COATING

 


Aside from the flurry of merger and acquisitions in the sector, new technology is likely to transform coated paper in the years to come

By Roger Grant

A breakthrough on both sides of the sheet

The coated paper market has seen some considerable changes in the past 12 months. The merger of the year was the combination of Stora and Enso, which produced a giant among producers of both coated woodfrees and coated mechanicals. Equally, the generous worldwide capacity situation failed to discourage further mammoth machines installations. Cartiere Burgo and Haindl both announced new 400,000 tons/yr LWC machines for startup in 2000 - Burgo's to be located at Verzuolo in Italy and Haindl's at Augsburg in Germany. In addition, Sweden's LWC 2000 group announced plans for a 300,000 tons/yr LWC machine.

But as this coating review enters its second quarter century, it is fitting to report that a long sought after technical breakthrough has been made - simultaneous two-side blade coating at a single station. There have also been numerous smaller improvements to the existing range of coating equipment, with suppliers showing a particular penchant for giving the improved model a new name.

Simultaneous blade coating of both sides of the paper web was heralded by BTG's Twin-ABC in last year's review (PPI May 1998, p. 21) and the system is now available to the industry. Renamed the Mirroblade, Figure 1 illustrates the principle. The paper web passes through a pond of color and the excess is doctored off by "soft-tipped" blades. These blades, which use BTG's ABC (Automatic Blade Control) technology, are separated only by the thickness of the paper web. They are called "soft-tipped" because they adapt automatically to thickness irregularities in the paper, to give a uniform coat thickness even over lumps and bumps. Coat weights range from 13-17 g/m/side on base paper of 64-250 g/m.


Figure 1 - Cross-Section of the Mirroblade Showing the Soft-Tipped Blades

Two-sidedness in the base paper is counteracted by controlling, at appropriately different values on the two sides of the web, both coating color solids content (eg 61-65%) and blade angle (eg 17 and 20). Usually the web passes downwards, but it can also pass upwards.

The Mirroblade was developed at Stora Enso's Grycksbo mill, which was a pioneer of BTG's Billblade family of products back in the 1970s. The first Mirroblade installation replaced a Billblade-HSM (roll/blade) coater on PM 9 in April 1997. The second unit replaced a film press coater on PM 7 in July 1998. Both PMs are relatively narrow at 2.6 m and 2.5 m trim widths, and they produce soft calendered single-coated woodfrees at up to 450 m/min. Possibly the best known grade is G-Print. This product is a medium-coated matt paper for offset printing that is used for graphic publications and covers in the production of manuals, periodicals, brochures, posters and dictionaries. These grades were experiencing increasing competition from premium double-coated grades.

Figure 2 summarizes the quality improvement that resulted from the two Mirroblade installations. Not only did the PPS 10S roughness and two-sidedness decrease, but this was achieved at higher bulk and thus greater stiffness. Associated benefits included reduced curl, good blade lifetime (averaging 5-7 days and going up to 13 days), the absence of backing rolls (that need changing), and a low cost unit that required little space. Installation of the Mirroblade took three days downtime and saleable paper was reportedly produced in under a day.


 

In the press

Turning to film press coaters, Voith Sulzer has completely redesigned the color application system of its Speedcoater and renamed the unit the SpeedFlow. In effect, the former integral color application header and metering blade have been separated to reduce their interaction and so give better control. Color (or size) is now applied by numerous MultiJet nozzles from a distribution pipe, which dispenses with edge baffles and reduces the amount of color recirculated. The metering blade is supported by a lightweight beam that is thermally stable, so correction for thermal deflection is no longer necessary. The first SpeedFlow was installed in January 1998 and there are now 10 units either installed or on order. Coat weight goes up to 15 g/m/side.

Beloit has renamed its Metering Roll Coater the GRICoater (Gate Roll Inversion Coater). The unit has an additional slow running metering ("inversion") roll between each metering head and each applicator roll (see PPI May 1998, p. 37). The longest running installation is at Burgo's Riva del Garda mill, where it applies 7-11 g/m/side to coated woodfrees at 57-58% solids and 830 m/min. The paper can be up to quadruple coated. One of the benefits is the effect of the slow inversion roll speed on coater component life. It is reflected in the mill's average life of 10 months (range 90-110 days) for both the applicator rolls (23 P&J hardness) and metering rolls (12 P&J). The life of the bent blade metering element is 6-9 days.

Greater flexibility of coating is available by configuring the GRICoater in the closely related Omni Coat mode. For example, the web can emerge upwards from being blade coated by an SDTA (short dwell time applicator) head against one inversion roll, led down through the open central nip and then taken back up to be blade coated on the other side by the second SDTA head against its inversion roll. The infrared dryers, that provide two-sided drying for the GRICoater web are slid apart to dry one side immediately after each SDTA head.

The film press coater's leap to prominence, particularly for LWC coating, has led BASF to explore the potential of the system on the supplier's pilot coater. When tried in different positions for multicoating board - namely, precoater, middle layer application and top coater - the film press coater performed best as the precoater. The ability to simultaneously add a back coat can save an additional coating station.

