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Travels with Larry Archive
Thursday, November 11, 2010
members edition
Weekly Spotlight
New models provide paper producers with greater opportunities to measure how a piece of paper is perceived in real lighting environments
Learn More...
 
Market Roundup
In China, air quality issues have slowed manufacturing to a virtual standstill in the Southern City of Guangzhou in Guangdong Province where the 2010 Asian Games are taking place November 12 thru 17
Learn More...
 
The global consumer packaging market is worth around $400 billion, according to a newly released report
Learn More...
 
Market pulp producers are attempting to maintain flat prices in November after September's global pulp data came in better-than-expected
Learn More...
 
September newsprint data suggests that exports are playing an important role in keeping supply/demand in balance
Learn More...
 
Containerboard list prices remained flat in October
Learn More...
 
Pulp & Paper
Ahlstrom, Finland, and Longkou Yulong Paper, China, have agreed to establish a new manufacturing facility in the Zhuyouguan Industrial Park in Longkou, northeastern China, for the production of medical papers
Learn More...
 
Appleton, Appleton, Wis., USA, the only producer of BPA-free thermal receipt paper in the U.S., announced this week that it has added easy-to-see red fibers to its paper, creating "peace of mind" for retailers and consumers in time for the holiday shopping season
Learn More...
 
Corner Brook Pulp and Paper (CBPPL), Corner Brook, Newfoundland and Labrador, is launching a public information and feedback process as part of its registration for a provincial environmental assessment to evaluate the potential of using tire derived fuel (TDF) at the mill
Learn More...
 
Fraser Papers Inc., Toronto, Ont., Canada, announced this week that its subsidiary Fraser N.H. LLC has reached an agreement to sell substantially all of its assets to MM Consulting and Contracting Co
Learn More...
 
Fujian HengLi Paper Co., Nanan City, Fujian Province, China, will install a complete new tissue production line, to be supplied by Metso, Finland
Learn More...
 
Ganzhou Hwagain Paper Products, China, has ordered from Andritz, Graz, Austria, two PrimeLine high-speed tissue machines, each with a design speed of 2,100 m/min and a width of 5.6 m
Learn More...
 
PT Graha Cemerlang Paper Utama (Grace Paper), a member of Kompas Gramedia, Indonesia, will install a new Intelli-Tissue 2100 machine at its mill in Cikampek, Indonesia
Learn More...
 
Myllykoski Paper, Myllykoski Finland, this week reported that it has made a decision on curtailment of SC-production
Learn More...
 
Great Lakes Utilities (GLU) and Consolidated Water Power Co., a subsidiary of NewPage Corp., Miamisburg, Ohio, USA, this past week signed an asset sale agreement to sell five CWPCo hydroelectric projects located along the Wisconsin River in DuBay, Stevens Point, Whiting, Biron, and Wisconsin Rapids, Wis., to GLU
Learn More...
 
Rottneros AB, Sweden, reports that the three-week shutdown for maintenance work and to implement investments at its Vallvik Mill in Sweden has now been completed and production at the mill has been resumed
Learn More...
 
Containerboard/Packaging
​Billerud, Sweden, has initiated a long-term collaboration with Berghs School of Communication in Stockholm, Sweden, both to contribute knowledge about packaging development based on renewable materials, as well as "to be inspired by outstanding students who will probably influence the packaging of the future."
Learn More...
 
PT. Pelita Cengkareng Paper & Co., Indonesia, is relocating a containerboard machine to its Subang mill in Indonesia
Learn More...
 
South African grocery retailer, Pick-n-Pay, and Sappi, Johannesburg, South Africa, have joined forces to launch an eco-friendly, paper-based alternative to plastic shopping bags and spearheaded "a new direction in food packaging."
Learn More...
 
Sonoco, Hartsville, S.C., USA, reports that its packaging designers and engineers and material scientists are using the company's sustainable packaging design software to help customers reduce their packaging environmental footprint by substituting or eliminating materials, down-gauging structures, and simplifying the package to improve its recyclability
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Tetra Pak China reports that it will set up a second product line at its Hohhot converting plant in China
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New Products
Voith Paper, Germany, reports that "extremely stable and robust carbon nanotubes (CNT)" have been used for the first time in the manufacture of a forming fabric and successfully put to work in the company's pilot paper machine
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Published Pricing
DuPont Titanium Technologies, Wilmington, Del., USA, has announced a net price increase of $100 per metric ton, or as permitted by contract, for all of its Ti-Pure titanium dioxide grades sold in Latin America
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Graphic Packaging International (GPI), Marietta, Ga., USA, a subsidiary of Graphic Packaging Holding Co., has announced a price increase on all grades of its solid unbleached sulfate (SUS) paperboard in the U.S.
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Imerys Pigments for Paper North America, Atlanta, Ga., USA, has announced price increases for kaolin and calcium carbonate, effective January 1
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Sonoco, Hartsville, S.C., USA, will increase prices for all uncoated recycled paperboard grades in the U.S. and Canada by $30 per ton
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Energy
The Board of Xynergo AS, Norway, co-owned by Norske Skog and several other Norwegian forest owners, reports that it will cease operations within two-weeks
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People
Stora Enso, Finland, has appointed Terhi Koipijärvi, head of its newly established Global Responsibility function, effective immediately
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Sappi Limited, Johannesburg, South Africa, this week appointed Alex Thiel CEO of Sappi Southern Africa, effective December 1
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Travels with Larry
Whoever said "service is everything" probably had a company like EagleBurgmann in mind. The company has successfully marketed seal technology around the globe for the past 126 years.
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TAPPI News
Share knowledge and gain visibility at the industry's largest event in North America.
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Staying in touch with business colleagues continues to evolve at dizzying speeds. To provide members of the TAPPI community with a way to communicate on the go, TAPPI has created a foundation of social media tools to help you.
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Active member Richard "Dick" Target started his involvement with TAPPI as a speaker at the annual Conference in Ontario in 1975.
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On October 19, 2010, TAPPI's David Bell met with the faculty and students of the University of Minnesota Bioproducts and Biosystems Engineering (BBE) program.
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The 2011 Student Summit will take place January 15-17 in Kingsport, Tenn. It will draw students from around the country to focus on "New Directions" and promising developments in the pulp and paper industry.
Learn More...
 
