Can we sell kraft paper at Rs 45 per kg now? We have lost our margins, says Rajeshwar Prasad Bansal, Maruti Papers

Can we sell kraft paper at Rs 45 per kg now? We have lost our margins, says Rajeshwar Prasad Bansal, Maruti Papers

We need to discuss technically sound options so that a person can understand the problems that we are facing and what we can do to improve this situation.

The Pulp and Paper Times:

Sharing his experience at IPPTA's Zonal Seminar in Muzaffarnagar, Mr. Rajeshwar Prasad Bansal, Chairman of Maruti Papers Ltd., said, "I am getting confused about whether to address you as ladies and gentlemen or family members. The situation has changed, paper mills are now more technically sound. They have achieved considerable reduction in water and energy consumption. it is a huge achievement."

Speaking about profit margin, he said, "Earlier, one would get some profit despite less technological advancement, but more development has reduced these margins. When we started the mill, we bought the waste paper at around ₹1500 per ton and sold finished paper at ₹4.5 per KG, which means it was three times the profit per KG of paper. Now waste paper is at ₹15 per kg, but one cannot sell finished paper at ₹45 per kg it is ₹25. And this is the difference." 

He added, "The paper industry faces new challenges, which does not benefit but damages it. In the NCR region, around 15 kilometers from our unit, is Saharanpur District, where there is no restriction on burning coal. However, there are restrictions imposed upon us. Do they need pollution?"

Speaking on air quality, he said, "Every day, we notice a rise in the air quality index (AQI), and the reading goes above 320 or 340. And there is also trouble breathing. It is due to stubble burning in UP and Punjab. You will notice all the senior companies."

He added, "There are two types of wind flows. One is the eastern winds, and the other is the western winds. And when you see a map of Delhi, you will notice that Delhi is in the southern part. And it is more in the South than even Punjab. Where are our winds going there? It is an illusion/rumor and is defaming us that we are spreading pollution, but the truth is the opposite. If our winds travel there, then the AQI should have been reduced in Delhi. But it is not happening. It shows that we are not the real culprits. But instead, they are teaching us how to save ourselves from pollution, and we should be discussing this point." 

He said, "I do not know about the white paper industry, but Kraft paper mills face much of the trouble. We should discuss how to deal with this problem, and what changes can be made technically to get the cost of production down."

Mr Bansal added, "Ultimately, we are not a charitable trust and should not worry about different charity works. We are here to run an industry. Charity and business are two separate things. If business does not run well, you can not do charity. So it is my humble request to everyone to come and discuss technically sound options so that even a layman could understand the problems that we are facing and what we can do to improve this situation."
 

Web Title: Can we sell kraft paper at Rs 45 per kg now We have lost our margins, says Rajeshwar Prasad Bansal, Maruti Papers