Plus ça change

"Free jet applicator" is a recently coined term. It is in fact the fountain applicator principle, where all the color applied passes to the paper web until reaching the final metering device. The word "free" distinguishes this approach from the straight "jet applicator" and flooded nip, where excess color is applied and subsequently removed. Recent refined designs of this non-contact approach can give superior coated quality at high speeds. The principle is exemplified by Beloit's BelJet coater, which is a further improvement of the S-Flow developed by the supplier's licensee, Mitsubishi.

Voith Sulzer's JetFlow F coating head also uses a free jet applicator and can be used to coat board. As an alternative to conventional bent or rigid blades for color metering, a smooth rod can be used for the precoat and top coat. If there is a middle coat, this can be either a smooth rod or a profiled rod. A profiled rod offers coverage similar to that from an air knife, but the viscosity must be below 200 mPas to allow sufficient levelling. A rebuilt Swedish machine started last year with three such JetFlow F coating stations. Table 1 compares three types of coating station for board coating.

Beloit's new Excel coater incorporates modifications to the SDTA head that reduce streaking at higher coating speeds and improve the coated profile. One of the more significant features is a solid wedge located just before the metering blade, which more positively controls the flow of color and also eliminates vortices.

 

Table 1 - Comparison Between Coater Types
  Air Knife Speedcoater JetFlow F
Speed (m/min) < 450 not restricted  
Suitable for coat 2 (3) coat 1 (2) coat 1, 2, 3
Coat weight (g/m) < 25 < 12 < 25
Solids content (%) < 45 not restricted (profiled rod < 55)*  
Contamination tendency high low low
Noise level high low low
Operating costs high low low
* Depends on coating color.

 

Valmet now has four commercial size OptiCoaters in operation or on order, two of which are on-machine coaters for LWC production. Most of the Opti-family components that can make up an OptiCoater system have been outlined in previous PPI coating or calendering reviews. But to complete the picture we have:

 

  • The OptiCoat Jet Plus. This is the OptiCoat Jet with a more sophisticated pre-metering color feed system. The OptiSizer is an improved version of the SymCoat film press coater.

     

  • The PowerDry. This is a combination infrared/air flotation dryer that achieves evaporation rates of up to 150 kg water/m/hr using 400C air at 70 m/min. The system also reduces space requirements by changing web direction with TurnDry units. With all web drying now in this more intensive form, the web tension control role of the conventional dryer cylinders has been replaced by a pull group of standard rolls.

     

  • Total Coating Control (TCC). This system controls the complete coating operation, particularly in the run-up to steady operating conditions. Using TCC, a fine paper four-station coater can typically achieve coat weight and moisture targets within two minutes and a good coat weight profile within five minutes, even with a high coat weight. Run-up broke can be limited to 2 km, compared with nearly 6 km without TCC. For a coater with five run-ups daily, this reduces lost production from about 11,000 ton/yr to 3,700 ton/yr, offering potential savings of around $1.8 million/yr.

     

Ceramic-tipped coating blades continue to improve, particularly in ceramic composition, tip geometry and grinding tolerances. BTG Eclépens estimates that over 70% of paper coated by bent blade is coated using the group's ceramic-tipped Duroblade system. The company attributes this market penetration to the system's advantages relative to traditional steel blades. For example, Duroblade gives the producer the ability to fine-tune the blade to improve coat weight control and surface smoothness, as well as offering the potential to reduce downtime. Apparently, several LWC machines have moved over to Duroblade recently.

Where paper edge wear is a problem, a special Duroblade can be provided that may increase blade life by up to 100%. In particularly severe cases, BTG's Edge Lubricator System doses a lubricant via a lubricator head on each edge before color application to further increase blade life and reduce associated problems.

Moving downstream, Voith Sulzer has consolidated the paper drying equipment within its new ModuleDryer with a view to improving control and reducing space requirements. The ModuleDryer unit includes rows of infrared dryers, a hood with two or more independent zones, air turn bars and the option of further infrared dryers to raise web temperature as the water evaporates.

For LWC production solely on-machine, Voith Sulzer's concept commences with a hard nip calender with Nipcorect rolls after the dryer section to improve the caliper profile. This is then followed by a SpeedCoater; infrared drying; air impingement drying; a short single-tier dryer cylinder section with DuoStabilizer and DuoCleaner; Mark 2 Janus calendering using 2-5 nips; and finally, a Sirius reel to give a reel up to 3.5 m diameter.

In pilot plant coating facilities, North America has lagged behind Europe. In Europe, at least five pilot coaters can reach 2,500 m/min and the record is some 3,200 m/min. By contrast, the fastest pilot coater in North America is probably GenCorp's 1,830 m/min (6,000 ft/min) machine.

There are plans to redress the balance though. A joint venture involving GL&V, Mintech Canada (a Minerals Technologies subsidiary and sister company of Specialty Minerals) and JM Huber is creating a C$31 million ($21 million) plant called the Centre International de Couchage (CIC) at Trois Rivières in Quebec. The centerpiece is a Valmet pilot OptiCoater with a design speed of 3,000 m/min that is due to start up in the second half of this year. Apparently, interested parties have already underwritten 33 weeks/yr of the center's first 10 years of operation.

Kitchen attractions

Papers for ink jet printing are commonly coated with silica-based pigments. However, Engelhard's new Digitex pigment is a structured kaolin. Compared to silica-based pigments, the product's main advantages are said to include higher coater speeds (because of lower color viscosity at higher solids), a general requirement for fewer additives and less dusting and bleeding during printing.

