Displaying items by tag: paperboard

The American Forest & Paper Association (AF&PA) today released its 50^th Annual Survey of Paper, Paperboard, and Pulp Capacity,  which reported that U.S. paper and paperboard capacity declined 2.5 percent in 2009 to 93.9 million tons. The decline took place against a backdrop of a severe global economic recession.  Paper and paperboard production is rebounding from the recession-induced lows reached in early 2009.

The Survey also reported that 14 U.S. mills were permanently closed in 2009, shutting down 16 paper and paperboard machines, and an additional 11 machines were permanently shut down at other mills.  Furthermore, several mills and machines have been indefinitely idled in response to weak market conditions, but have not been removed from the Survey base because they may be restarted at some future date.

According to data reported to the Survey, total paper and paperboard capacity is expected to decline 3.4% in 2010 and then remain essentially stable in 2011 and 2012.

The Survey reports U.S. industry capacity data for the years 2009 through 2012 for all major grades of paper, paperboard, and pulp, based on a comprehensive survey of all U.S. pulp and paper mills. Survey respondents represent about 90 percent of the U.S. industry capacity.

The complete Survey with detailed tables can be purchased for $1,650 by contacting Michelle Gaskins at AF&PA (202-463-5162, This email address is being protected from spambots. You need JavaScript enabled to view it.).

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Caraustar Industries, Inc. announced today that it will increase prices by $60 per ton on all uncoated recycled paperboard grades and $45 per ton on coated recycled paperboard grades produced by its mills. The increases are effective with shipments on and after April 5, 2010. Caraustar will also increase prices of tubes and cores and all other uncoated recycled paperboard converted products on the same date. This series of price increase announcements comes shortly following earlier increase announcements.

Greg A. Bartlett, vice president sales and marketing for Caraustar’s Mill Group, stated, “Publication prices for Old Corrugated Containers (OCC) have reached an average of $170 per ton in the middle and eastern United States, up $95 per ton since December publications. Unreliability of supply has forced us to reach out further with higher cost freight lanes and pay significant premiums over publication list prices to secure our recovered fiber needs. Fiber quality has also declined during this period, impacting our yield of our most important raw material.  Prices for all fiber grades have increased significantly.  We understand the impact that this has on our customers; however, we cannot continue to absorb these costs.  We will be vigilant in monitoring this situation and keep our customers informed of changes and challenges in this volatile recovered fiber market.”

About Caraustar

Caraustar Industries, Inc. is one of North America's largest integrated manufacturers of 100% recycled paperboard and converted paperboard products. The company is a socially responsible corporation, is committed to environmentally sound practices and is dedicated to providing customers with outstanding value through innovative products and services. Caraustar has developed its leadership position in the industry through diversification and integration from raw materials to finished products. Caraustar serves the four principal recycled boxboard product end-use markets: tubes and cores; folding cartons; gypsum facing paper and specialty paperboard products. For additional information on Caraustar, please visit the company's website at www.caraustar.com.

Sonoco will increase prices for all uncoated recycled paperboard grades in the United States and Canada by $60 per ton effective with shipments on April 5, 2010. In addition, the Company will increase prices on all paperboard industrial converted products in the U.S. and Canada by 5.5 percent effective with shipments on April 5, 2010.

"Recovered paper costs have continued to rise rapidly throughout the first quarter of 2010. Key grades, such as old corrugated cartons (OCC), are up by approximately $110 per ton, or 150 percent, since November 2009, according to published lists," said Harris DeLoach, chairman, president and chief executive officer. "Actual marketplace prices for recovered paper are currently exceeding listed prices by another $20 to $30 per ton, due to scarcity of supply. As a result, we have no alternative but to pass on these higher raw material costs."

Sonoco is one of the largest producers of uncoated recycled paperboard in North America, and of paperboard tubes and cores, and protective packaging.

About Sonoco

Founded in 1899, Sonoco is a $3.6 billion global manufacturer of industrial and consumer products and provider of packaging services, with more than 300 operations in 35 countries, serving customers in some 85 nations. Sonoco is a proud member of the Dow Jones Sustainability World Index. For more information on the Company, visit our Web site at http://www.sonoco.com.

SOURCE: Sonoco

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