Surge in OIN, ONP and OCC Waste Paper, Kraft Paper prices go up

Surge in OIN, ONP and OCC waste paper, Kraft paper prices go up

Delhi| 25th August 2020 | The Pulp and Paper Times:       

The three months long nationwide lockdown has collapsed the spine of the waste paper collection system here in India. The night after Prime Minister Modi’s announcement of a complete lockdown in view of COVID-19 pandemic across the country, many Indians woke up to the fact that newspapers were not delivered on their doorsteps.

Non-printing of newspaper and readers’ fear to receive a copy of a newspaper from a vendor completely reduced the collection of old newspaper (ONP) in the houses. Even in unlock- period, newspaper supply is still at below expectation level. According to multiple industry sources, this move has hit the newspaper industry hard with advertisement revenues hitting rock bottom since the crisis started. The corporate sector has reduced print advertisements in newspapers pressurizing publishers to reduce the number of pages in newspaper.

“The price of unsold fresh newspaper (OIN) has been skyrocketed to Rs. 30 per kg in most of the parts of India, which is being just used for different products’ packaging like fruits. Normally the price of this kind of waste paper hovers around Rs. 13 to 14 per kg. From the last five months, the availability of newspapers is very low due to readers’ reluctance and disruption in numerous small newspaper publications,” said Mr. Naresh Singhal, President, All India Waste Paper Dealers Association (AIWPDA).

Mr. Singhal also pointed out the rally in ONP (Old Newspaper waste) prices, “paper mills making newsprint in north India are buying the ONP waste at Rs. 14 to 15.5 per kg which was at Rs. 11 per kg two months earlier.

Print publications are dependent on printers being able to print; distributors being able to drive copies around the country; and shops and stalls being open for people to buy or pick up the publication. A national lockdown obliterates every part of that chain.

The Price spike in imported waste paper and non-availability of domestic OCC make the waste price hiked by almost 30% in the last two months. “Waste paper price for recycled paper has now touched Rs. 13.5 per kg in Meerut and Muzaffarnagar belt, while in Morbi the price for OCC has reached upon Rs. 14.5 per kg. We expect a further increase of Rs. 1 to 2 per kg by the end of August,” Mr. Naresh informed.

Web Title: Surge in OIN ONP and OCC Waste Paper Kraft Paper prices go up