The Technologically Advanced Workforce initiative (TAW) was created to help improve profitability related to human performance in the pulp, paper and allied industries. This new advisory board has been formed to address general guidelines for the purpose, mission and strategic direction of the TAW initiative and NPT2.
Learn More...
 
"The only thing that stands between a person and what they want in life ..."
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Metso Paper
Weekly Spotlight
The most bleached paper is not always perceived as the whitest. New models provide paper producers with greater opportunities to measure how a piece of paper is perceived in real lighting environments, according to new research conducted by Innventia's Ludovic Coppel Gustafsson in Sweden. This, in turn, opens opportunities for optimized use of brighteners and more competitive products Gustafsson defended his licentiate dissertation "Whiteness and Fluorescence in Paper—Perception and Optical Modeling"  this week at Mid Sweden University in Sundsvall.

Gustafsson's thesis is about modeling and predicting the perceived whiteness of plain paper from the paper composition, including fluorescent whitening agents. This includes psycho-physical modeling of perceived whiteness from measurable light reflectance properties, and physical modeling of light scattering and fluorescence from the paper composition.

Existing models are first tested and improvements are suggested and evaluated. The standardized and widely used CIE whiteness equation is first tested on commercial office papers with visual evaluations by different panels of observers, and improved models are validated. Simultaneous contrast effects, known to affect the appearance of colored surfaces depending on the surrounding color, are shown to significantly affect the perceived whiteness. A color appearance model, including simultaneous contrast effects (CIECAM02-m2), earlier tested on colored surfaces, is successfully applied to perceived whiteness. A recently proposed extension of the Kubelka-Munk light scattering model including fluorescence for turbid media of finite thickness is successfully tested for the first time on real papers.

It is shown in Gustafsson's thesis that the linear CIE whiteness equation fails to predict the perceived whiteness of highly white papers with distinct bluish tint. This equation is applicable only in a defined region of the color space, a condition that is shown to be not fulfilled by many commercial office papers, although they appear white to most observers. The proposed non-linear whiteness equations give to these papers a whiteness value that correlates with their perceived whiteness, while application of the CIE whiteness equation outside its region of validity overestimates perceived whiteness.

It is also shown that the quantum efficiency of two different fluorescent whitening agents (FWA) in plain paper is rather constant with FWA type, FWA concentration, filler content, and fiber type. Thus, the fluorescence efficiency is essentially dependent only on the ability of the FWA to absorb light in its absorption band. Increased FWA concentration leads accordingly to increased whiteness. However, since FWA absorbs light in the violet-blue region of the electromagnetic spectrum, the reflectance factor decreases in that region with increasing FWA amount. This violet-blue absorption tends to give a greener shade to the paper and explains most of the observed greening and whiteness saturation at larger FWA concentrations. A red-ward shift of the quantum efficiency is observed with increasing FWA concentration, but this is shown to have a negligible effect on the whiteness value.

The results, according to Gustafsson (shown in the photo above at work in the HPI laboratory at Innventia), are directly applicable to industrial applications for better instrumental measurement of whiteness and thereby optimizing the use of FWA with the goal to improve the perceived whiteness. In addition, a modular Monte Carlo simulation tool, Open PaperOpt, is developed to allow future spatial- and angle-resolved particle level light scattering simulation.

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Market Roundup
In China, air quality issues have slowed manufacturing to a virtual standstill in the Southern City of Guangzhou in Guangdong Province where the 2010 Asian Games are taking place November 12 thru 17, reports Brook Edwards, editor of The Brown Sheet, a RecycleGuy Inc., Tipton, Ind., USA, publication.

This slowdown has been ongoing for the past month as officials try not to repeat what happened in 2008 at the Beijing Olympics—"Bad Air". These games virtually affect all of the import business of raw fiber because Guangzhou is the leading city of China's economic development reform that started back in 1978. The city prides itself on having built a business community of thousands of large, medium, and small sized enterprises that offer more job opportunity and make the city a heavily populated area.

The shutdown of manufacturing means less packaging needed, so nationally the paper mills slow their pace for the next 30 days. "This now will start to affect U.S. West Coast prices as the intermediate high of $220 has been recorded for now per our sources in Long Beach," Edwards notes. He adds that "this undoubtedly will affect the domestic buyers when they start getting a few more calls from generators wanting to move tons now, so the closing of the gap that took place for the past couple of weeks might start to widen on the West Coast in the next few days as mill prices are posted to the public."

The Southeast U.S. might just be a market by itself, according to Edwards, who adds that "to stay on top of what is happening there, I believe it would be necessary to live there." The market continues to use all tons available plus a good supply of pulp. Rumors are out weekly about the possibility of mills taking down time, so their tons might be available. "As I am writing this, the rumor of the day is that IP is releasing tons to cool the market, but that is far from being confirmed. In the Midwest from Illinois East, one group of buyers is experiencing the lack of shipping containers where they are needed, but the domestic pricing still rose during the last half of October, so that does not seem to be affecting the marketing of the lower grades"

The office papers are trading on a generation/supply, Edwards explains, adding that their market is high enough that both buyers and sellers are not quibbling over $5 to $15 movement either way. The sales of No. 6 news is virtually off the books since the mills digest that in with mixed paper at a high rate, so it is likely to be removed from existence, he points out.

"All in all, as we start November and the official Holiday Season, and we now know who will be going to Washington, the market is apparently in good shape, slightly favoring the generation side for now," Edwards says.

More information is available online.

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The global consumer packaging market is worth around $400 billion, according to a newly released report by Reportlinker, New York, N.Y., USA, titled The Packaging Materials Future Outlook: Key Trends in New Materials, Lightweighting, and Emerging Applications. The market has been relatively resilient in the face of economic ups and downs, but the current recession has taken its toll – 2009 saw a downturn in market value, Reportlinker notes.