Manipulating the particle geometry of PCC (precipitated calcium carbonate) during manufacture produces correspondingly different coating pore size distributions due to changes in particle packing. Specialty Minerals has found that manipulating the pore size distribution of a PCC precoat, at 0.15-0.3 m pore diameter, gives better light scattering relative to a GCC (ground calcium carbonate) of equal brightness. The precoated paper brightness and opacity improved correspondingly. When a top coat was added to each, the PCC coated paper gave its peak in the 0.05-0.08 m coat pore size region at a slightly higher wavelength than the GCC. This could influence ink holdout and account for the better snap (ie printed gloss improvement) offered by PCC coated papers.

The importance of coating color air content has become increasingly evident as coating speeds have increased. Papiertechnische Stiftung (PTS) in Munich, Germany, has developed a portable meter for measuring gas content that can be used both in-line and in the laboratory. The term "gas content" is used, rather than the more usual "air content", because carbon dioxide can be generated when acidic additives are added to calcium carbonate pigment. The meter has measured gas contents in the range 4-30%, and can be used for optimizing gas content reduction by both mechanical and chemical means. The meter is due to be available shortly.

Other important color properties concern dewatering and immobilization characteristics. Numerous laboratory tests have been developed in these areas, such as the widely used ÅA-GWR test for water retention value. With each new test, simulating actual coating conditions comes a little closer. Now BASF has developed a dynamic penetration tester that reaches actual conditions closer still. This is achieved by continuously measuring the viscosity in a thin coating layer as it dewaters into the actual base paper, while applying both shear stress and a pressure gradient to the color. The supplier's instrument can be fitted to many commercial rotational rheometers, thus increasing their usefulness for optimization (including base paper sizing) and control purposes. A more sophisticated optional optical part is suitable for fundamental research into dewatering mechanisms.

Last year, the coating survey noted that the new ACAV A2 Ultrahigh Shear Viscometer from ACA Systems and Papertech could reach color shear rates up to 2.5 x 106 s-1 and thus more closely simulate actual coating conditions. That model forced the color through a capillary tube. The latest Slit attachment produces even higher shear rates by forcing the color through a 50 m gap of length 0.5 mm. Apparently, this simulates actual coating mechanisms even more closely and a full test cycle takes only 10 minutes, including cleaning.

Consolidation has also continued among chemicals suppliers. BetzDearborn became a division of Hercules and Vinings acquired some of the Rhodia product range. GEO Specialty Chemicals bought Henkel's North American operations. Ciba and Clariant entered into merger talks, but pulled back. On the pigments side, Faxe Paper Pigments was purchased by Huber, while ECC International will be bought by Imetal, subject to regulatory approval. In titanium dioxide, last year's restructuring hit the buffers when the US Federal Trade Commission refused ICI permission to sell its Tioxide Division to DuPont and NL Industries (owners of Kronos). Talks continued with Kemira and Huntsman.

Dr Roger Grant is editor of the Windows-based encyclopedia, Paper Help. He can be contacted in the UK on fax: +44.1580.241950

 

 

 

AUSTRIA

Austria does well

The paper industry developed positively alongside the general economy. During the first four months good results were achieved in both volumes and turnover, but then the trend slowed.

In 1998, Sappi took over the majority of KNP Leykam, Smurfit raised its stake in Nettingsdorfer, Mayr-Melnhof expanded (mainly into Eastern Europe), while Rondo Ganahl headed into Romania.

The brightest event for the Austrian paper industry in 1998 was the startup of PM 11 at Sappi's Gratkorn mill. In addition to this Euro 470 million ($506 million) investment, Zellstoff Pöls also spent Euro 80 million on its "Pöls 300" project, which will raise productivity and quality.

Claus Zettl

 

 

 

BRAZIL

Aiming for self-sufficiency

Coated woodfree paper consumption in Brazil increased by 2% in 1998, climbing to 250,000 tons. Half was imported, while the rest was produced by the three Brazilian coated woodfree companies - VCP, Ripasa and Suzano. The situation will be very different this year following the startup of VCP's new coating machine in October last year. If all goes according to plan, the machine should churn out about 100,000 tons this year.

Ripasa also started up a 40,000 ton/yr machine. In theory, this year Brazil will have the ability to be self-sufficient in coated paper. This scenario is became even more likely following the 40% devaluation of the Brazilian currency in January, which made imports much more expensive. The first of VCP's two new coating machines started up in 1997 and is now operating at close to full capacity. Votorantim now has capacity to make 170,000 tons/yr of coated paper. VCP's chief executive, Raul Calfat, thinks that some of company's coated paper may well be exported within the Mercosur region in 1999.

Inpacel was bought by Champion last year and continues to make about 150,000 tons of coated mechanical paper. If the climate is right, a second machine is likely to be built on the site in Parana state before too long.

Patrick Knight

 

 

 

CHINA

China piles on the pace

Demand has increased rapidly in China over the past few years. Consumption of coated paper and board also jumped in 1997, climbing 23% from 1996 levels to a total of 2.3 million tons. A growth rate of 15% has been estimated for 1998, which would take consumption to 2.66 million tons.

