The volume of pulp production in Russia in January-September 2021 increased by 0.5%, while the production of paper and cardboard jumped by 7% over the same period, according to a recent report of the Russian Federal State Statistics Service (Rosstat).
Last year, the growth of the cardboard market in Russia was ensured by an increased demand for food, essential goods and the development of online commerce due to changes in the structure and patterns of consumption amid the pandemic. In the meantime, the demand for cardboard is also growing this year, being observed in majority of regional markets, especially in The Central Federal District, where the growth in consumption volumes will exceed 30% in value terms and 11% in volume terms.
That creates conditions for a further expansion of cardboard production by some leading domestic producers. One of them is Volga pulp and paper mill which is re-profiling its paper-making machine that has been mothballed for six years and which, after modernization, will be able to produce 140,000 tonnes of cardboard. For these purposes, a soft loan from the Industrial Development Fund (IDF) was provided to the company.
The target audience of the new production is manufacturers of corrugated packaging. By 2024 the overall paper output at the Volga pulp and paper mill will grow by 42%.
By: Eugene Gerden