This report pinpoints the reasons why, highlights consumer and industry trends, and casts an informed and speculative eye on the future. There is no doubt that consumer goods and consumer packaging are now facts of modern life, but the market is evolving and it is only prudent to understand the drivers of change and to take this understanding into planning for the future, the report observes.

The inexorable rise of plastic packaging has been the key market narrative, a rise driven by cost, convenience, and the entirely natural desire to do ever more with ever less. Plastic, however, is made from petrochemicals and raw materials are becoming increasingly costly. More significant still, plastic has relatively poor environmental credentials and is profoundly disliked by consumers, particularly in the developed West. Nevertheless, the plastics sector continues to receive the lion's share of R&D into new technology, although bioplastics and nano-enhanced "super packaging" are both some way from being commercially viable.

Paper-based packaging is still the largest sector and has very strong environmental credentials. Improving paper-s barrier properties is a crucial step in increasing its viability as a packaging material.

Glass has an enviable reputation as a premium material and as a packaging medium out of which food and drink taste better. Lightweighting is helping make glass easier to handle and more cost-effective in production and distribution, according to the Reportlinker report.

The rise of the aluminum beverage can has helped sustain the metal packaging sector. In other areas;,metal is being developed through higher-quality graphics, new printing techniques, and innovation in convenient closures.

The report assesses the relative weights of all these trends and sets the packaging market in its context – social, economic, environmental, and cultural. It examines this complex and dynamic market organically, from the viewpoints of suppliers and end-users and looks in detail at regional drivers, as developing markets increasingly shape the future.

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Market pulp producers are attempting to maintain flat prices in November after September's global pulp data came in better-than-expected, reports Mark Wilde, senior analyst with Deutsche Bank. Canfor Pulp has announced flat November NBSK prices in the U.S. ($970/metric ton) and Asia (China = $830/metric ton, and a $20/metric ton decline in Europe ($960/metric ton). Suzano has announced flat BEK prices in all of the three major regions—N.A., Europe, and China, Wilde adds. In September, shipments rose 14.4% m/m and 2.9% y/y, mostly due to higher than expected shipments to China. "We caution that almost half of this sequential increase was due to delayed shipments from August. Inventories fell two days m/m to 32 days. We're a bit skeptical about the Chinese pick-up (based in part on what we saw on a visit to China in mid-October). To date, prices have fallen less than we feared in July and a continued slide in the U.S. dollar is raising the ‘floor' level for pulp," Wilde says.

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September newsprint data suggests that exports are playing an important role in keeping supply/demand in balance, Wilde notes. YTD thru September, domestic shipments fell 5.5% y/y while overall shipments were +9.1% y/y, driven by a 60.9% jump in exports to markets such as Latin America, China, and India. The continued slide in the U.S dollar has made exports increasingly attractive, Wilde says. In October, newsprint list prices on the West Coast rose $10/metric ton to $620/metric ton in October. With Eastern list prices flat, the East/West gap has now narrowed to $20/metric ton. West coast producers have now implemented $30/metric ton of the $40/metric ton price increase announced. Recent results by Gannett, New York Times, and McClatchy suggest that print advertising demand remains weak, down mid-single digits y/y (after a weak 3Q09), according to Wilde. Back To Top
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Containerboard list prices remained flat in October, according to Wilde. Domestic box shipments showed surprising strength in September, +4.6% y/y, he notes. "Although inventories rose for the fourth straight month, levels remain relatively low and we were encouraged by the strong shipment figures. Export volumes appear to be offsetting some of the easing in domestic demand. One cautionary note: we talked with several brokers at last week's International Containerboard Conference and heard consistent reports of export pricing to the Middle East coming under severe pressure. Prices are reportedly down ˜$80 - $100/ton in recent weeks. On the cost side, domestic OCC continues to rise," Wilde reports. Back To Top
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Chesapeake Energy Corporation
Pulp & Paper
Ahlstrom, Finland, and Longkou Yulong Paper, China, have agreed to establish a new manufacturing facility in the Zhuyouguan Industrial Park in Longkou, northeastern China, for the production of medical papers, used for example in sterilization wraps, and masking tape substrates for the building industry in Asia. Ahlstrom will have a 60% share in the joint venture and Longkou Yulong Paper will have a 40% share.

The total estimated investment amounts to EUR 21.9 million, of which Ahlstrom will invest EUR 13.1 million. Startup of the new plant is planned for the summer of 2012.

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Appleton, Appleton, Wis., USA, the only producer of BPA-free thermal receipt paper in the U.S., announced this week that it has added easy-to-see red fibers to its paper, creating "peace of mind" for retailers and consumers in time for the holiday shopping season. Until now, consumers have had no means to distinguish whether the cash register, credit card, or ATM receipts they receive contain the controversial chemical bisphenol A (BPA), a substance that has been linked to potential health risks.

Appleton designed its "red fiber" BPA-free paper to help consumers and retail workers quickly identify the kind of thermal receipt paper they are handling. The red fibers will be in about 75% of the thermal receipt paper that Appleton ships by the end of November. Appleton expects to have the red fibers in all of its thermal receipt paper before the end of first quarter 2011.

Appleton, the nation's largest manufacturer of thermal paper, dropped BPA from its thermal paper formulation in 2006 out of growing concerns about the safety of the chemical. Since that time, concerns over BPA have grown. In January 2010, the U.S. Food and Drug Administration expressed concern about the potential adverse health effects of BPA in infants and children, especially for applications with direct contact to food. BPA bans are in place in Japan, Canada, and a growing number of U.S. states, and Congress is considering a federal ban on BPA in all food and beverage containers.

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Corner Brook Pulp and Paper (CBPPL), Corner Brook, Newfoundland and Labrador, is launching a public information and feedback process as part of its registration for a provincial environmental assessment to evaluate the potential of using tire derived fuel (TDF) at the mill. Using TDF as a supplemental fuel would help the mill cut back on fossil fuels and reduce its energy costs, while offering an environmentally safe solution to dispose of the province's used tire stockpile, the company notes.

If the environmental assessment is approved, CBPPL will test TDF by adding it to the boiler fuel mix at the steam plant in 1% increments, up to a maximum of 5% of the total. Tests would be conducted at regular intervals to ensure stack emissions remain within provincial standards.

