Pulp and Paper Market Analysis, Demand and Export Scenario by FPTA President

Pulp and Paper Market Analysis, Demand and Export Scenario by FPTA President
- Imported finished (Paper) goods are cheaper than domestic finished goods
- Coming 3-4 months does not show any positive sign of increase in demand
- South east Asian countries like Saudi Arabs etc. are coming up with their own production reasoning diminishing export for India to neighboring countries

The below Market views are written by Mr. Dalip Bindal, President- Federation of Paper Traders Associations of India (FPTA) for 2023-24. The views are personal 

The Pulp and Paper Times | April 2024

Demand Scenario:

Price is very subjective, when demand is a push factor and not a pull factor. Coming 3-4 months does not show any positive sign of increase in demand, reasons are likewise, demand for cleared to copier & writing printing paper will remain quiet due to central elections & summer vacations in schools & other institutions, Whereas demand of packaging paper& specialty paper seems floating down due to over production and weak exports.

Export Scenario:

Western countries are affected with recession and war like situations in few countries is giving a depress market with low demand. Sluggish demand brings higher competition which forces lower margins for survival. Overall exports is hampered. Out of many other reasons south east Asian countries like Saudi Arabs etc. are coming up with their own production reasoning diminishing export for India to neighboring countries.

Import of Paper:

War between Israel and Iran is likely to play huge role in price increase of various chemicals used in paper manufacturing. Pulp manipulation in international market increased the cost little higher than before. Hence imported finished goods are cheaper than domestic finished goods. Domestic paper manufactures are in a huge dilemma that  whether to run the plant or not.

Waste Paper:

Waste paper domestic supply is up and down but secretly managing its pace whereas international waste paper supply is on higher side.

Red Sea Crisis:

Issue of red sea crisis is already consumed in prices, habbits & estimated time of arrival so it is not a factor of discussion though, it has increased the cost of final product.
 

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