Tuesday, December 04, 2007

Uncoated Groundwood Prices still up

Uncoated Groundwood specialty grades are those grades that are produced with mechanical fiber and are of lighter quality than simple newsprint. The brightness is typically higher than 65 ISO; it is smoother than newsprint, heavier in weight and has some special characteristics such as higher bulk. This grade can end up being used for preprinted newspaper inserts, direct mail flyers, catalogues, magazines, Sunday newspaper magazines, paperback book paper, and telephone books.
The total North American capacity for producing these grades is at 6.7million tons. Although demand has been fairly flat the past few years, capacity has been taken out of the market and therefore with less supply pricing remains firm. The supercalender portion of the market enjoys excellent demand.
Top North American producers of Specialty Groundwod include
Mill Capacity (000) Market Share (Source RISI)
Abitibi/Bowater 2,755 39.7%
Catalyst 870 12.6%
Stora Enso 710 10.2%
Fraser/Katahdin 500 7.2%
Irving 420 6.1%
Kruger 285 4.1%
St Marys 220 3.2%
Manistique 120 1.7%
White Birch 95 1.4%
Norpac 75 1.1%

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