through human resource initiatives.
"We were happy to celebrate our 75th anniversary in the company of human resources professionals from around North America as we heard advice from industry experts on how to succeed in today's continually changing business climate," said Dick Kendall, executive director of PPMA. "Our member companies have been challenged in recent years by downsizing, outsourcing, merging, and combining services. With continued planning by our board of directors and staff, and by responding to member input, PPMA has and will continue to reinvent itself to best address the dynamic needs of the industries we serve."
Originally serving member companies from around the Great Lakes and Upper Midwest, PPMA expanded over the years to serve companies across the U.S. and Canada. There are currently close to 40 member companies from both union and non-union organizations. PPMA is directed by a volunteer board made up of nine members, including PPMA President John Wirch, (VP of Human Resources for Little Rapids Corp.).
"PPMA has a long history of providing industry-specific information that helps human resources professionals make better decisions regarding their jobs and their companies," said Wirch. "Through publications, surveys, and meetings, members gain access to the unique knowledge and networking opportunities that help their companies compete effectively in the industry."
More information about PPMA is available online.
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Market Roundup
U.S. Containerboard production rose compared with February 2011, with month-over-month average daily production up 0.8%, according to the AF&PA‘s (Washington, D.C., USA) March 2011 U. S. Containerboard Statistics Report released this past week. The containerboard operating rate for March 2011 was up 0.5 points over March 2010, to 94.1%. Additional key findings from the report include:
- Linerboard production increased over last year
- Corrugating medium production rose over March 2010.
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Total U.S. boxboard production increased by 2.2% compared with March 2010, and increased 11.1% from last month, according to AF&PA's March 2011 U.S. Boxboard Report released this week. Additional key findings include:
- Unbleached kraft folding production increased over the same month last year and last month
- Recycled folding production increased over last month
- Inventory of solid bleached kraft paperboard rose slightly in March.
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Total U.S. kraft paper shipments in March were 140,100 tons, an increase of 2.1% compared with March 2010, and up 12.9% compared with February 2011, according to the AF&PA's March 2011 Kraft Paper Sector Report released this week. Total inventory was 70,100 tons. Additional key findings from the report include:
- Total unbleached kraft shipments increased over the same month last year
- Total bleached kraft shipments fell compared with March 2010.
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F&W Forestry Services, Albany, Ga., USA, reports that exports of paper, pulp, and lumber to the Far East may help relieve depressed markets for U.S. timber growers resulting from the three-year housing slump. Marshall Thomas, president, notes that generally dry weather contributed to weak markets in a large segment of the country's commercial forests this past winter. Dry weather usually results in an unrestricted supply of trees for mills.
But the housing slump is the real culprit behind depressed timber markets, Thomas points out. "So far in 2011, there has been little change in the major housing indicators from 2010. Housing starts remain flat, although some prognosticators are predicting some growth this year but probably not enough to put upward pressure on (timber) stumpage prices."
The other major large-scale domestic market for trees—the pulp and paper industry—"seems steady," Thomas says. But overseas "variables," specifically in the Far East, "could have a positive impact on (U.S.) timber prices, both in the short and long term.
"There could be an increase in demand from Japan for wood products—both for reconstruction from the terrible damage caused by the earthquake and tsunami and, in the near term, to replace lost paper production at the significant number of pulp and paper mills in the impact zone," Thomas explains.
Thomas adds that the monumental task of rebuilding Japan from the catastrophic disaster will require lumber and plywood that "almost certainly would come from the West Coast of North America." Even before the Japanese disaster, Thomas says that lumber and wood exports to China from the U.S. and Canada were growing rapidly.
"Any surge in U.S. and Canadian lumber exports, even on the West Coast, could have a positive impact on timber prices in the East and Southeast," he said.
More information is available online.
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NBSK market pulp prices rose $30/metric ton to $1,020/metric ton in April, equaling last June's record levels, reports Mark Wilde, senior analyst with Deutsche Bank. The second consecutive $30/metric ton hike is driven by steady U.S. demand and balanced inventory levels, rising U.S. spot prices (+$110 - $120/metric ton in 2011), and the impending downtime season, Wilde says.
Pulp prices are rising in key offshore markets, Wilde notes. In Europe, NBSK is expected to rise to $1,010/metric ton. Chinese producers, he says, have implemented $920 - $930/metric ton April levels, +$30/metric ton m/m. "However, we are hearing some reports of brokers/traders trimming positions in China," he adds. In hardwood, while demand is mixed, producers implemented a $30 - $40/metric ton hike in April on the back of strength in softwood markets. U.S. BEK was up $30/metric ton to $910 - $930/metric ton. Higher BEK prices are resulting in some buyers substituting lower-priced U.S. NBHK (˜$75/metric ton lower) for BEK, according to Wilde.