"Our foremost concern is maintaining emissions within the environmental regulations established by government to protect public health. At this stage, we are undergoing an environmental assessment in the hope we can move forward to test the possible ways TDF can be used at the mill," explained Dwayne White, continuous improvement and technical manager, CBPPL. "The project will not move forward if we encounter any risks or problems that cannot be addressed."

CBPPL has been reviewing supplemental fuel sources for several years and TDF stands out as the most readily-useable and efficient option, it says. It is currently used in 123 facilities in more than 30 U.S. states and is approved as a supplemental fuel source in Canadian provinces of British Columbia, Saskatchewan, Manitoba, and Quebec.

CBPPL has worked with the Multi Materials Stewardship Board (MMSB) as the agency in charge of used tires in the province to assess options moving forward. The MMSB has indicated it would support this initiative provided it meets environmental standards, that the parties are able to reach an acceptable commercial arrangement, and subject to any other legislative requirements.

Since 2005, CBPPL has invested more than $5 million in boiler upgrades to improve combustion efficiency and use supplemental fuels such as TDF. "The mill is equipped with state-of-the-art technology that should enable us to use TDF in a safe and environmentally responsible manner," explains White. "If the results of our testing fall within the government guidelines, TDF could help us save on energy costs and reduce our reliance on fossil fuels."

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Fraser Papers Inc., Toronto, Ont., Canada, announced this week that its subsidiary Fraser N.H. LLC has reached an agreement to sell substantially all of its assets to MM Consulting and Contracting Co. Financial terms of the transaction were not disclosed.

Until it closed indefinitely on October 13, the paper mill in Gorham, N.H., USA, operated three paper machines and employed approximately 240 people. During 2009, the Gorham mill produced 37,000 tons of paper towel products and 80,000 tons of uncoated freesheet papers. The transaction is expected to close in early December and is subject to approval of the Ontario Superior Court of Justice and the U.S. Bankruptcy Court for the District of Delaware.

Fraser Papers remains under creditor protection pursuant to the provisions of the Companies' Creditors Arrangement Act (CCAA), with its stay of proceedings having been extended by the court to February 28.

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Fujian HengLi Paper Co., Nanan City, Fujian Province, China, will install a complete new tissue production line, to be supplied by Metso, Finland. The line will be started up in the third quarter of 2011. The value of the order will not be disclosed. However, according to Metso, the market value of a tissue production line of this type is in the range of EUR 15-20 million, depending on the scope of the delivery and the production output.

Metso's delivery will be made up of a complete production line with stock preparation equipment and a tissue machine, including a multi-layer headbox, a yankee cylinder, a hood, a dust management system, and a reel. The delivery also features Metso's pressing technology. The production line will be optimized to enhance final product quality and save energy. The delivery will also include an extensive automation package (machine, process and integrated drive controls, as well as a quality control system).

Fujian HengLi Paper Co. is part of the HengLi Group, a Chinese producer of hygiene products with a nationwide sales and distribution network. The Group, which has grown steadily for several years, has nine branch companies in different provinces in China and 12 provincial agencies.

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Ganzhou Hwagain Paper Products, China, has ordered from Andritz, Graz, Austria, two PrimeLine high-speed tissue machines, each with a design speed of 2,100 m/min and a width of 5.6 m. Startup of the machines is scheduled for 2012 and 2013.

The scope of supply includes:

  • Complete stock preparation plant for softwood, hardwood, and bamboo pulp
  • Two-layer headbox with dilution control (PrimeFlow)
  • PrimePress XT shoe press
  • PrimeDry Yankee
  • Wet-dust removal system (PrimeDustEx W)
  • Advanced reel system (PrimeReel Advanced)
  • Machine control system from Andritz Automation.
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PT Graha Cemerlang Paper Utama (Grace Paper), a member of Kompas Gramedia, Indonesia, will install a new Intelli-Tissue 2100 machine at its mill in Cikampek, Indonesia, some 80 km from Jakarta. The mill's second unit to be supplied by PMPoland S.A, the 3,650 mm crescent former Intelli-Tissue 2100 machine (mirror version of the mill's first PMPoland unit) has a maximum capacity of 140 metric tpd and a maximum operating speed of 2,000 m/min.

Although basically identical to the first PMPoland machine installed in 2005, the new machine will have a higher maximum operating speed and thus approximately a 5% higher capacity. It will be able to produce tissue in a basis weight range of 12 - 42 gsm for conversion into toilet rolls, facial tissue, and towels from 100% virgin pulp, both hardwood and softwood.

The scope of supply covers stock approach, the entire tissue machine (Intelli-Jet V headbox, Intelli-Former Crescent Former, Intelli-Press, Intelli-Reel, and 15-ft YD with high efficiency gas hood), including auxiliary systems (such as lubrication system, steam & condensate, and vacuum systems, dust, and mist removal systems). The equipment supply and startup are scheduled to be completed by the end of 2011.

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Myllykoski Paper, Myllykoski Finland, this week reported that it has made a decision on curtailment of SC-production. The mill's PM 6 will take production downtime beginning at the end of this month and continuing through the reminder of this year, and possibly into January. Part of the mill's personnel will be laid off.

Approximately 80 persons are working on PM 6 directly in production. PM 6 produces 145,000 metric tpy of uncoated publication paper. Production on the mill's No. 4 and No. paper machine will continue as usual.

Myllykoski Paper produces uncoated SC papers and coated MWC papers for rotogravure and offset printing of magazines, catalogues, advertising insert, and brochures. Of Myllykoski Paper's more than 500 000 metric tpy of production, some 90% is exported. The main markets are Europe, but some paper is also exported to the U.S., the Far East, and Africa. In 2009 net sales were EUR 259 million.

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Great Lakes Utilities (GLU) and Consolidated Water Power Co., a subsidiary of NewPage Corp., Miamisburg, Ohio, USA, this past week signed an asset sale agreement to sell five CWPCo hydroelectric projects located along the Wisconsin River in DuBay, Stevens Point, Whiting, Biron, and Wisconsin Rapids, Wis., to GLU. The five hydroelectric projects have a combined installed capacity of 35.2 MW and the agreed upon price is $70 million.