Imports and exports increased significantly in 1998. Imports of coated paper and board totaled 1.54 million tons in 1998 - a 24% increase on 1997. But exports of coated paper and board increased by 62% in 1998 to 75,000 tons.

Several production lines have recently come on stream in China, including two new LWC lines. The Shandong Chenming group started up a 100,000 ton/yr LWC machine, while the Yueyang Paper Mill in Hunan launched production on a 50,000 ton/yr LWC line. Another major project was the 350,000 ton/yr coated paper machine at Zhenjiang Dagang carried out by Jindong Paper. Two art paper machines have also come on line recently - the 100,000 ton/yr line at Jiangsu Zi Xing Paper and an 80,000 ton/yr machine at Gaotang Paper Group in Shandong. On the coated boad front, Ningpo China Paper started up a 350,000 tons/yr machine.

According to forecasts, the consumption of coated paper and board will be 3.2 million tons in 2000 and 5 million tons in 2005 - a growth rate of 9.3%.

Shi-jun Kuang and Cao Pufang

 

 

 

ESTONIA

Estonia feels Russian chill

The Estonian economy weakened last year. GDP growth dropped from 11% in 1997 to just 4% in 1998. The main reason for the decline was the collapse of the neighboring Russian economy, which badly hit Estonia's food processing and transportation sectors.

Slower economic development also affected paper consumption in the country. Overall consumption came down from 1997's 47 kg/capita to 35 kg/capita in 1998. But this trend was not seen in the consumption of coated grades, which increased by 7.5 %. One explanation for the increase is that advertisers wanted to buy higher quality products for their money.

All coated grades still have to be imported, mainly from Finnish and Swedish companies.

Andrus Pavelson

 

 

 

FINLAND

Pace slows on expansion

UPM-Kymmene, Stora Enso and Metsä-Serla are all slowing the pace of new investment projects due to shareholder pressure, but there are still projects coming through and investors are readily accepting corporate acquisitions and mergers.

Last year, UPM-Kymmene's largest investment in coated papers was for Rauma's LWC machine. A rebuild of the PM 18 coating unit at Voikkaa has also been carried out and UPM-Kymmene finished modernizing PM 6 at Blandin Paper in the USA.

Stora Enso made only small investments in coated printing papers and coated fine papers last year and there are no major plans for the future. The company's largest investments in 1998 were on a rebuild of Maxau's PM 8 (Euro 46 million), Veitsiluoto PM 1's new winder (Euro 2 million), the coating machine of BM 3 in Fors, and the soft calender on Veitsiluoto's PM 2.

As far as coated fine paper is concerned, Stora Enso's largest investments were the rebuilds of Veitsiluoto's PM 2 (Euro 22 million) and PM 10 in Grycksbo (Euro 10 million). The first Twin-ABC coating machine in the world was installed on PM 10, which improved quality and productivity. The machine has a new type of blade coating system, which allows paper to be coated on both sides in one unit.

Metsä-Serla has acquired mills at such speed that digesting the acquisitions will take some time. Last year, Euro 135 million of the company's total Euro 420 million investment spending went on corporate acquisitions. But output climbed too. The capacity at Biberist now exceeds 400,000 tons/yr - an increase of 100,000 tons/yr.

Last year, Metsä-Serla built a new sheet plant at the Äänekoski art paper mill in Finland. The group also built a new sheeting line at the Albbruck mill in Germany, increasing capacity from 45,000 tons/yr to 60,000 tons/yr. Euro15 million is going on rebuilds for both paper machines at the Plattling mill in Germany, increasing the mill's capacity by 10%.

At the end of 1998, market forecasts for 1999 looked extremely poor, but the outlook has brightened significantly during the first quarter this year.

Pekka Rinne

 

 

 

INDIA

India set for a turnaround

The coated paper and board market has grown significantly in recent years, with over 25 machines now producing coated grades. Most of the units are offline coaters of the air knife/brush type as very few blade coaters exist in India. A large number of companies find it difficult to meet quality standards and stay cost-competitive with their coating units. Mills have been hit by increasing imports in the last few years.

In 1998, business confidence in the paper and board sector was low. Overall market growth was marginal and the paper industry's performance was unsatisfactory. The third quarter did show signs of improvement though.

NJ Rao

 

 

 

INDONESIA

Markets shape new Indonesia

Indonesia has faced serious monetary, economic and political crises since 1997. The number of people living below the poverty line rocketed to 95 million in 1998 (47% of the total population), up from 30.4 million in 1997. Unemployment stood at 4.5 million in 1997 but rose to 20 million in 1998. GDP growth of 4.7% in 1997 slumped to minus 15% in 1998, while inflation soared from 11% in 1997 to 78% in 1998. Per capita paper consumption fell from 16.5 kg in 1997 to just 5.5 kg in 1998.

Trading conditions are difficult and prices are high. Domestic paper consumption has fallen by 35% since the start of the financial crisis. As a result, coated paper and board sales are also suffering in the domestic market. This has forced companies to export greater volumes using more aggressive sales tactics. Exports of coated paper and board rose from 579,300 tons in 1997 to 975,100 tons in 1998.

In 1997/1998, the Sinar Mas Group was the only company that increased its coating capacity. The Sinar Mas Group is also reducing its exports of raw materials such as pulp and paper in rolls, preferring to process them into finished products such as stationery, shopping bags etc.