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Domtar's recent announcement to close a 125,000 tpy uncoated free sheet (UFS) machine at Ashdown, Ark., USA, should tighten the market, according to Mark Wilde, senior analyst with Deutsche Bank. The move, he says, suggests a focus on maintaining supply/demand balance in a structurally declining market. Preliminary March UFS shipments were encouraging: +19.3% m/m and +4.0% y/y, Wilde reports, adding that a $40/ton April price hike on offset grades is reportedly gaining traction. Many within the industry expect a cut-size price attempt in May. March estimated offset prices were flat at $920 - $940/ton, +4.2% y/y, Wilde notes.
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March containerboard and box numbers were a bit better than expected, Wilde reports. These numbers should put price hike discussions back on the table, he adds, noting that a late spring/early summer attempt is plausible. Until prices rise, he points out, input costs will squeeze margins. "We expect margin compression in Q2 and - quite possibly - in Q3. Reliable trade sources are reporting an uptick in export prices, as much as $20/ton, in the past one to two weeks. Also, we have heard reports that at least one major producer is preparing to announce a price hike in the wake of March's FBA report," Wilde says.
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Softwood saw log prices have trended upwards in all major regions of North America over the past two years, according to the North American Wood Fiber Review ( NAWFR), Seattle, Wash., USA. The biggest increases have occurred in the U.S. Northwest, where the log export market has had a major impact on the supply-demand balance. Total log shipments to Asia from the U.S. west coast last year were the highest they have been in 14 years, and much of this increase was the result of China's seemingly never-ending need for wood raw-material.
The U.S. Southeast and U.S. South Central are the sub-regions where log prices have increased the least since 2009, NAWFR notes, adding that, in fact, prices in these regions even fell slightly late last year. In the 4Q/10, Douglas-fir log prices in the Northwest were up 19% from the same quarter in 2009. Hemlock saw log prices, which increasingly have been influenced by log exports to China and South Korea, have gone up more than 25% the past 12 months.
With the recent price increases, sawmills in the West now have higher wood raw material costs than sawmills in the South, which is opposite to the situation in 2009. Price levels in the Southern states are currently close to their nadir of 15 years.
Saw log prices in Canada have followed the same pattern as in the U.S., with prices in the Western provinces increasing more than in the Eastern provinces. In the 4Q/10, log prices in British Columbia had moved up to their highest levels in more than two years in U.S. dollar terms. Despite the increase, softwood lumber producers in the Interior of the province still have some of the lowest wood raw-material costs on the continent.
According to Wood Resources Quarterly, Seattle, Western Canada currently has the lowest saw log prices in the world. In Canadian dollar terms, prices have fluctuated less in 2010 than they have during the past few years, and Western and Eastern Canada were actually two of the few regions in the world that had lower log costs in the 4Q/10 in the local currency than they did in the 4Q/08.
More information is available online.
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Pulp & Paper
Aditya Birla Group, India, has acquired Domsjö Fabriker, a Swedish specialty pulp and bio-refinery company, through its global companies Thai Rayon Public Co. (Thailand) and Indo Bharat Rayon (Indonesia), for a sum of $340 million from a Swedish consortium. Specialty pulp produced by Domsjö is primarily used in the textile segment (VSF—viscose staple fiber and viscose filament yarn). Some 25% of the production is used in premium applications, such as binding agents for medical products, particularly pharmaceutical tablets and in casings (wraps) for the food industry.
In addition, the biorefinery allows the company to extract the full value from its operations by the production of ethanol and lignosulfate as by-products. Ethanol obtained from the bio-refinery is used in biofuel, paint, and printing sectors. Lignosulfate is used as an additive in concrete, ceramics, and dye pigments, among others. The production process is environmentally sensitive with low levels of emissions. The bleaching process for pulp is totally chlorine free (TCF) and is conducted through a unique closed loop bleaching process. Domsjö thus meets the highest environmental standards.
Kumar Mangalam Birla, chairman of the Aditya Birla Group, noted that "the acquisition of Domsjö Fabriker, a world-class company with the most environmentally-friendly technology, marks a significant milestone for our Pulp & Fibre business. Its cutting edge technology and production process coupled with a state-of-the-art biorefinery, add significant value to our Pulp & Fibre operations. Its high quality pulp will enable us to enhance the supply of top quality premium VSF to our customers. The Pulp & Fibre business is a core business of the Aditya Birla Group. Domsjö has a highly professional management team and a committed staff. I most warmly welcome them to the Aditya Birla Group."
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Catalyst Paper, Richmond, B.C., Canada, announced this week that its Snowflake, Ariz., USA, mill will curtail production by approximately 5,500 metric tons of recycled newsprint to adjust for limited availability of affordable, quality wastepaper. The move also reflects the company's ongoing commitment to balancing production with orders and to keeping inventory levels in check.
The downtime totals approximately six days over the next several weeks and will be used to carry out maintenance activities, including a three-day mill-wide shut, preventing the need for employee layoffs.