The proposed acquisition will enable GLU to generate low cost, renewable power and help meet the needs of its members' renewable portfolio standards. While GLU assessed different options for generating renewable power, including wind and biomass projects, the acquisition of CWPCo's hydroelectric projects provides the best option for participating members.

The assets included in the proposed acquisition currently provide power to four central Wisconsin NewPage mills. However, the decision to sell these assets is expected to have little impact on these operations, as less than 10% of the mills' combined required electricity demand is currently supplied by the CWPCo hydroelectric projects.

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Rottneros AB, Sweden, reports that the three-week shutdown for maintenance work and to implement investments at its Vallvik Mill in Sweden has now been completed and production at the mill has been resumed. The two investments involved replacing the remaining old part of the evaporation plant and also substantially improving air regulation in the recovery boiler. Total cost for the projects amounted to around SEK 130 million.

"We have now eliminated production bottlenecks, thereby increasing the capacity of the mill from 200,000 to 220,000 metric tpy," said Robert Jensen, managing director at the Vallvik Mill. The investments will also result in reduced emissions.

"It is particularly gratifying," continued Jensen, "that all work during the shutdown, which employed almost 600 people, went according to plan and that costs were within budget. We will now prove that we can supply what we have promised and look forward to the next stage of our development at the Vallvik factory."

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Containerboard/Packaging
​Billerud, Sweden, has initiated a long-term collaboration with Berghs School of Communication in Stockholm, Sweden, both to contribute knowledge about packaging development based on renewable materials, as well as "to be inspired by outstanding students who will probably influence the packaging of the future."

Some 50 students in graphic design, production, and project management recently participated in the first Sustainable Packaging Innovation & Communication Event 2010 (SPICE:10). The challenge was to develop a brand new packaging concept for LEAF, one of Europe's top confectionery and chewing gum manufacturers. Within the framework of the assignment, students named, packaged, and marketed a new type of chewing gum to a defined young, urban, trend-conscious target group. Delivery included both commercials and prototypes.

"Getting some of Europe's best students in design and communication to work closely with packaging as a marketing weapon is extremely interesting. Since they themselves are the target of many of the products, participation will be even more exciting," says Jon Haag, CEO of Nine Total Packaging Partner.

The winners behind the package Chewho was awarded the SPICE Scholarship, consisting of a weekend trip to one of Europe's most exciting design cities. Jury members included representatives from Billerud, LEAF, and Berghs.

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PT. Pelita Cengkareng Paper & Co., Indonesia, is relocating a containerboard machine to its Subang mill in Indonesia. Startup of the relocated machine is scheduled for the last quarter of 2011. The value of the order will not be disclosed. However, according to Metso, Finland, which is handling the relocation, the typical market value of this type of project ranges from EUR 5 to 10 million, depending on the scope of services.

A Tampella-manufactured (currently Metso technology) kraftliner machine will be reconditioned and modified to manufacture testliner and corrugating medium grades. Metso's delivery will include a broad scope of services including dismantling and packing supervision, engineering, installation supervision, and startup support of the machine.

Metso will also modernize the dryer section with a new hood and dryer fabric cleaners. A complete automation upgrade package with machine and process controls, quality measurements, and drive controls for the entire production line is also included in the delivery.

Established in 1974, PT. Pelita Cengkareng Paper produces kraftliner, corrugating medium, duplex board, chipboard, and wrapping paper. Its current production capacity is 190,000 metric tpy. Through expansion in a new site at Subang, the annual capacity will increase to 540,000 metric tons.

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South African grocery retailer, Pick-n-Pay, and Sappi, Johannesburg, South Africa, have joined forces to launch an eco-friendly, paper-based alternative to plastic shopping bags and spearheaded "a new direction in food packaging." Pick-n-Pay launched the paper grocery bags in September to online customers for their deliveries, and introduced them at their new flagship store in Hurlingham, Gauteng, in late October.

The new store, known as Pick-n-Pay on Nicol, will offer not only paper grocery bags, but also a variety of paper-based packaging throughout the store. All bakery products, for instance, will be packaged in paper bags, as will all fresh produce. The delicatessen will also make use of a range of paper-based packaging made from Sappi's Resilio range of papers.

The new packaging, which has been custom-developed to meet Pick-n-Pay's stringent quality standards, also represents the retailer's commitment to sustainability. Even the new paper grocery bags have been carefully engineered to ensure that the switch to more eco-friendly options does not compromise on convenience. The new bags, which are also being tested at other pilot sites, offer shoppers a fully-recyclable and fully-biodegradable option. In addition, they hold up to 10 kg in weight, and have reinforced handles and a square bottom to ensure excellent carrying capacity and convenience.

"Paper has become accepted as a responsible packaging solution all over the world," says Silvana Dimitrov, manager Retail and Industrial at Sappi Paper and Paper Packaging. "And South African consumers are putting pressure on retailers to offer more sustainable packaging choices too. That's why a great deal of the research and development done at the Sappi Technology Centre, situated at the Innovation Hub in Tshwane, is dedicated to finding ways of making paper the packaging material of the future."

The paper for the new shopping bags is produced at the Sappi Tugela Mill in KwaZulu Natal, South Africa. The bags are fully recyclable and the fiber can be re-used up to six times when blended with other new and recycled fibers. They are also fully biodegradable, and will not release any toxic materials into the soil or water during the composting process.

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Sonoco, Hartsville, S.C., USA, reports that its packaging designers and engineers and material scientists are using the company's sustainable packaging design software to help customers reduce their packaging environmental footprint by substituting or eliminating materials, down-gauging structures, and simplifying the package to improve its recyclability. Sonoco is also working with customers to reduce and ultimately eliminate landfill waste at their manufacturing facilities.

"We are working to balance the growing demand from our customers, consumers, and retailers for ‘greener' packaging with requirements for convenience, performance, and price," said Jeff Schuetz, staff VP, Global Technology, Consumer Packaging. "Retailers and consumer product companies are increasingly integrating sustainability into their business strategies and looking for Sonoco to help make those efforts successful."

