Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
Page 11
Page 12
Page 13
Page 14
Page 15
Page 16
Page 17
Page 18
Page 19
Page 20
Page 21
Page 22
Page 23
Page 24
Page 25
Page 26
Page 27
Page 28
Page 29
Page 30
Page 31
Page 32
Page 33
Page 34
Page 35
Page 36
Page 37
Page 38
Page 39
Page 40
Page 41
Page 42
Page 43
Page 44
Page 45
Page 46
Page 47
Page 48
Page 49
Page 50
Page 51
Page 52
Page 53
Page 54
Page 55
Page 56
Page 57
Page 58
Page 59
Page 60
Page 61
Page 62
Page 63
Page 64
Page 65
Page 66
Page 67
Page 68
Page 69
Page 70
Page 71
Page 72
Page 73
Page 74
Page 75
Page 76
Page 77
Page 78
Page 79
Page 80
Page 81
Page 82
Page 83
Page 84
Page 85
Page 86
Page 87
Page 88
Page 89
Page 90
Page 91
Page 92
Page 93
Page 94
Page 95
Page 96
Page 97
Page 98
Page 99
Page 100
Industry trends world pulppaper10 state of consolidation in the global pulp and paper industry assessing changes over time that can help predict what developments to expect in the years ahead. The discussion considers each of the following paper grades and regions Paper Grade Global region Containerboard Europe Coated Papers Asia Pacific Uncoated Freesheet Brazil Tissue and Towel Representative of Latin America We also look at the market for bleached hardwood kraft pulp which unlike any paper grade is truly a global market. north amerIca In North America growth is slow or flat for containerboard coated paper and uncoated freesheet are both in decline and tissue is growing at about the same rate as the population Figure 3. Within North America the top three players account for 63 of the containerboard market which puts the sector in Stage 3 of consolidation Figure 4. That seems reasonable the growth curve is slow to flat there is little breakthrough technology so corporate growth requires MA which has been evident in recent years. Driven by cost reduction the cost gap between the top and bottom quartiles is very narrow in this sector Figure 5. In recent years large-scale mergers have sharply increased the market share of the leaders Figure 6. In 2007 IP acquired Weyerhaeusers brown paper facilities following this in 2011 with Temple Inland almost trebling its market share in the process. Likewise the acquisition of Smurfit-Stone by RockTenn has created a second very large unit which was further enhanced with Simpson. More recently in the solid fibre containerboard packaging sector RockTenn announced that it is merging with MeadWestvaco. Figure 2. The pulp and paper industry clearly is not consolidated globally Figure 3. Growth is relatively flat across paper grades in North America Figure 4. North America containerboard Stage 3 consolidation with top three producers accounting for 63 market share In recent years large-scale mergers have sharply increased the market share of the leaders