HM Mansur

 

 

 

ISRAEL

Israel looking better

Coated paper consumption is growing rapidly in Israel at rates of 8-9%/yr. Coated publication paper consumption has been rising at 16%/yr, while demand for woodfree sheets is climbing by 10%/yr. These grades are mainly imported. At present, total coated paper consumption is around 121,000 tons/yr.

Israel produces some 100,000 tons/yr of high quality uncoated woodfree paper, but on the coated paper side domestic production totals just 6,000 tons/yr. The tonnage is produced by American Israeli Paper Mills (AIPM) and the company has no plans to increase capacity at the unit.

Most of the country's imports come from western Europe, although in recent months several Far Eastern grades have made an appearance on the market. Consumption of coated packaging board appears flat, reflecting the slowdown in economic growth in Israel. Coated board is imported both from the USA and Europe, with large increases recorded in imports from Slovenia and Poland.

Yacov Ben-Torah

 

 

 

JAPAN

Coated shipments stay steady

Most paper and board grades showed negative growth in 1998, but shipments of coated paper in Japan grew by 0.8% on the year-earlier period. The increase was limited to lightweight coated and pigmented grades.

Exports were up, imports fell and shipments to China showed steady growth, especially in the second half of the year. Customers continue to switch from uncoated mechanical paper to coated grades. Of the total coated paper production, the percentage of lightweight coated and pigmented paper shipments increased from 41.8% in 1993 to 50.1% in 1998. The trend is set to continue in the future.

Coated board shipments dropped for all grades in 1998. A stagnant economy and a continuing trend toward the use of less packaging materials are mainly to blame for the poor performance of board grades.

There are few signs of a Japanese economic recovery, but the Japan Paper Association estimates that domestic demand for coated paper will grow by 1.7% in 1999. Demand for commercial printing - including leaflets and pamphlets - will grow and buyers will continue to switch from uncoated mechanical grades to coated papers.

There are no new capacity plans for coated paper and board in the near future. In 1999, coated paper capacity will increase by 1.8%, while shipments should grow at the same rate.

Satoru Mitsui

 

 

 

KOREA

Koreans export out of trouble

Mill shutdowns and production curtailments during 1998 have resulted in a decrease in paper and board production for the first time ever. Total paper production decreased by 6.4% and total board production fell by 8.5%, resulting in a 7.4% cut in overall paper and board production in 1998. Total paper and board consumption is estimated to have dropped by 29% in 1998 as a result of the financial crisis in late 1997. A drop in domestic shipments of paper and board was counterbalanced by a rise in exports. In 1998, exports soared a staggering 86% for paper and 12.1% for board, an overall increase of 51.3%.

Coated printing/writing paper consumption suffered the most severe decline in 1998, falling 41% from 662,000 tons in 1997 to 393,000 tons in 1998. Domestic shipments of these grades also fell by 40%, from 614,000 tons in 1997 to 369,000 tons in 1998. Exports increased by 38% from 548,000 tons to 755,000 tons over the same period. The dramatic depreciation of the Korean currency caused imports of coated magazine grades (LWC/MWC) to plummet by 70%, dropping from 56,680 tons in 1997 to a mere 17,060 tons in 1998.

Coated board consumption changed less dramatically in 1998, recording a decrease of 16% from 429,000 tons in 1997 to 362,000 tons last year. This implies that local consumption of packaging grades was less affected by the economic setback than printing grades. Coated board exports also increased by 21% in 1998 on the year-earlier period, from 513,000 tons to 619,000 tons. This export volume represents 66% of total production. Boxboard mills showed an operating rate of 64% in 1998.

In the duplex board sector, Hansol started up the 700 ton/day coated duplex PM 32 in May 1998 at its Daejon mill. Daehan Pulp started up its 500 ton/day coated duplex PM 3 in January 1999. Both machines have on-machine coating facilities.

The overcapacity problem is expected to continue with the startup of Daehan Pulp's new PM. The new PM is still not operating at full capacity and ran at about 50% in March this year. Added to that, the closure of Daehan Pulp's old 300 ton/day duplex board mill at Euijungbu in late February means that the new capacity has not affected market supply as yet.

CB Lee

 

 

 

MEXICO

Ponderosa brings a boost

The coated paper and board sector in Mexico performed well in 1998, mainly due to the successful revamp and startup of Cartones Ponderosa's recycled coated folding boxboard machine in mid-1997. The company invested over $35 million dollars to boost the unit's capacity by 25% to 190,000 tons/yr. In 1998, the machine ran at full capacity and will continue to operate at the same rate this year.

Productora de Papel is also investing $42 million on a PM rebuild at its plant in Monterrey. PM 3 will be revamped to produce 79,000 tons/yr of coated recycled folding boxboard. Startup is expected in the second half of 1999.

In 1998, coated woodfree production remained at the 1997 level of 100,000 tons. The level of imports was also similar at 55,000 tons. However, coated board production increased to 307,000 tons from 255,000 in 1997 - the majority of the increase came from the new capacity at Cartones Ponderosa.

Xavier Llamas

 

 

 

PAKISTAN

Pakistan consumption rises

Pakistan has showed tremendous progress in its paper production and is now capable of manufacturing most grades, apart from specialty grades and newsprint. In recent years, Pakistani companies have developed their coating technology using equipment that can coat one or both sides of the sheet with kaolin and a variety of other substances.

