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International pulp price increases resulting in the domestic price of paper rose

 Recently, many foreign paper giant after another announced increases in pulp prices. Analysts said that the wood pulp net importer in China, the domestic paper companies dependence on foreign wood pulp, price increases or price increases will force domestic paper companies. However, the China Securities Journal reporter learned that, from the current supply and demand situation in perspective, the price conditions are not sufficient, or is just the kind of market behavior. For large enterprises, the general partners signed a long-term cooperation agreement, even if the price increase will not bring a greater impact in the short term. 
Lack of price increases the demand to support the Brazilian pulp company Fibria and Spanish pulp manufacturer the Ence recently announced, will improve the global price of bleached eucalyptus pulp, North American and European market prices increased to $ 850 / t and $ 800 / ton in January 2013, The Asian market, the price will be increased to 700 U.S. dollars / ton. Brazilian pulp and paper industry leading enterprises Suzano also announced price increases in the North American and European markets, the Chinese market price will raise to $ 30 to $ 700 / ton. Alpine Canada announced that starting from January 1, 2013, the North American market northern bleached hardwood pulp price increases of 30-785 U.S. dollars / ton, the the spruce pulp prices drift pin will raise prices of 30-900 U.S. dollars / ton.
In fact, this is not the suppliers get together for the first time to raise prices this year. The supplier was the end of July, a hike. The data released by the Council of pulp products, wood pulp stocks soared in July. Single month global pulp inventory number of days in July jumped four days to 38 days, significantly since 2002 to exceed an average of 32 days for the average power rapid increase of pulp prices fell. Large supplier price increases quite rapidly, but the hike is not in compliance with the supplier expects international pulp prices are still hovering low.
The analysts believe that the the suppliers again after another price increase or consider for their own purposes, I want to stimulate downstream demand. However, the point of view, the price increases from the current supply and demand situation is not qualified support. According to statistics, in the next two and a half years, the world will be 10.31 million tons of new capacity is put in, and the demand is difficult to more than 5 million tons, apparent excess supply.
China Paper Association, said in an interview with the China Securities Journal reporter, suppliers get together to raise prices of reason is not clear, Europe and the U.S. However, due to weak demand, price behavior does not demand support, it may only supply market behavior. He also said that with the 72 million tons of Russian Ilim of coniferous pulp production line and Brazil Eldorado 150 million tons of eucalyptus pulp production line put into operation, the new capacity has significantly increased the pressure. According to reports, the the Ilim coniferous pulp production line products primarily for the Chinese market. Due to the advantages of the low cost of raw materials and transportation distance, Ilim pulp prices are highly competitive, which restricts the export price of the market in North America, Northern Europe and South America to China wood pulp. As uplink or boost the price of paper Insiders wood pulp price increases will undoubtedly increase the production costs of China's paper-making enterprises, and the poor profitability of the industry, raw material price increases is undoubtedly worse. However, under the influence of raw materials rising, the future price of paper or upstream, particularly evident, especially for small businesses.
A household paper enterprises, said in an interview with the China Securities Journal reporter, the company imported wood pulp from Brazil, but has not received notice of price increases of the Brazilian suppliers. Sensitive to the company for the price of wood pulp, price increases are expected in the case of general goods, in order to reduce costs. The source also said that, as a large enterprise, due to the demand for larger, generally with suppliers to sign a long-term supply agreement, the price has little impact on the company in the short term.
China's paper-making enterprises dependent on imported wood pulp. Customs data show that in the first 11 months of this year, China imported pulp was 15.07 million tons, an increase of 15.3%. In 2009, the dependence on foreign wood pulp 73%, almost the same dependence on foreign iron ore and soybeans.
Zhao Wei, Secretary-General of the China Paper Association, said the paper industry is a relatively high degree of market-oriented industry, coupled with China's imports of relatively large channels, as long as efforts to increase the production in the country, the foreign dependency can be reduced.
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