The Snowflake mill has an annual production capacity of 337,000 metric tons of recycled newsprint and uncoated specialty papers and is chain of custody certified to the Forest Stewardship Council standard. The operation supports recovery and domestic recycling of more than 480,000 metric tons of wastepaper annually and is the second largest private sector employer in northeast Arizona.
Catalyst Paper manufactures diverse specialty printing papers, newsprint, and pulp. It has four mills located in British Columbia, Canada, and Arizona, Catalyst has a combined annual production capacity of 1.9 million metric tons..
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Domtar's Kingsport, Tenn., USA, mill "has hit a safety performance mark unsurpassed in the history of Domtar Corp.—407 consecutive days without incurring an Occupational Safety and Health Administration (OSHA) recordable injury," Mill Manager Charlie Floyd reported this week. An OSHA Recordable is an injury more serious than a first aid which requires outside medical attention
Floyd said that employees of the Kingsport Mill know that they hold the key to safety and that they do their best every day to work safely and look out for each other.
The facility edged past the previous Domtar record of 406 days, held by the company's Plymouth, N.C. mill. "This is the second time in a four-year span that the Kingsport Mill has operated more than one year without a recordable injury," President and CEO John D. Williams noted.
The Kingsport Mill recorded the first full calendar year without an injury in its nearly 100 year history in 2008.
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Eldorado Celulose e Papel Ltda, Brazil, has awarded Pöyry's Industry Business Group, Finland, a supporting services contract for overall project and construction management for its 1.5 million metric tpy bleached eucalyptus market pulp mill to be built in Mato Grosso do Sul state, Brazil. The value of Pöyry's contract is EUR 8 million and the expected execution period is approximately 18 months.
Pöyry has been involved in the project since March 2010 when Eldorado awarded it a contract for pre-engineering and preparatory work for mill infrastructure. In January of this year, Pöyry was also awarded a basic and detail engineering contract for the pulp mill.
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Korsnäs, Sweden, reports that it is the first company in the forest industry to provide complete environmental declarations for a broad range of products according to the international EPD (Environmental Product Declaration) standard. The EPD system sets a standard for the methodology of measuring, compiling, and presenting the particulars of environmental performance.
An EPD, Korsnäs explains, is a document that contains a full record of the environmental impact of a product based on a life-cycle analysis in accordance with ISO 14044. Information in an EPD includes environmental impact data such as emissions into air and water, use of energy, and potential environmental gains. It allows customers to assess the environmental impact of Korsnäs products "from cradle to customer gate." It provides data that enable customers to account for the environmental footprint of their operations.
"Today any brand must relate to environmental issues in a clear way and deal with this matter in its brand communications," says Per Haglund, director of sales and marketing, Korsnäs Paperboard. "To be distinctive and strong, a brand must make a statement. The choice of a responsible packaging solution is a good start. The EPDs will be a great help for our customers (converters, brand owners and packaging designers) when conveying their environmental credentials to their customers in turn."
Environmental impact is different from one type of product to another. This is why the standard requires that an EPD be based on Product Category Rules (PCR). The PCR bring transparency and enable comparison of data in accordance with an internationally standardized system. The process of establishing PCR and compiling the EPDs was coordinated and supervised by IVL, part of the Swedish Environmental Management Council, according to Korsnäs.
Korsnäs has three production facilities in Sweden, at Gävle, Frövi, and Rockhammar, having a total production capacity of 1.1 million metric tpy of cartonboard and paper, with integrated pulp production. The company also produces biofuel pellets at two plants in Latvia.
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Microsoft Corp., Redmond, Wash., USA, this week announced that, in alliance with locally owned and operated Grays Harbor Paper of Hoquiam, Wash., it will switch to 100% post-consumer recycled printing paper in all of its Puget Sound facilities, including its Redmond headquarters. On April 22, Grays Harbor Paper will begin supplying Microsoft with a complete rollout of the product line to follow in the ensuing months.
The move will replace Microsoft's current printing stock, made with 30% recycled material, and the company anticipates the substitution will yield an annual savings of approximately 2,500 million BTUs in net energy, the equivalent of 750 million lb of carbon dioxide.
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Sappi Fine Paper North America (SFPNA), Boston, Mass., USA, this week released the third and latest installment of its online video series, Off Register. The newest episode, " Fanatny Rod," pokes fun at the less-than-truthful excuses printers often give clients when their jobs go awry. Off Register uses real-life experiences on press that everyone involved in the print process can relate to or find humor in.
As with all videos in the Off Register series, "Fanatny Rod" is based on an actual story from an industry printer. "Everyone can relate to these videos, whether a printer, designer, or sales person. The stories aren't only funny—they're true!" says Patti Groh, director, Marketing Communications, SFPNA. "The campaign has been a huge success with our target audience. We've clocked nearly 60,000 hits since our launch in December 2010."
Sappi's Off Register not only shares humorous stories about printing, it also invites the public to share in the fun. The series celebrates the quirks of the printing process, the personalities everyone in the process must contend with, and the desire to produce good work despite uncontrollable variables. And, at the end of each video, Sappi invites printers to share their own "war stories" for future episodes. Stories can also be submitted by email.