The mills have faced many drawbacks, but they still managed to produce enough tonnage to meet the country's coated paper needs and only small quantities are imported. Following rapid industrialization in the country, consumption of coated paper has increased significantly. Mills such as Packages, Century, Zaman and Flying Kraft are the main coated paper and board producers.

Hizful Siddique

 

 

 

ROMANIA

Romania relies on imports

Romania's coated paper and board needs were met by imports in 1997 and 1998. Growth in the domestic output of cosmetics, medicines, detergents, foodstuffs, sweets and beverages has led to an increase in packaging consumption. Supplies of coated solid board from European companies have also risen.

Many of Romania's coated paper and board machines have been shut down or dismantled. The machines at Amco Ghimbav and Comceh Calarasi need to be rebuilt to meet the necessary quality levels. As for coating grades, consumption is predicted to increase by a minimum 10-12%/yr.

Gheorghe Borhan

 

 

 

RUSSIA

Consumers face price rises

Coated paper and board imports in the first half of 1998 were 30% up on the previous year and should have reached 70,000 tons for the year as a whole. This compares with less than 30,000 tons in 1995. Through the middle of 1998, the economic situation deteriorated, culminating in collapse in August/ September. There is virtually no coated paper production in Russia as most of the production is for folding cartons, so overnight users were faced with prices that trebled. At the same time, customers slashed their advertising budgets.

The situation continues to look gloomy for 1999. Commentators predict a further massive fall in advertising expenditure and a deeper economic decline, but there are some bright spots. A few months ago, the first major heatset web offset magazine printing works went on stream in Moscow.

Investment in coated paper and board production is still mainly limited to the St Petersburg Board and Printing Mill (part of the Ilim Pulp group), where quality improvements and output expansions continue. There are two major projects for the production of coated papers on the drawing board in Russia - at Kamsky and Goznak Krasnokamsk - but there is no firm news of either moving forward.

Margaret Leach

 

 

 

SLOVENIA

Slovenia looks promising

Coated paper and board producers in Slovenia were satisfied with the results they achieved in 1998. Forecasts for this year are also good, although there may be a few problems with sales. Kolicevo Karton has been taken over by Mayr-Melnhof. The new owners plan to install two additional second-hand suction formers to the existing six on board machine #3. The upgrade is expected to raise production by 10%. The Goricane paper mill is also installing a new coater for the production of the specialty papers.

Janez Hocevar

 

 

 

SPAIN

Woodfrees see steady rise

Spain does not produce any coated mechanical papers and relies on imports to meet domestic demand. Consumption of coated mechanical papers has been stable for the last two years. On the other hand, consumption of other coated papers has increased considerably. As a result, the production of coated woodfree grades rose 14% last year.

Coated folding board has shown similarly strong growth, but on a more modest scale. At present, there are no projects aimed at major capacity increases in coated papers and board, but productivity improvements will be made at the current facilities.

Luis Asenjo

 

 

 

SWEDEN

A stable year for Sweden

Demand for coated fine paper, publication papers and board grades in Sweden was generally stable during 1998, but prices remained at low levels. The European market for board showed strong growth at the start of the year. But the situation deteriorated as merchants and converters ran down their stocks and exports of packaged consumables to Russia and Asia also declined.

At two Stora Enso mills, investments targeting quality upgrades were announced or put on stream. Stora Enso is to rebuild PM 10 at Grycksbo, which produces coated woodfree grades. The major parts of the project include rebuilding the press and dryer sections, upgrading two blade coating stations and replacing the existing winder. Voith Sulzer is supplying the new winder, press and dryer sections, while Jagenberg will provide the coating stations. Startup is scheduled for September.

In July 1998, Stora Enso Grycksbo started up a second of two new twin-blade coaters. The Mirroblade coaters are now in full operation on two paper machines, producing premium grades of single-coated paper for printing and publishing.

At Stora Enso Fors, folding boxboard BM 3 restarted in January this year after a rebuild. The project included the installation of three new Jagenberg top coating stations and another bottom coating unit.

David Wold

 

 

 

SWITZERLAND

Steady growth for the Swiss

The general economic situation is still positive. Inflation is practically zero with just a 0.3% increase in February 1999 compared to 1998. The domestic sector is the driving force behind the buoyant economy. In the paper industry, deliveries in the first two months progressed well at 145,000 tons/month for all grades of paper and board. The newsprint and graphic paper sectors are still in a period of upswing.

Perlen Papier is to invest in a new 150,000 tons/yr paper machine from Voith Sulzer. Production will be mainly focused on LWC papers for magazines and catalogs. But the machine can also produce different grades of newsprint. Startup is planned for September 2000.

Martin Häberli

 

 

 

TAIWAN

Coated consumption gets a boost

In 1998, total coated paper and board consumption increased by 5% to 755,000 tons, matching the economic growth rate of 5.25%. In 1997, total coated paper and board consumption surged 29%. Total coated paper and board production last year was mainly flat, with a drop of just 1% seen on 1997 levels.

Coated papers imports remained on the same level, while exports showed a sharp increase of 20%. Many of the exports were shipped to China and the increase reflected the problems that Korean and Indonesian paper companies had in finding buyers for their coated paper during the Asian currency crisis.

