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Global Competitiveness of the Indian Paper Industry

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Global Competitiveness of the Indian Paper Industry
52A00087

Global Competitiveness of the Indian Paper Industry

Prepared for Central Pulp & Paper Research Institute Final Report Draft September 9, 2002

All rights reserved. No part of this report may be reproduced in any form or by any means without permission in writing from Jaakko Pöyry Consulting.

Preface
Vantaa September 9, 2002

Project Number 52A0087

Global Competitiveness of Indian Paper Industry
India has undergone a large process of economic reforms aiming at liberalization and attracting investments. That process, which began already in the early 1990s, continues to have an important impact on the whole economy, including the pulp and paper industry. India will also join World Trade Organisation, which will increase international competition in the Indian market. For this reason the Ministry of Industry and CPPRI (Central Pulp and Paper Research Institute) commissioned Jaakko Pöyry Consulting to carry out a survey on the global competitiveness of the Indian pulp and paper industry. We trust that this report will give a good base for planning the future operations of Indian pulp and paper industry. We thank Ministry of Commerce and Industry, CPPRI and representatives of the Indian pulp and paper industry for the valuable help and good cooperation in this survey. JP Management Consulting (Europe) Oy JP Development Oy

Pekka Niku

Pekka Komulainen

Harri Ahveninen

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Contents

Project Number 52A0087

Page Introduction Executive Summary 1 2 3 4 5 6 Demand Forecast Potential Export Market Fibre Raw Materials Industry Structure Cost Position Information Technology 61 105 116 148 188 224

Annex I Demand Forecasting Methodology Cost Estimation 345 354

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Introduction

Project Number 52A0087

India has undergone a large process of economic reforms aiming at liberalization and attracting investments. That process, which began already in the early 1990s, continues to have an important impact on the whole economy,
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