The next video release in the Off Register series, "Cruelty-Free Printing," features a designer who is spending a little too much time worrying about lunch rather than the problem with her print job. This episode is scheduled to launch in June.
More information about Off Register is available on the SFPNA web site.
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Containerboard/Packaging
In the just completed wave of shopper research on environmentally friendly packaging conducted by Perception Research Services (PRS), Ft. Lee, N.J., USA, fewer shoppers agreed that consumers should be responsible for recycling packaging than in 2009 (38% vs. 42%), with Midwest shoppers showing the least inclination (only 30%). And while more shoppers expect environmentally friendly packaging to cost more (36% vs. 15% in 2008), fewer report a willingness to pay for it (51% vs. 57% in 2008), and a majority (59%) say that environmentally friendly packaging should be at no additional cost to the consumer.
Ironically, while few indicate they would like to choose more environmentally friendly packaging (28%), nearly half (48%) think manufacturers should produce more of it; and fully one third (35%) think government should mandate stricter environmental standards for packaging. Their reliance on manufacturers' efforts may derive from an awareness of the steps that have been taken, as half of the shoppers polled have noticed companies' claims about environmentally friendly packaging. And of those, half noticed more of these claims in the past six months.
Fortunately for manufacturers, these shoppers feel their motives are primarily virtuous as over half say companies are making these efforts for reasons having to do with helping the environment (e.g., reduce waste, save resources, make the world a better place, etc.), while very few attribute these actions to self-serving interests, such as, selling more product or increasing profits. And few think companies overstate the environmental benefits of their packaging.
Shoppers' reported behavior patterns also suggest that they want someone else to do the work in this area, as nearly half say that seeing a "made from recycled materials" claim makes them more interested in buying the product, a significant increase from 2009 (48% vs. 39%). This more passive activity contrasts with the fact that very few (only 17%) say they check to see if a package is recyclable before buying a product. And, fully one-third report that they generally do not recycle packaging, consistent with the 2008 level.
"It's becoming clear that while consumers may voice concern for the environment, most appear unwilling – at the moment – to make any major sacrifices to make a difference. They'd rather rely on manufacturers to provide products and packaging that they can feel good about, without changing their behavior, giving up performance, or paying more," according to Jonathan Asher, SVP of PRS.
The three waves of this research were conducted in 2008, 2009, and 2010, across the U.S., among more than 1,000 primary household grocery shoppers aged 18-64 per wave.
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Graphic Packaging International, Marietta, Ga., USA, this week announced plans to close its beverage carton facility in Cincinnati, Ohio. The company will transition business and equipment from Cincinnati to its operations in West Monroe, La., and Perry, Ga. Closure of the Cincinnati facility, which will be completed on or about August 31, reflects the company's ongoing efforts to align its manufacturing footprint to the changing needs of its customers and to improve its cost structure and margins to better position it for future growth.
"While the closing of the Cincinnati facility was a difficult decision, it was a necessary step in our ongoing efforts to align our manufacturing footprint to the changing needs of the market," said President and CEO David Scheible. "This plan includes an expansion to the Perry site and will further capitalize on Perry and West Monroe's close proximity to the Macon and West Monroe mills, respectively."
The Cincinnati beverage carton facility will continue to operate and support customers while its business is transitioned to the Perry and West Monroe facilities over the next four months. The company has notified its Cincinnati employees and will provide the appropriate assistance to those affected.
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Women are 14% more likely than men to select environmentally-friendly packaging over non-"green," more-convenient alternatives, according to a recent study of 1,011 adults commissioned by the IP Solutions business of Thomson Reuters., New York, N.Y., USA. Men surveyed were more apt to select products packaged to provide greater convenience.
This finding is part of an intellectual property report released by Thomson Reuters, World IP Today: Convenience vs. Conscience – Food Packaging in the 21st Century, that explores the food packaging industry to identify its trends and drivers. The analysis assesses the state of food- and beverage-packaging innovation across a number of information sources, including patents, trademarks, scientific literature, and litigation data.
Key findings from the report include:
- Convenience vs. Conscience – a tie. In the great "convenience versus conscience debate," people are fairly evenly split between environmental conscience and consumer convenience when it comes to making food- and beverage-packaging decisions. The industry is headed in the direction of providing both convenient packaging and conscientious protection of the environment, satisfying both needs rather than making it an either/or decision.
- Green labeling "loophole." While patents mentioning biodegradability, recycling, and barrier films are increasing in frequency, a lack of standardization in what constitutes an environmentally-friendly package has resulted in ambiguity as to which packages really are "green." With organizations including the U.S. Federal Trade Commission, U.S. Sustainable Packaging Coalition, and the European Organization for Packaging and the Environment currently working on standards, this issue will likely receive more attention in coming months.
