Being in the division of Paper for about a year now. Have seen a only the steep hill drive of rates.
You require paper for each and every use right from signing of contract (even though digital signatures are out people still are prefering signed contract) to shopping to writing down in exams. But here we are not going to see how the finished paper market is booming but we are going to get the reason of how this waste paper has given rise to the whole new industry.
Waste paper refers to all kinds of utilised paper i.e from Used Newsprints to Office paper waste to Used cartons. All this so called waste is of the best use, and is the most lucrative product in the Paper Producing Industry.
ATOMOS in India one of the major importer of this kind of papers and serving Indian Recycling Industry and thus assisting Foreign Trade. Operating from its Head Office in Mumbai, the company imports different qualities of recovered fibre, such as old newspaper, magazines, recovered corrugated boxes and office stationery.
Paper industry is primarily dependent upon forest-based raw materials. The first paper mill in India was set up at Sreerampur, West Bengal, in the year 1812. It was based on grasses and jute as raw material. Large scale mechanized technology of papermaking was introduced in India in early 1905. Since then the raw material for the paper industry underwent a number of changes and over a period of time, besides wood and bamboo, other non-conventional raw materials have been developed for use in the papermaking. The Indian pulp and paper industry at present is very well developed and established. Now, the paper industry is categorized as forest-based, agro-based and others (waste paper, secondary fibre, bast
fibers and market pulp).
In 1951, there were 17 paper mills, and today there are about 515 units engaged in the manufacture of paper and paperboards and newsprint in India. The pulp & paper industries in India have been categorized into large-scale and small-scale. Those paper industries, which have capacity above 24,000 tonnes per annum are designated as large-scale paper industries. India is self-sufficient in manufacture of most varieties of paper and paperboards. Import is confined only to certain specialty papers. To meet part of its raw material needs the industry has to rely on imported wood pulp and waste paper.
Indian paper industry has been de-licensed under the Industries (Development & Regulation) Act, 1951 with effect from 17th July, 1997. The interested entrepreneurs are now required to file an Industrial Entrepreneurs' Memorandum (IEM) with the Secretariat for Industrial Assistance (SIA) for setting up a new paper unit or substantial expansion of the existing unit in permissible locations. Foreign Direct Investment (FDI) up to 100% is allowed on automatic route on all activities except those requiring industrial licenses where prior governmental approval is required.
Growth of paper industry in India has been constrained due to high cost of production caused by inadequate availability and high cost of raw materials, power cost and concentration of mills in one particular area. Government has taken several policy measures to remove the bottlenecks of availability of raw materials and infrastructure development. For example, to overcome short supply of raw materials, duty on pulp and waste paper and wood logs/chips has been reduced.
Following measures need to be taken to make Indian paper industry more competitive:
- Improvements of key ports, roads and railways and communication facilities.
- Revision of forest policy is required for wood based paper industry so that plantation can be raised by industry, cooperatives of farmers, and state government.
- Degraded forest land should be made available to the industry for raising plantations.
- Import duty on waste paper should be reduced.
- Duty free imports of new & second hand machinery/equipment should be allowed for technology upgradation.
Outlook for paper industry in India looks extremely positive as the demand for upstream market of paper products, like, tissue paper, tea bags, filter paper, light weight online coated paper, medical grade coated paper, etc., is growing up.