In the coated board sector, imports increased by a staggering 59% for the top quality board grades. But exports, again mainly aimed at China, dropped by 15% due to tough competition from Sinar Mas at its Ningbo board mill. Korea's products were sold at very low prices in the market.

Yuen Foong Yu's (YFY) new PM 21 is running smoothly after one year in operation, with output up to 450 tons/day. The company exports some 5,000 tons/month to China and Japan is the next target market.

On 20 December 1998, one of the oldest board companies, Shih Lin, decided to close its 3,000 ton/month Taipei mill. But the company is also investing at another mill. Shih Lin has already spent T$330 million ($10 million) on rebuilds on PM 1 and PM 2 at its Yung An mill.

Larry Lai

 

 

 

UK

Restructuring sweeps through the UK

Overall annual GDP growth was only 1.3%. The strength of the UK currency and limited growth in Europe continue to have a negative influence on the country's economy. For 1999, GDP growth is forecast at just 0.5%, with an improvement to 1.9% for the year 2000. The millennium celebrations should also help coated paper consumption.

The Henry Cooke coating mill was put up for sale as a part of Barlow Paper's decision to exit paper manufacturing in the UK. Arjo Wiggins Appleton (AWA) joined in the wave of company restructuring.

The sale of Fletcher Challenge's Donside mill to a management team was followed by the sale two of its other UK Paper mills as well as Guppy paper merchants, which went to Metsä-Serla. The move took Metsä-Serla to the top of the UK fine paper market with a 17% share and built on its position as Europe's third largest coated papers producer.

Roger Grant

 

 

 

VIETNAM

Consumption going strong

Demand for coated paper is growing quickly in the printing sector for book covers, magazines and calendars, as well as in the pharmaceutical, cosmetic and cigarette industries. Growth rates of 9%/yr have been seen over the past five years. Estimated consumption for 2000 is 21,800 tons and this should rise to 26,000 tons in 2002.

There is only one coated paper producer in Vietnam - the Dong Nai Paper Company - which has a capacity of 3,000 ton/yr of single and double-coated woodfrees. The remaining consumption requirements are made up by 15,000 tons/yr of coated paper and board imports.

In 2000, Dong Nai plans to increase its output to 6,000 tons/yr by improving technology at the mill. In 2002, the introduction of a new board line at the Viet Tri Paper Company will also add 10,000 tons/yr of bleached coated duplex capacity.

Tran Doan An

 

 

 