Sonoco's True Blue line of sustainable packaging solutions and recycling services provides customers with packages that offer a clear environmental advantage over the package they were designed to replace through the use of more sustainable materials or source reduction or because they require less energy, water and/or raw materials to produce or result in fewer carbon emissions.

Among its environmental footprint reducing efforts, Sonoco helped Kraft Foods convert its Maxwell House, Nabob, and Yuban brands of coffee from metal cans to more environmentally friendly rigid paperboard containers without sacrificing abuse, resistance, or shelf life. Less costly and more environmentally responsible than metal, the new cans are made from paperboard that contains more than 50% recycled materials and has received chain-of-custody certification from the Rainforest Alliance's SmartWood program. The move to Sonoco's composite can bodies also reduced both brands' environmental footprint through a material, energy inputs, and greenhouse gas emissions reduction.

Sonoco is also converting the world's leading infant formulas from metal cans to composite cans that average 50% recycled content by weight and provide the same performance as traditional metal cans.

One of Sonoco's new protective packaging designs for Hewlett-Packard (HP) LaserJet printers reduced the volume of foam required by more than half, cut the pack's corrugated weight by 69%, and decreased overall packaging volume by 52%. Most of the pack's components are made from recycled paperboard, so it's easier to recycle than the previous protective packaging. And, although it's lighter, less expensive, and more sustainable than the previous package, it provides the same level of product protection.

Sonoco is also helping customers reduce and ultimately eliminate landfill waste through its Sustainability Solutions (S3) waste-reduction consulting service. By identifying recycling alternatives for materials being sent to landfills and developing a more comprehensive recycling program at Unilever's Lipton Tea plant in Suffolk, Va., Sonoco helped the largest tea processing plant in the U.S. become a zero landfill facility in 2009.

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Tetra Pak China reports that it will set up a second product line at its Hohhot converting plant in China. With an investment of approximately EUR 53 million (RMB 500 million), this new world-class production line will contribute an additional production capacity of 10 billion cartons per year. Hudson Lee, president of Tetra Pak China, stated that the vigorous Chinese market is one of Tetra Pak's most important strategic markets.

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New Products
Voith Paper, Germany, reports that "extremely stable and robust carbon nanotubes (CNT)" have been used for the first time in the manufacture of a forming fabric and successfully put to work in the company's pilot paper machine.

According to Voith, many areas, such as the aerospace industry, already benefit from the extraordinary material characteristics of carbon, which offers very good stability and can withstand high mechanical stresses. Therefore, it notes, the machine clothing industry has worked for some time to integrate CNT into forming fabrics, to reduce strain and increase wear resistance.

When used on the pilot machine, the monofilament thread developed in the Voith Paper Materials Research Center proved to be extremely stable and robust. The company is thus continuing to work intensively on bringing CNT for forming fabrics onto the market. The forming fabric is currently also the world's largest CNT product to be used in an industrial production application.

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Published Pricing
DuPont Titanium Technologies, Wilmington, Del., USA, has announced a net price increase of $100 per metric ton, or as permitted by contract, for all of its Ti-Pure titanium dioxide grades sold in Latin America.

DuPont Titanium Technologies is the world's largest manufacturer of titanium dioxide. The company operates plants at DeLisle, Miss., New Johnsonville, Tenn., and Edge Moor, Del., in the U.S., and in Altamira, Mexico; and Kuan Yin, Taiwan, all of which use the chloride manufacturing process. The company also operates a mine in Starke, Fla., USA.

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Graphic Packaging International (GPI), Marietta, Ga., USA, a subsidiary of Graphic Packaging Holding Co., has announced a price increase on all grades of its solid unbleached sulfate (SUS) paperboard in the U.S., effective with shipments on or after December 1. In line with this increase, the price of all GPI SUS Paperboard in Europe will also increase by pounds Sterling 60 per metric ton in the U.K. and EUR 60 per ton in the rest of Europe

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Imerys Pigments for Paper North America, Atlanta, Ga., USA, has announced price increases for kaolin and calcium carbonate, effective January 1, subject to any provisions in individual customer contracts. The prices of kaolin produced in the USA and Brazil, including calcined kaolin products, will increase by 5% to 7%. The prices of ground calcium carbonate (GCC) will increase by 5%. The natural gas trigger price for the kaolin energy surcharge program will continue to be $5.00 per MMBtu for all non-contract customers.

Cost increases in logistics, mining, chemicals, fuel, and power are key factors in this decision. Despite Imerys' continual improvement programs and cost reductions to mitigate these effects, the price increases are necessary to achieve a sustainable pigment business.

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Sonoco, Hartsville, S.C., USA, will increase prices for all uncoated recycled paperboard grades in the U.S. and Canada by $30 per ton, effective with shipments beginning November 29. In addition, the company announced that it will increase prices on all paperboard tubes and cores in the U.S. and Canada by 5%, also effective with shipments beginning November 29.

"Prices for old corrugated containers in the Southeast have increased by one-third in the past three months, which is unprecedented during what is normally the highest material generation time of the year," said Harris DeLoach, Sonoco chairman, president, and CEO. "Strong domestic and export demand is causing an imbalance in the supply of recovered paper, which is our primary raw material. It is essential that we begin recovering these higher input costs."

The November 29 price increase for the company's uncoated recycled paperboard grades is in addition to a $35 per ton increase which went into effect on October 11.

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Energy
The Board of Xynergo AS, Norway, co-owned by Norske Skog and several other Norwegian forest owners, reports that it will cease operations within two-weeks. The company notes that, despite increased political support for developing second-generation biofuels from woody biomass, it has not been possible to find new owners with capital to finance the next phase of development.

"Xynergo is in need of substantial risk capital. Despite a government subsidy program earmarked for second-generation biofuels, which was adopted this fall, it has not been possible to find investors willing to contribute with the necessary risk capital at this point," said Gaute H. Andreassen, chairman of Xynergo's board of directors.

