Russian Pulp&Paper: Russia's Timber Sector Investment Hits $1 bln...

Russia's timbering enterprises invested about $1 billion in production improvements from January to September, 16 percent higher than in the same period last year, according to data obtained by Interfax from the Industry and Science Ministry.

Department sources said the sector's pulp and paper makers used their own funds to do large-scale work on the technical reoutfitting of existing production facilities and the making of new types of product.

It listed several projects, saying that the Solikamsk Pulp and Paper Mill modernized its paper-making machines and increased output capacity by 21,000 tons of newsprint paper per year. It also reported that the Kamo Pulp and Paper Mill has begun making offset paper; the Syktyvkar Pulp and Paper Complex has become the first in Russia to produce lightly chalk-overlaid papers, which are finding more demand; and that the Svetogorsk Pulp and Paper Mill has started up a production line for the making of office paper of the new A3 format.

After modernization, the St. Petersburg Cardboard-Polygraphic Plant increased the productiveness of its cardboard-making equipment. The production of progressive types of products, such as top liner at the Syktyvkar Pulp and Paper Complex, as well as kraft liner and test liner, has begun with non-specialized facilities at a number of enterprises.

The pulp and paper industry during this period saw increased demand both domestically and abroad and institutional transformation that allowed for enterprises to receive an increased volume of raw wood material and make fuller use of production capacity – paper up 3.9 percent, commodity pulp 6.2 percent and cardboard 13.5 percent.

The department's initial figures show consolidated sector net profits dropping 19 percent year-on-year during the period to 10.5 billion rubles, although the country's forest product exports climbed 12 percent to $3.5 billion.

Kiev Cardboard gains

KIEV – The Kiev Cardboard-Paper Plant, one of Ukraine's largest cardboard makers, turned out $47.8 million worth of product from January to September, 21.1 percent more than the same period last year, company sources told Interfax.

During the period, the combine made 94,780 tons of cardboard, 16.8 percent more than a year ago. Container-board output rose 51.8 percent to 50,830 tons, while it produced 7.6 percent less packing board (43,900 tons) and 36.3 percent more paper (39,400 tons).

The Kiev plant makes more than 26 percent of the board and paper produced in Ukraine. The controlling interest in it belongs to a consortium led by Avgust (Ukraine), the Arkhangelsk Pulp and Paper Plant and Nordiks Group (Russia), Wilfried Heinzel AG (Austria) and Conrad Jacobson GmbH and Jacob Jurgensen (Germany). The holding company Ukrpapirprom holds 30 percent of the stock.

Kotlas sets project

ST. PETERSBURG – JSC Kotlas PPM, a part of Ilim Pulp Enterprise Group, started an ecological project worth about $3 million, according to a report by A&G Information Services. As part of the project, special equipment for slime sediment dehydration produced by the German company Bellmer will be installed. This will enable it to decrease water pollution by 30 percent, officials told A&G.

Arkhbum opens factory

ARKHANGELSK – Arkhbum Co., the Arkhangelsk pulp and paper mill trader, opened a corrugated-board factory on Nov. 16, according to a report by Kommersant. The report said that the factory in Podolsk was the largest of its type in Europe. Acording to Vladimir Krupchak, president of the Titan Group, which owns Arkhbum, the factory will be able to produce 160 million sq. meters of corrugated board per month, taking up to 30 percent of the Russian corrugated board market and up to 25 percent of the container board market, Kommersant reported. The $35 million project is being funded by Arkhbum funds.

Russia Journal