Coated Paper and Board Production and Trade in Selected Countries 1998
(1,000 tons, % change from 1997)
Country Total coated paper Total coated board Total coated P&B
  1997 1998 % Change 1997 1998 % Change 1997 1998 % Change
AUSTRIA
Production 983 1,138 16% 392 387 -1% 1,375 1,525 11%
Imports 230 242e 5% 32 37e 16% 262 279e 6%
Exports 898 1,043 16% 307 301 -2% 1,205 1,344 12%
Consumption 315 337e 7% 117 123e 5% 432 460e 6%
BULGARIA
Production - - - 16 14 -13% 16 14 -13%
Imports 7 9 29% 5 4 -20% 12 13 8%
Exports - - - 5 3 -40% 5 3 -40%
Consumption 7 9 29% 16 15 -6% 23 24 4%
CHINA
Production 190 240 26% 920 950 3% 1,110 1,190 7%
Imports 824 1,001 21% 420 542 29% 1,244 1,543 24%
Exports 22 52 133% 24 23 -4% 46 75 62%
Consumption 992 1,189 20% 1,316 1,469 12% 2,308 2,658 15%
CROATIA
Production 1 1 - - - - 1 1 -
Imports 33 30 -9% 19 18 -5% 52 48 -8%
Exports 1 1 - - - - 1 1 -
Consumption 33 30 -9% 19 18 -5% 52 48 -8%
CZECH REP.
Production 14 12 -14% 36 22 -40% 50 34 -33%
Imports 108 125 15% 33 77 136% 141 202 43%
Exports 17 18 2% 12 5 -60% 29 22 -23%
Consumption 105 119 13% 57 94 65% 162 213 31%
FINLAND
Production 3,826 4,358 14% 1,420 1,425 0% 5,246 5,783 10%
Imports 28 22 -21% 33 23 -30% 61 45 -26%
Exports 3,613 4,125 14% 1,252 1,276 2% 4,865 5,401 11%
Consumption 241 255 6% 201 172 -14% 442 427 -3%
FRANCE
Production 1,759 1,611 -8% 259 238 -8% 2,018 1,849 -8%
Imports 1,622 1,820 12% 424 418 -1% 2,046 2,239 9%
Exports 1,238 1,164 -6% 142 135 -5% 1,381 1,299 -6%
Consumption 2,143 2,266 6% 540 522 -3% 2,683 2,788 4%
INDIA
Production 95e 150e 58% 335e 400e 19% 430e 550e 28%
Imports 30e 15e -50% -e -e - 30e 15e -50%
Exports -e 35e - 5e 20e 300% 5e 55e 1000%
Consumption 125e 130e 4% 330e 380e 15% 455e 510e 12%
INDONESIA
Production 453 727e 60% 788 461e -41% 1,241 1,188e -4%
Imports 9 4e -57% 6 3e -52% 15 7e -55%
Exports 307 615e 100% 272 361e 33% 579 975e 68%
Consumption 155 116e -25% 522 104e -80% 677 220e -68%
ISRAEL
Production 6 6 - - - - 6 6 -
Imports 72 81 13% 39 40 3% 111 121 9%
Exports - - - - - - - - -
Consumption 78 87 12% 39 40 3% 117 127 9%
ITALY
Production 1,890 1,907 1% 849 820 -3% 2,739 2,727 -
Imports 779 871e 12% 297 297e - 1,076 1,168e 9%
Exports 837 822e -2% 362 344e -5% 1,199 1,165e -3%
Consumption 1,833 1,956e 7% 784 773e -1% 2,616 2,730e 4%
JAPAN
Production 5,722 5,749 0% 1,732 1,634 -6% 7,454 7,383 -1%
Imports 241 165 -32% 44 65 48% 285 230 -19%
Exports 363 407 12% 135 131 -3% 498 538 8%
Consumption 5,600 5,507 -2% 1,641 1,568 -4% 7,241 7,075 -2%
KOREA
Production 1,170 1,118 -4% 988 1,022 3% 2,158 2,140 -1%
Imports 56 17 -70% 4 2 -50% 60 19 -68%
Exports 599 802 34% 586 674 15% 1,185 1,476 25%
Consumption 660 393 -40% 470 396 -16% 1,130 789 -30%
MEXICO
Production 102 100 -2% 255 307 20% 357 407 14%
Imports 56 54 -4% 55 39 -29% 111 93 -16%
Exports - - - - - - - - -
Consumption 158 154 -3% 284 313 10% 442 467 6%
NETHERLANDS
Production 443 465 5% - - - 443 465 5%
Imports 461 470e 2% - - - 461 470e 2%
Exports 401 420e 5% - - - 401 420e 5%
Consumption 503 515e 2% - - - 503 515e 2%
NORWAY
Production 12e 12e - n.a. n.a. - n.a. n.a. -
Imports 122 122 - 20 26 30% 142 148 4%
Exports 15 17 13% 23 28 22% 38 45 18%
Consumption
PAKISTAN
Production 70 85 22% 22 29 30% 92 114 24%
Imports 4 3 -8% 5 5 -2% 9 8 -5%
Exports - - - - - - - - -
Consumption 73 88 21% 27 34 24% 100 122 21%
ROMANIA
Production - - - - - - - - -
Imports 15 16 7% 11 18 64% 26 34 31%
Exports - - - - - - - - -
Consumption 15 16 7% 11 18 64% 26 34 31%
RUSSIA
Production 8 8 - 21 25 19% 29 33 14%
Imports 37 35 -5% 21 20 -5% 58 55 -5%
Exports 0 0 - 0 0 - 0 0 -
Consumption 45 43 -4% 42 45 7% 87 88 1%
SLOVAKIA
Production 11 11 1% 1 0 -100% 12 11 -8%
Imports 33 41 22% 19 22 14% 52 62 19%
Exports 3 3 14% 1 0 -59% 4 4 -2%
Consumption 41 48 17% 19 21 11% 61 70 15%
SLOVENIA
Production 92 111 21% 127 114 -10% 219 225 3%
Imports 12 13e 8% 8 8e - 20 21e 5%
Exports 66 71 8% 100 90 -10% 166 161 -3%
Consumption 38 53 39% 35 32 -9% 73 85 16%
SPAIN
Production 401 457 14% 425 442 4% 826 899 9%
Imports 1,127 1,216 8% 101 107 6% 1,228 1,323 8%
Exports 327 392 20% 224 226 1% 551 618 12%
Consumption 1,201 1,281 7% 302 323 7% 1,503 1,604 7%
SWEDEN
Production 1,004 1,010 1% 740 779 5% 1,744 1,789 3%
Imports 83 96 16% 24 26 8% 107 122 14%
Exports 854 814 -5% 679 664 -2% 1,533 1,478 -4%
Consumption 236 243 3% 90 94 4% 326 337 3%
SWITZERLAND
Production 260 260 - 115 113 -2% 375 373 -1%
Imports 319 326 2% 68 76 12% 387 402 4%
Exports 222 223 1% 80 74 -7% 302 297 -2%
Consumption 357 362 1% 103 115 12% 460 477 4%
TAIWAN
Production 322 322 - 668 661 -1% 990 983 -1%
Imports 66 65 -2% 17 27 59% 83 92 11%
Exports 53 64 21% 300 256 -15% 353 320 -9%
Consumption 335 323 -4% 385 432 12% 720 755 5%
UK
Production 718 740 3% 275 270 -2% 994 1,010 2%
Imports 1,672 1,765 6% 524 580 11% 2,197 2,345 7%
Exports 246 245 0% 100 90 -10% 346 335 -3%
Consumption 2,145 2,261 5% 700 759 9% 2,844 3,020 6%
VIETNAM
Production 2 2 -13% - - - 2 2 -13%
Imports 16 18 12% 0 0 33% 16 18 13%
Exports - - - - - - - - -
Consumption 18 20 9% 0 0 33% 18 20 9%
Source: CMPC

Pulp&Paper International May 1999
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