Uncoated Freesheet Market in USA

From time to time, we offer a BLOG on defining a market-
The Uncoated Woodfree paper market is divided into three major product groups – reprographic (Copy papers), printing and converting (offset, envelope, forms, and tablet) and value added (text, cover and technical). The largest segment is the reprographics – 41.5% followed by offset 24%, envelope 11% forms 9% carbonless 5% tablet 2% text and cover 2.5% and technical 2%.

In the USA the commodity grades – reprographic and printing / converting – are generally produced on large paper machines and the plant produces its own pulp. The smaller, older mills that produce the value added grades usually do not produce pulp (rather they buy it in the open market) and are located in the Northeast and upper Midwest.

The market, as a whole has decreased from its peak in 1999 of nearly 15million tons to current 2006 of 12.5million tons – or a decline of 15.5% or 2.3million tons. The decrease is primarily attributed to cannibalism from electronic information replacing paper. We forecast an additional decrease this year with International Paper shuttering equipment as well as others such as Domtar continuing to rationalize production.
Although USA is now witnessing additional imported papers (rose 24% to 525,000 last year – 4% of USA capacity) with the reduction of USA capacity – we feel pricing could begin to increase during 2007.
Paper.com sells all major mill’s uncoated papers – from copy papers to text and cover.