- Looking ahead – interactive packaging.: Beyond the "green" theme, other key areas of focus showing up in the Thomson Reuters analysis are innovations in tamper-evident packaging and interactive packages that use RFID technology to track food from source to destination.
The full report is available online.
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Stora Enso, Finland, reports that it is responding to growing demand and expectations in the packaging market by investing approximately EUR 90 million in its Skoghall Mill in Sweden. The company will build a new woodroom and woodyard at Skoghall Mill, with annual wood handling capacity of 1.9 million cubic meters. The project is scheduled to be completed by the end of the fourth quarter of 2012.
"We are continuously rethinking to find efficient new solutions so we can better meet our customers' needs. Skoghall Mill is one of our key assets in the liquid packaging board business in Europe, and this is an important step to improve the mill's competitiveness. In addition, the investment will support the wood and chip handling to all of our Swedish mills," says Mats Nordlander, EVP, Packaging Business Area.
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Yuen Foong Yu Completes Rebuild of Containerboard Machine in Taiwan The Yuen Foong Yu (YFY) Industrial Paper Co., Taipei,Taiwan, has successfully started up the rebuilt No. 1 paper machine at its Hsin Wu mill in Taiwan. The rebuild of several key sections of the machine was aimed at improving overall efficiency and product quality. The rebuild, handled by PMT Italia, Italy, included a new PMT M4 headbox with a dilution system for the back ply and the rebuild of two existing headboxes, redesign and reconstruction of the wire section into a three-ply fourdrinier configuration, and upgrading of the dewatering system. A new film size press was installed along with a new after dryer section and upgrade of the calender and reel.
Machine runnability was improved in critical areas of the dryer section also by means of a new tail threading through the film size press to the reel. A new MCS for the entire paper machine completed the scope of PMT's supply.
The YFY industrial paper division produces kraft paper and corrugated containerboard grades. The division has two mills in Taiwan. The Hsin-wu mill in the northern part of Taiwan is mainly responsible for the production of kraft board and white board used to manufacture corrugated cases and colored cases. The Cheng-kung mill in the middle part of Taiwan produces corrugating medium. The Yang-zhou mill is located in China.
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Nonwovens
First Quality Nonwovens, Great Neck, N,.Y., USA, reports that it has concluded its search for a location in China to build a new nonwoven manufacturing facility, this week selecting Wuxi, China. Plans for the Wuxi facility call for two state-of-the-art nonwoven machines. The company is anticipating having the first machine operational in the second half of 2012. Details and timing for the second machine will be announced at a later date.
The first line will be a multi-beam Reifenhauser machine incorporating the latest technology, enabling First Quality to provide premium nonwoven material to the domestic hygiene and medical markets.
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New Products
Billerud Fresh Services, a subsidiary of Billerud AB. Sweden, has launched SoliQ, a service concept focusing on optimizing the Global Produce Supply Chain, from growers to retailers. SoliQ has been developed to substantially reduce losses linked to under-performing packaging during transport, to allow greater efficiency and lower environmental impact.
SoliQ is an optimized corrugated packaging concept, developed by the Billerud Box Lab, and the direct result of Billerud's work with the value chain for fruit and vegetables. But, as Billerud points out, this is just one part of the SoliQ concept. Sensors are also used to follow produce all the way from the fruit exporter to the retailer in Europe, to secure the quality and make sure that any problems are detected immediately. Billerud Fresh Services also works with partners specialized in controlled and modified atmospheres to increase the shelf life of the produce.
"The European market for fruit and vegetables is valued at EUR 100 billion. About 10% of all fresh produce never reaches the consumer. A significant amount of this unnecessary and costly waste is due to inferior packaging. With the SoliQ concept, we are taking giant steps to solve this problem," says Tobias Bergarp, managing director of Billerud Fresh Services.
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Published Pricing
RockTenn, Norcross, Ga., USA, this week announced that it will implement a $50 per ton price increase on all grades of uncoated recycled paperboard, beginning with shipments on May 16. RockTenn is a producer of paperboard, containerboard, and consumer and corrugated packaging. It generates annual net sales of approximately $3.0 billion and operates more than 90 locations with some 10,000 employees in the U.S., Canada, Mexico, Chile, and Argentina.
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Sonoco Alcore S.a.r.l., Brussels, Belgium, will increase the price of coreboard and uncoated recycled board in Europe by EUR 40 (GBP 35), effective May 9. This price increase is an addition to the earlier price increase announced in February.
"Recovered fiber, starch, chemicals, and energy costs have continued to increase. The current inflationary environment may mean further increases in the summer if the pricing of our base raw materials continues to rise at the current pace," said Adam Wood, VP, Sonoco-Alcore Europe. "Our tube and core business is also being negatively impacted, and we will likely enter a new phase of price increases, there, too, in May."
Sonoco Alcore S.a.r.l. is a wholly owned by Sonoco, Hartsville, S.C., USA, and operates six paper mills, 32 tube and core factories, and a recycling division in Europe.