Earlier this year, Norske Skog and co-owners of Xynergo raised new capital to secure operations of the company while Norske Skog and Xynergo tried to find new owners for the biofuel initiative. Norske Skog also made it clear earlier this year that the Group needs to prioritize debt and cost reduction, and would not be able to invest additional capital in Xynergo. Norske Skog and the other owners (Viken Skog, Allskog, Mjøsen Skog, and Statskog) have agreed that there is no basis for continued operations of Xynergo.

The knowledge gained in Xynergo will be leveraged by Norske Skog and the other owners, which hope to use it in relation to other bioenergy projects in Norway and abroad.

Xynergo, established in 2008 with the objective of establishing production of renewable biodiesel and bio-jetfuel based on low quality woody biomass, reportedly needs an estimated NOK 150 million in new capital over the next three years, and another NOK 150 million to the final investment decision for full-scale production facilities. The final investment decision could be made in 2014 at the earliest, due to continued technological development and the need for thorough and comprehensive planning efforts. The company has evaluated different technologies for biofuels production, and has contributed with funding to various research projects in collaboration with Norwegian academic institutions. Xynergo will withdraw all submitted applications for public funding.

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People
Stora Enso, Finland, has appointed Terhi Koipijärvi, head of its newly established Global Responsibility function, effective immediately. Koipijärv has most recently been SVP, Environmental Affairs and Corporate Responsibility at Metsäliitto Group.

Stora Enso's new Global Responsibility function will be a path-finding initiative to take traditional sustainability thinking to the next level by recognizing global stakeholder engagement as a separate responsibility equal and complementary to traditional sustainability.

"We want to take the next step in finding new approaches to corporate social responsibility and understanding of our stakeholders. Having a strong sustainability platform, as Stora Enso manifestly has, is a very good starting point, but in today's world that is not enough. We must put a lot more emphasis on dialogue with all our stakeholders around the world—we need to increase our understanding of the societies we work with and the effects we have on the people living in those societies," says Jouko Karvinen, CEO of Stora Enso.

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Sappi Limited, Johannesburg, South Africa, this week appointed Alex Thiel CEO of Sappi Southern Africa, effective December 1. Thiel, a South African, has been with the Sappi Group for 21 years. He is currently the Group head of procurement, a member of the Sappi Limited Executive Committee, and the executive charged with leading the integration of the M-Real business acquired in January 2009 into Sappi Fine Paper Europe.

Thiel joined Sappi in December 1989 as the executive assistant to the executive chairman in Johannesburg. In April 1993, as part of Sappi's expansion into Europe, he moved to Brussels, Belgium, as administration manager. With the creation of Sappi Fine Paper Europe (SFPE), he was appointed in February 1998 as manager of marketing intelligence. In January 2003 he became the director of logistics for SFPE. He was appointed Group head of procurement in January 2008 and added the responsibilities as integration executive on the M-Real transaction from July 2008. He holds a BSc, Mechanical Engineering, and an MBA from WITS University in Johannesburg.

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Travels with Larry

Whoever said "service is everything" probably had a company like EagleBurgmann in mind. The company has successfully marketed seal technology around the globe for the past 126 years. Its mechanical seals are designed for extremely demanding applications in pumps, compressors and agitators in a range of industries.

EagleBurgmann has also bucked the trend this past fiscal year by increasing overall sales by double digits! Think this is great? Well there's more. With a global workforce of more than 4,900 employees, they've managed to keep their team dedicated to service and leadership in their communities through their SEAL TEAM Initiative that supports local outreach programs.

The SEAL TEAM stands for:
Service Encouragement Action Leadership
Together EagleBurgmann Achieves More

During a recent visit to their Houston, Texas, facility, Larry N. Montague, President and CEO of TAPPI and Eric Fletty, Vice President of Operations had the opportunity to meet with a few of the men and women who drive the SEAL TEAM. Their work includes blood drives, charity, ink cartridge recycling program, stuffed animal drive, EBI Kid Sports sponsorships, Dragon Boat races (picture), and food drives, as well as social activities for the organization.

"It's important that everyone has the opportunity to reach out and contribute into the communities in which we live and work – the SEAL TEAM is our conduit into these efforts and we're happy that our employees bring their energy and drive to these programs," noted Marcus Pillion, President of EagleBurgmann USA." We are always proud to highlight the work our members, like EagleBurgmann, are doing to make a difference in their communities, their companies and our industry. Keep up the good work!

This is the POWER of TAPPI MEMBERS serving their community. If you'd like TAPPI to feature your company's community service projects or outreach initiatives, please send an email to memberspotlight@tappi.org.

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TAPPI News

TAPPI invites you to present at North America's largest pulp and paper event, May 1-4 in Covington, Kentucky (Greater Cincinnati). Abstracts are being accepted through November 15 for the Papermakers program. This year the program features a track on Operational Excellence -- with special emphasis on short presentations highlighting recent mill success stories. Papers on stock prep, forming and process control are also welcome. It's simple to upload an abstract, find out more by reading the Papermaker's Call for Papers. http://www.papercon.org/papermakers.asp

PaperCon also features a Tissue Forum this year and abstracts are welcome!

 With a focus on "Lean and Green" and spotlighting new ways to decrease cost, use less fiber and reduce their carbon footprint, PaperCon 2011 is the best opportunity to be recognized and to raise the visibility of your organization. Learn more about PaperCon 2011. http://www.papercon.org/

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Staying in touch with business colleagues continues to evolve at dizzying speeds. To provide members of the TAPPI community with a way to communicate on the go, TAPPI has created a foundation of social media tools to help you.

You can keep in touch with TAPPI news and events electronically with the TAPPI LinkedIn page. It's open to all TAPPI members. All you need to do is sign in to your LinkedIn account and search for the TAPPI Member Group. Members have started a number of useful discussions on the page, and currently there are about 450 members in the group.. Why don't you join in? Visit www.LinkedIn.com and find out what all the buzz is about!

TAPPI has a Facebook group called "Peace, Love, and Paper." It's new so you can be among the first people to "like" the page or join the group and enter a post on the Peace, Love and Paper wall. Participants in this group are committed to revolutionizing the paper industry. Visit www.facebook.com. Search for Peace, Love, and Paper then click "join group". You'll then be part of the "in" crowd.

