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Waste & Recycling February 22, 2017 12:30:32 PM

CEPI: Utilization of paper for recycling records small decline in 2016

Paul Ploumis
ScrapMonster Author
According to CEPI, the paper and board production by the US and Canada is estimated to decline marginally by 1.0% and 1.8% respectively.

CEPI: Utilization of paper for recycling records small decline in 2016

SEATTLE (Scrap Monster): According to preliminary statistics released by the Confederation of European Paper Industries (CEPI), the utilization of paper for recycling by CEPI members declined marginally in 2016. The 2016 utilization totaled 47.6 million tonnes, marginally down by 0.3% when compared with 2015. The tonnage of paper collected for recycling has been steadily declining over the years.

The paper and board production by CEPI member countries has declined marginally by 0.1% over the previous year in 2016. The production totaled around 91 million tonnes in 2016. The year witnessed no major mill or machine closures, except some disruptions caused by floods. The machine closures were compensated by upgrades at existing facilities and commissioning of new capacities. The year reported significant investment at Iggesund’s Workington mill. Also, Smurfit Kappa reported commissioning of a new baler machine at Snodland.

According to CEPI, the paper and board production by the US and Canada is estimated to decline marginally by 1.0% and 1.8% respectively. The biggest increase in production is likely to be reported by Russia (3.8%), followed by India and China (2.9% each). South Korean production is estimated to increase slightly by 0.5% over the previous year. The paper and board output is most likely to remain unchanged in Japan and Brazil. The world paper and board output is estimated to rise marginally by 0.8% over the previous year to total 410 million tonnes in 2016.

In continuation of the recent trend, the production of graphic grades is expected to drop further in 2016. The overall production of graphic grades has declined by 3.7% in 2016. Among them the output of newsprint grades, primarily used for newspaper printing, is expected to decline sharply by 6.4%. There has been a considerable decline in production of graphic papers used for other purposes such as printing of magazines and catalogs, direct mail, directories, etc. The output of coated mechanical paper and uncoated mechanical paper has declined by 7.1% and 1.9% respectively, CEPI noted. The share of graphic grades in total paper and board production declined from 38.8% in 2015 to 37.3% in 2016.

On the other hand, the production of packaging grades is estimated to have increased by 2.3% over the previous year. Within packaging grades, the production of case materials increased by 2.2%. A bigger increase in production of 2.8% was reported by carton board plus other packaging board. The production of wrapping grades was up by 1.2% in 2016. Also, the production of packaging grades accounted for just over half of the total paper and board production during the entire year.

Based on cumulative data for the initial three quarters of 2016, exports of paper and board are estimated to decline by 2.9% during the entire year. Other European countries continued to be the top export destination, accounting for nearly 37% of the total exports. Exports to Asian countries constituted 25% of exports. The export share of North America and Latin America stood at 12% and 8% respectively. Meantime, imports have increased by 6% in 2016. Other European countries were the primary import source, accounting for 44% share. The share of paper and board import by CEPI member countries from North America and Asia amounted to 30% and 11% respectively.

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