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People
David B. Fischer, president of Greif Inc., Delaware, Ohio, USA, will add the title of CEO at the start of the company's 2012 fiscal year, November 1. Current Chairman and CEO Michael J. Gasser will continue in his role as executive chairman.
Fischer was named president and COO of Greif in October 2007. He joined Greif as SVP and divisional president, Industrial Packaging & Services – Americas in November 2004, and later assumed responsibility for additional IP&S operations in Asia, Australia, and Africa.
Gasser has been chairman and CEO since June 1994. He joined Greif in 1979 as internal auditor at the company's headquarters. He became controller in 1981, a member of the finance committee in 1987, VP of finance in 1988, and a member of the board of directors in 1991.
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International Paper, Memphis, Tenn., USA, has named Glenn Landau VP of Investor Relations, effective May 1. Landau will report to Tim Nicholls, CFO and SVP, and will be based in the company's Memphis headquarters.
Landau began his career with IP in 1991, holding positions of increasing responsibility within the company's U.S. Container and European Container businesses before being named director, strategic planning and fiber supply in 2004, with responsibility for coordinating the strategic direction of the Forest Resources business and providing leadership for the real estate and minerals groups. He was appointed to his current position as VP and GM-Containerboard in 2007, where he was instrumental in the company's acquisition, integration, and optimization of the former Weyerhaeuser packaging and recycling businesses as well as in the business' successful navigation of the 2009-2010 economic recession.
Landau replaces Tom Cleves, who has been named VP and GM, Containerboard & Recycling.
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Michelman, Cincinnati, Ohio, USA, reports that it has hired Mike Bracken as North America territory manager. Bracken will focus on the needs of key Michelman customers, including industry leaders in the areas of paper, converting, paper coating, and printing.
Most recently, Bracken was managing the prepress and coatings operation at Smurfit-Stone Container Corp., Chicago, Ill., where his responsibilities included the coordination of customer trials, and the management of all aspects of offline coating, graphic design, and ink systems. Bracken has 25 years of experience in the paper and graphics arts coatings business.
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NewPage Corp., Miamisburg, Ohio, USA, reports that Curtis H. Short, currently controller and chief accounting officer, has been elected SVP and CFO on an interim basis, effective May 11, replacing David J. Prystash, who resigned from NewPage to pursue other opportunities. Short will serve in the interim role until a permanent replacement is named.
Short joined NewPage in April 2009 and is responsible for managing the corporate accounting and reporting process and ensuring that all financial statements and filings are accurate, complete, and timely. In addition, he ensures that corporate-wide accounting policies and appropriate controls are in place in accordance with generally accepted accounting principles and works with operations and other finance functions to improve accounting and reporting.
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The Pulp and Paper Manufacturers Association (PPMA), Appleton, Wis., USA, has reelected John Wirch president at its recent 2011 Annual Meeting. Wirch is VP, Human Resources for Little Rapids Corp., Green Bay, Wis. PPMA has provided human resource services to the pulp, paper, converting, and allied industries since 1936. Member companies are from locations in Minnesota east to the Atlantic Coast.
The PPMA Board of Directors also appointed Bob Pagel VP (labor relations manager, Appleton, Appleton, Wis.) and reappointed Ron Zimmerman treasurer (human resources manager, Packaging Corp. of America, Tomahawk, Wis.).
PPMA Executive Director Dick Kendall noted that "our PPMA board brings experience and an in-depth knowledge of industry as well as an awareness of our association's valued services to our membership. Its collective insight will continue to help position the association as we serve our members and deal with industry challenges and changes."
Mike Carpiaux, SPHR (Georgia Pacific, Green Bay, Wis.), was elected to a second term on the PPMA board. Also elected were Joe Thibaudeau (Procter & Gamble, Green Bay, Wis.), Tom Fullove (Green Bay Packaging, Green Bay, Wis.), Jim McDonnell (Wausau Paper, Harrodsburg, Ky.), and Keith Lolley (Caraustar, Austell, Ga.). Karen Hall (Mohawk Fine Papers, Cohoes, N.Y.) continues on the PPMA board.
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SCA, Stockholm, Sweden, has appointed Mats Berencreutz COO of its global hygiene business, i.e. tissue and personal care products. At the same time, Magnus Groth has been appointed new president of SCA's tissue operations in Europe.
Berencreutz (top right) is currently president of SCA's tissue operations in Europe and a member of the company's Corporate Senior Management Team. He has extensive experience in senior positions in SCA's hygiene business. Groth (bottom right) is currently president of Studsvik AB. He has extensive experience in senior positions in such companies as Boston Consulting Group and Vattenfall.
"By implementing this change, we will strengthen the Group's resources and create conditions to further coordinate and develop SCA's hygiene business, with the goal of improving profitability and increasing the growth," says SCA CEO Jan Johansson.
Berencreutz and Groth will both be members of SCA's Corporate Senior Management Team.
