Pandemic and Ecological Pressures Keep Russia's Packaging Paper Demand Rising
Reports from Russian local media indicate that the pandemic, together with ecological pressures, has created more favorable conditions for the country's paper packaging sector and kept demand for packaging paper expanding.
Statistics from Bumprom, the Russian Papermakers Association, show that industrial paper production in Russia grew substantially in 2020. Packaging paper recorded the fastest expansion, up 20% year on year. Within that category, sack paper output rose 36%, and bleached paperboard for corrugated packaging increased 83%. Other paperboard output was up 15%, while tissues, toilet paper and similar products posted a 10% gain.
Alongside higher output, paper packaging prices in Russia's domestic market also moved up. The average price of packaging paper rose 30% in 2020, and since December 2020 market prices have been increasing by 5%-15% each month. This has prompted many domestic mills to adjust their operations. Volga paper mill, for instance, had focused mainly on newsprint, which accounted for 80% of its total output in 2020; it now plans to expand packaging paper capacity and lift the share of packaging paper to 60% to meet growing domestic demand in Russia. Analysts attribute the rise in Russian packaging paper demand mainly to e-commerce sales and the trend of paper replacing plastic.
Source: China Packaging Network (pack.cn); original article: http://news.pack.cn/show-378260.html
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