Editor's View Over Increasing Price of Imported Paper Raw Materials

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Read Editorial, Subject: Price Hike of Waste Paper, News Magazine: The Pulp and Paper Times.

It’s Time to Look for Alternate....

The sensibility in the price of imported waste paper showed how much our production is sensitive to the speculation in price hike? Paper mills were forced to shut their production in many region of India. The shutdown of production could be avoided if we see and implement the usage of alternate raw material for production like Agro Waste. Indian Paper mills import about 20 lakh tonnes of waste paper per annum. However, the supply of waste paper to India and China has been hit, with US paper mills using waste paper for re-cycling instead of virgin fibre.

Mills in China have raised prices by 7,000 per tonne in the last 2-3 months, while prices in the US have gone up by 4,000 a tonne and may further increase by 3,500 a tonne in the near future. Both countries can afford to buy their raw material by paying 35 per cent more. For Indian companies, the import cost has gone up by another 12 per cent as the rupee has depreciated from 61 to 68.50 against the dollar in the last 3-4 years. As per some expert, price hike in raw material in International market has been trendy since last 30 years. In every 3- 4 years, a price hike situation would emerge inevitably. We should not lose our production even for single day at any cost. It’s Time to think over alternate ways of sourcing raw material and looks at loopholes in production process.

Paper Mills could reduce their dependency by using Agro waste like Paddy and Baggase. Bindal Paper could be the perfect example in Agro waste based production to follow. We should make the contract with the farmers and ensure the timely and regular supply. Set up the Agro waste processing plant in collective manner so that plant operating cost could be minimized. Other than this, technology plays an important and crucial role in paper making at optimum conditions.

Adopt latest technology and timely up-gradation would lead to profitability. Process technology minimizes the expenditure and improves the quality. Every technology gives saving like ‘Pressure Reducing Turbine’ gives power cost saving, regular coating and grinding of the dryer and rolls give life to the equipment. Uses of best water technology minimizes the water cooling machinery’s expenditure unexpectedly, In other words, technology gives in-direct saving in long term.

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