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Sonoco, Hartsville, S.C., USA, has elected Barry L. Saunders VP and CFO, effective May 1. Saunders, who currently serves as the company's VP, corporate controller, and chief accounting officer, will replace Charles J. Hupfer, SVP, who has served as CFO since May 2002. Hupfer will be retiring in May, capping a 35-year finance career with the company.
Saunders joined Sonoco in 1989 after working as an audit manager with Ernst & Young. He worked in leadership positions in the company's Treasury department for seven years before becoming director of corporate reporting and accounting. He then moved to Brussels, Belgium, for four years as director of finance for the company's European operations before returning as staff VP and global controller of the company's Industrial businesses. He was promoted to staff VP and corporate controller in 2003 and has been responsible for corporate accounting, financial reporting, and all global business unit finance. He was elected VP, corporate controller, and chief accounting officer in 2008.
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TAPPI News
The editorial board of TAPPI JOURNAL has selected "Calendering effects on coating pore structure and ink setting behavior" by Peter Resch, Wolfgang Bauer, and Ulrich Hirn as TAPPI JOURNAL's Best Research Paper for 2010. The paper appeared in the January 2010 issue and was one of eight nominated for the award. Editorial board members assessed the research based on innovation, creativity, scientific merit, and clear and concise presentation of ideas. The paper and its authors will be honored at the Awards Gala Dinner on May 3 during PaperCon 2011, held May 1-4 at the Northern Kentucky Convention Center near Cincinnati, Ohio (www.papercon.org).
Primary author Resch, who is quality manager at Sappi Austria in Gratkorn, used research presented in the paper as basis for his Ph.D., and publication in TAPPI JOURNAL counted towards partial fulfillment of his doctoral requirements at Graz University. Bauer is a professor and Hirn is a research assistant with Graz University of Technology's Institute for Paper, Pulp and Fibre Technology in Graz, Austria.
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Registrations to attend PaperCon 2011 (www.papercon.org), the largest pulp and paper event of its kind in the world, are ahead of the record setting pace of 2010. As of early this week, over 1000 people had registered, including 13 paper company site registrations. The event is taking place May 1-4 in Covington, Kentucky. To see who is attending, follow this link: www.tappi.org/content/events/11papercon/attending.pdf. Interest has been strong in the RPTA (Recycled Paperboard Technical Association) Production-Technical Seminar and the OpEx Maintenance Seminar.
On line registration will be open through April 27th. You can register through this link: http://www.papercon.org/registration.asp. Hotel space is going fast, for best results, attendees should contact the Northern Kentucky Convention and Visitors Bureau who can recommend the most reasonable accommdations near the convention center. The NKCVB can be reached at 1.877.465.9282.
PaperCon features a program with over 150 speakers in more than 50 sessions, workshops and roundtables; as well as a sold out trade fair with nearly 100 exhibitors. Other highlights include the Sustainability Forum and Tissue Forum, which, like the RPTA P-T eminare are open to all registered attendees. Learn more at www.papercon.org.
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TAPPI is pleased to announce that thanks to a partnership with Pira International, all TAPPI members are entitled to a 20% discount for Pira's Biorefining and Fibre Engineering conferences. Book online & use promo code: TAPPIM20
Pira International is again holding the very successful 4th Annual Biorefining for the Pulp & Paper Industry conference. This year, it will be co-located and run parallel with Pira's 3rd biennial Fibre Engineering conference. This dual event will take place on May 24-26, 2011 at the Barcelo Sants, Barcelona, Spain.
Whether booking one event or the other all delegates get access to both of these conferences, making the meeting a leading knowledge & networking platform of the year!
Learn more on www.biorefining-conference.com
Learn more on www.fibre-engineering.com
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Southeastern TAPPI is pleased to announce a joint webinar seminar with the American Society of Mechanical Engineers (ASME) Management Division and PMI Atlanta Webinar. The event will be held Friday, April 29, 2011, 1:00 to 5:00 PM EDT, Marriott Atlanta Perimeter Center, 246 Perimeter Center Pkwy, Atlanta, GA, 30346.
- Four PDHs or PDUs (depending on your flavor) toward continuing education requirements
- For improving your project management acumen
- Four presentations on different project management topics
- Learn from a team of project managers with over seventy years of project management success in IT, manufacturing, power generation, pulp and paper, and more
To register today, go to the event website.
More information is available online.
Please contact Dwight Husband at DwightHusband@setappi.org with any questions.
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The 2011 Northeast PIMA Annual Scholarship Tournament is set for Friday, June 10, 2011. It features:
- Shot gun start; 8:00 AM Sharp
- Entry Fee: $100.00 (golf, cart, BBQ, prizes, range, etc.)
