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Travels with Larry Archive

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The Global market pulp rally will likely continue, considering the impact of the earthquake supply shock on Chile, according to Mark Wilde, senior analyst with Deutsche Bank (see report in Weekly Spotlight in this issue). Pulp prices have staged a remarkable rally in the last 10-11 months, Wilde says, with most grades rising more than $200/metric ton, and yet another round of price hikes is in the market for March. The 3.2 million metric tons of producer inventories at the end of December are down from a cyclical peak of 5.1 million metric tons in November 2008. At the same time, weather-related fiber issues in many parts of the Northern Hemisphere make it unlikely that other parts of the world can pick up the slack, Wilde explains.

 

EKA Chemicals Inc.