You can also get the latest TAPPI news via Twitter. Sign up to follow TAPPI's Twitter account at www.twitter.com/TAPPITWEETS.

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This November, get to know TAPPI member Richard "Dick" Target as he stars in the Member Spotlight . Dick is currently owner of On Target Consultants  which serves the paper and converting industries and also develops new technology for box plants around the world.

He has written several technical articles for Board Converting News and Corrugated Today, along with several Technical Manuals for TAPPI's Lean Manufacturing Course. He has served as a volunteer on multiple Production and Printing Committees and also serves as an instructor, as well as attends, numerous TAPPI classes, courses and conferences throughout the year.

Spotlight participants are recommended by fellow members and staff. If you would like to nominate a member (or even yourself!) just send their name (or names) to MemberSpotlight@tappi.org. We will forward a Spotlight Questionnaire to fill out and return.

We look forward to seeing you in the Spotlight!

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On October 19, 2010, TAPPI's David Bell met with the faculty and students of the University of Minnesota Bioproducts and Biosystems Engineering (BBE) program. The BBE department just celebrated its 100th year last year in 2009!

"Shri Ramaswamy is the head of the department and gave me an excellent tour of their vast research facilities," Bell said. "In addition to their traditional pulp and paper research they are working on biofuels, biocomposites and biopolymers. I was also impressed with the through-air-drying experimental facility that they have built."

They have a unique curriculum that includes three main specializations: Bioproducts Engineering (formerly called Paper Science and Engineering), Environmental and Ecological Engineering, and Bioprocessing and Food Engineering. In addition they have a non-engineering program called Bioproducts Marketing and Management. This track provides both a technical background in bio-based products and combines it with traditional business school courses. Bioproducts or bio-based products are the materials, chemicals and energy derived from renewable resources such as wood; this includes both conventional bio-based products (i.e., pulp and paper) and emerging bio-based products (i.e., biofuels, biopolymers, bioenergy, etc.)

"We would like to encourage pulp and paper and allied industry members to contact us if you have opportunities for our fast growing student body or need more information," Dr. Ramaswamy said. "Also, we would like you to consider contributing to our scholarships. Please visit the website for information."

Contact Info:
Shri Ramaswamy
Professor and Head, Bioproducts and Biosystems Engineering, University of Minnesota
Ph: 612-624-8797 

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The 2011 Student Summit will take place January 15-17 in Kingsport, Tenn. It will draw students from around the country to focus on "New Directions" and promising developments in the pulp and paper industry.

Attending students can meet with experienced industry professionals, interview for jobs, participate in a fun engineering competition and get to know fellow students. The event will include a range of valuable experiences including:

  •  a mill tour of Domtar
  • a presentation on Biofuels
  • a Mill Manager Roundtable and
  • focused sessions on a variety of important topics.

Learn more about the 2011 Student Summit.

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The Technologically Advanced Workforce initiative (TAW) was created to help improve profitability related to human performance in the pulp, paper and allied industries. TAPPI began governing the TAW in 2009 at the request of the Agenda 2020 Chief Technology Officers Committee. This new advisory board has been formed to address general guidelines for the purpose, mission and strategic direction of the TAW initiative and NPT2.

Members of the newly created TAW Executive Advisory Board represent leadership from industry, union and government sectors. The Board held its first meeting in late September and industry representatives attending included: John Donahue, SAPPI Fine Paper N.A.; Lyle Fellows, Verso Paper; Curtis Sears, MWV; Ellsworth Townsend, Packaging Corp. of America; and Cindy Reinhart, Metso. Andrea Harper, Georgia Department of Labor, represented government and Keith Romig, United Steelworkers, was the union representative. T.J. Murphy represented National Network for Pulp and Paper Technology Training (NPT2) and TAPPI staff members were Larry N. Montague, Mary Beth Cornell and David Bell.

"A Jaakko Pöyry study on the pulp and paper industry has shown that at least 30 percent of the variability in profitability can be explained by performance of people in the workforce," Murphy said. "The TAW's mission is to be a catalyst for collaborations among industry, government, associations, workers, educators, trainers, community and technical college systems, and economic development organizations. These collaborations will be nurtured to attract and develop a technically superior workforce to operate, maintain and manage the new and advanced technologies essential to a globally competitive U.S. forest products industry. It has been forecasted that if successful, TAW could increase industry's profitability by 25 percent, as measured by return on capital employed (ROCE)."

TAW is one of the key focus areas of Agenda 2020 and was first envisioned at the Technology Summit in May 2001.


The NPT2 was established in 2004 as a national network of community colleges that produces technicians specifically skilled in the pulp, paper and allied industries. The objective of this initiative is to provide training and education to ensure that the technologies chosen to create the forest products industry of the future are continued. 

One of the goals of the TAW is to attract new employees to the industry. The National Association of Manufacturers reports that America will face a shortage of 13 million skilled industrial workers by 2020.
With this in mind, TAPPI and its partners have also developed a website: www.careersinpaper.org. This website hosts a speaker's kit that includes a video, brochure and PowerPoint presentation that people can present at their local schools. The video "5 Reasons to be a Paper Engineer" can also be seen on YouTube.

Co-chairs of the TAW Advisory Board are Larry N. Montague, TAPPI's President and CEO and T. J. Murphy, Director of NPT2. For more information about the TAW please contact David Bell.

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"The only thing that stands between a person and what they want in life is the will to try it and the faith to believe it is possible." – Rich DeVos

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Ken Patrick Ramesh Gupta Larry N. Montague
Editorial Director International Editor President and CEO
770-209-7340 bsc_rcg@hotmail.com lmontague@tappi.org
kpatrick@tappi.org    
30 years' experience writing for the pulp,    
paper, packaging, and allied industries    
     
Karen Roman
Maria Luisa Valencia Eric Fletty
Production/Distribution Editor International Editor Vice President, Operations
770-209-7416 mlvalencia@une.net.co efletty@tappi.org
kroman@tappi.org    
     
  Shane Holt  
  Integrated Media Director, Naylor, LLC  
  352-333-3345  
  sholt@naylor.com  

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