- Registration deadline: When Full
- Event Location: Fox Ridge Golf Club, 427 Harmons Corner Road, Auburn, ME 04210
All proceeds from this tournament will go to the Northeast PIMA Scholarship Fund. This tournament supports a great cause. Try to register very soon as last year we filled up. On behalf of Northeast PIMA and its affiliates, your continued support is appreciated to the utmost. Note: Cancellations cannot be accepted after June 5th
For more information please go to:
http://www.tappi.org/Groups/Local-Sections/MH/Announcements/PIMA-Annual-Scholarship-Tournament-2011.aspx
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The 2011 Empire State TAPPI/PIMA Spring Golf Outing to raise scholarship funds will be held Thursday, May 19, 2011. The event features:
- 11:00 AM start with a four-man scramble format. The limit is 72 players, so register early.
- Event Location: Queensbury Country Club, Exit 20 from Northway, East on Rte 149
- Reservations must be made by May 13 by calling QCC @ 518-793-3711
Includes: hot dogs and beverages at the turn, open bar from 4:30 PM to 6 PM, steak dinner, golf awards and prizes after dinner. Dinner tickets may be purchased in advance or at door. Cash or check made out to Empire State TAPPI/PIMA, or use credit card at registration. No refunds after May 14.
Help support this year's event by sponsoring a hole! A $100 sponsorship provides a prominently displayed sign on a tee letting everyone know you are a TAPPI/PIMA "booster." All proceeds will go towards scholarships. Need exact company name by May 6. Sponsorships are greatly appreciated! The deadline for submitting sponsorship form is May 6, 2011. Please make checks payable to Empire State TAPPI/PIMA or use credit card. Send in advance or pay @ outing.
For more information please go to: http://www.tappi.org/Groups/Local-Sections/EM/Newsletters/April2011NewsletterEM.aspx
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Presenting a chemist's perspective on the papermaking process, The Chemistry of Modern Papermaking is an extensive collection of data that combines the organic chemistry of paper with its potential applications. Within each chapter, paper chemicals are organized based on their chemical structure.
After an introduction and brief history, the book explores the papermaking process, retention aids, temporary wet strength resins, wet strength resins, dry strength resins, internal sizing agents, creping adhesives and softeners, and chemicals for paper surface treatment. Included are over 3000 references to facilitate further study. It's scheduled for a summer 2011 release.
Pre-order your copy now!
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In just over a month, the world's largest and most premier event for the pulp and paper industry, SPCI 2011, opens in Stockholm, Sweden. The event is held at Stockholm International Fairs (Stockholmsmässan) on May 17-19. Companies from around the world will exhibit the very latest industry technology and services in the largest exhibition hall at Stockholmsmässan. Visit www.spcievent.com to pre-register your visit free of charge.
The event features a new concept for SPCI which brings the conference program down to the exhibition floor. Three activity squares will be a part of the exhibition and offer a full conference programme with key note speakers, shorter presentations with a technical orientation as well as entertainment. The entire event is free to all visitors.
For more information regarding the event, conference program, list of exhibitors, etc., please visit www.spcievent.com
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TAPPI is offering its first week-long course on the biorefinery, May 16-20, 2011 in Norcross, GA, involving leading biorefinery experts from across North America. With a course format designed to facilitate exchange between faculty and participants, it is sure to provide important value for your company.
Six key factors that companies considering a biorefinery implementation must consider will be addressed including;
1. Which biorefinery products (wood pellets, biofuels, or biochemicals...) will provide sustainably good margins over the long term?
2. Which emerging biorefinery processes are the most promising for making these products?
3. What is their efficiency and operating costs today and what will they be in 5 years from now after the process technologies have matured?
4. How do we best make-use of our existing mill infrastructure when implementing the biorefinery?
5. Can we implement the biorefinery, and at the same time lower the unit costs of our wood, pulp and paper products?
6. What might be the role of government policy relative to key issues such as stumpage fees, biorefinery capital cost reduction, and other incentives such as greenhouse gas reduction policy?
How You Can Benefit From Attending This Course
This course will seek to provide the knowledge and tools for forest industry leaders, technology providers and consultants to develop biorefinery strategies and better understand emerging biorefinery technologies and their design/implementation in a business strategy. More than 20 experts will cover both strategy-setting and design issues related to transformation to the biorefinery.
Course Instructor
This course will be led by Paul Stuart, Consultant and Professor, Ecole Polytechnique. Paul has a Ph.D. in Chemical Engineering from McGill University. He is Co-Founder and Principal Consultant of EnVertis Inc.
Learn more about this course and register to attend at the TAPPI website.
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The 2011 TAPPI International Conference on Nanotechnology for Renewable Materials is scheduled for June 6-8, 2011 at the Sheraton Crystal City in Arlington, Virginia USA. The comprehensive Technical Program includes over 60 papers and five keynote presentations.
The event's Poster Session will feature findings from the leading researchers from around the world as well as a Student Poster Competition! Abstracts that focus on new and novel uses are highly encouraged. Analysis of challenges and trends in emerging markets for renewable nanomaterials are sought to provide a foundation for new research and industrial activities. Abstracts for the Student Poster Competition must be submitted by April 4. Prizes and certificates will be awarded to the first and second place winner.
Learn more about the event.
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