World Paper Packaging Materials Markets

World Paper Packaging Materials Markets

This report analyzes the worldwide markets for Paper Packaging Materials in Thousands of Metric Tons. The specific product segments analyzed are Containerboard, Cartonboard, Packaging & Wrapping Papers, and Other Paperboard. The report provides separate comprehensive analytics for the US, Canada, Japan, Europe, Asia-Pacific, Latin America, and Rest of World. Annual forecasts are provided for each region for the period of 2001 through 2015. A ten-year historic analysis is also provided for these markets with annual market analytics. The report profiles 433 companies including many key and niche players worldwide such as DS Smith PLC, Georgia-Pacific Corporation, Holmen AB, International Paper Company, MeadWestvaco Corp., M-Real Oyj, Mayr-Melnhof Group, Oji Paper Co., Ltd., Smurfit Kappa Group plc, Smurfit-Stone Container Corp., Stora Enso Oyj, Svenska Cellulosa Aktiebolaget, UPM-Kymmene Corporation, Weyerhaeuser Company, and Competitive Positiion. Market data and analytics are derived from primary and secondary research. Company profiles are mostly extracted from URL research and reported select online sources.

CONTENTS


I. INTRODUCTION, METHODOLOGY & PRODUCT DEFINITIONS

Study Reliability and Reporting Limitations I-1
Disclaimers I-2
Data Interpretation & Reporting Level I-2
Quantitative Techniques & Analytics I-3
Product Definitions and Scope of Study I-3
Containerboard I-3
Cartonboard I-4
Packaging & Wrapping Papers I-4
Other Paperboards I-4
Corrugated Board I-4


II. EXECUTIVE SUMMARY

1. Market Overview II-1
Table 1: World Market for Paper Packaging Materials (2004):
Percentage Breakdown by Product Segment for Containerboard,
Cartonboard, Packaging & Wrapping Papers and Other Paperboard
(includes corresponding Graph/Chart) II-2
The US – Largest Market Worldwide II-2
Market in Recent Past II-2
Emerging Markets - Asia-Pacific & Latin America II-2
China: An Important Manufacturing Hub II-3
Not All that Smooth Sail for Paper Packaging II-3
Growth Minimal in Folding Carton and Corrugated Containers II-3
Growth Drivers for Packaging Market II-4

2. An Overview of Major Segments II-5
Containerboard II-5
Production Capacity II-5
Smurfit-Stone – World’s Largest Producer of Containerboard II-6
Table 2: Containerboard Market Worldwide (2004)- Leading
Producers by Capacity for Smurfit-Stone, Weyerhaeuser, Int'l
Paper, Georgia-Pacific, Temple-Inland, Pckg.Corp.of Amer,
Longview Fibre, Domtar–NA, Sonoco Products, and Rock-Tenn
(Capacity in thousand tons) (includes corresponding
Graph/Chart) II-6
Production Scenario II-6
Table 3: World Market for Containerboard by Geographic
Region/Country (1991-2004)- US, Canada, Japan, Europe, Asia
Pacific, Latin America and Rest of World Markets
Independently Analyzed with Annual Production Figures in
‘000 Metric Tons. (includes corresponding Graph/Chart) II-7
Cartonboard II-7
Folding Cartons – Major Application for Cartonboard Grades II-8
Table 4: World Market for Cartonboard (2004E): Percentage
Breakdown of Production by Grades for General
triplex/White-lined chipboard, Folding Boxboard, Solid
Bleached Board, Coated Unbleached Kraft, and Others
(includes corresponding Graph/Chart) II-8
Folding Boxboard: Key Applications II-8
Bleached Board II-9
Solid Bleached Sulfate: Reflecting Quality II-9
Liquid Packaging Board: Market Overview II-9
Table 5: World Market for Liquid Packaging Board (2004):
Percentage Share Breakdown for Western Europe, North
America, Asia, South America, and Eastern Europe (includes
corresponding Graph/Chart) II-9
Developments in Recycled Cartonboard II-9
Market Analytics II-9
Corrugated Board II-10
Benefiting from Increased World Trade II-10
Economic Development and Corrugated Board Consumption: High
Correlation II-10
Table 6: World Market for Corrugated Board (2004): Per
Capita Consumption for US, Japan, Western Europe, Oceania,
Latin America, Rest of Asia, and Eastern Europe in Kg
(includes corresponding Graph/Chart) II-10
High Level of Vertical Integration II-11
Corrugated Board: Heavy Duty Applications II-11
Production Trends II-11
Problems Faced by Recycling Mills II-11
Market Dynamics II-11
Table 7: World Recent Past, Current & Future Analysis for
Corrugated Board by Geographic Region/Country – US, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets Independently Analyzed with Annual
Shipment Figures in Million Square Meters for Years 2001
through 2010 (includes corresponding Graph/Chart) II-12

Table 8: World Historic Review for Corrugated Board by
Geographic Region/Country – US, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Shipment
Figures in Million Square Meters for Years 1991 through 2000
(includes corresponding Graph/Chart) II-13

Table 9: World 20-Year Perspective for Corrugated Board by
Geographic Region/Country – Percentage Breakdown of Unit
Shipments for US, Canada, Japan, Europe, Asia-Pacific
(excluding Japan), Latin America and Rest of World Markets
for Years 1991, 1995, 2005 & 2010 (includes corresponding
Graph/Chart) II-14

3. Trends & Issues II-15
E-Commerce Drives Market for Paper Packaging II-15
Growing Environmental Concerns – A Boon for Paper Packaging
Materials II-15
Opportunities Exist for Paper Based Packaging II-15
Technological Changes Boost Carton Packaging II-15
Miniflute Vs. Folding Cartons II-16
Intensifying Inter-Segment Competition in Boxboards II-16
Growing Pressures & Prominent Strategies II-16

4. A Glance at Paper Industry in the Recent Past II-18
Table 10: World Market for Paper & Board (2003-2005E):
Production Estimates by Region for US, Canada, Japan, Europe,
Asia Pacific, Latin America and Rest of World (In Million
Tons) (includes corresponding Graph/Chart) II-18
US – Largest Paper Market II-19
Table 11: World Market for Paper & Board (2003-2005E):
Consumption Estimates of Leading Markets for US, China,
Japan, Germany, UK, France, Italy, Canada, South Korea, and
Brazil in Million Tons (includes corresponding Graph/Chart) II-19

Table 12: World Market for Paper & Board (2004E): Per Capita
Consumption of Leading Markets for US, Sweden, Finland,
Canada, Japan, Germany, UK, Italy, France, South Korea,
Brazil, China, Russia, and Indonesia in Kg. (includes
corresponding Graph/Chart) II-20
Paper Industry Facing Tough Time II-20

5. Recovered Paper - An Overview II-21
US – Largest Consumer of Recovered Paper II-21
Table 13: World Market for Recovered Paper (2003-2004):
Consumption Estimates of Select Countries- US, China, Japan,
Germany, South Korea, France, Italy, Canada, UK, Spain,
Taiwan, Mexico, Brazil and the Netherlands in Million Tons
(includes corresponding Graph/Chart) II-21
Low Share of Recovered Paper in Asia II-22
Table 14: World Market for Paper and Board (2004): Percentage
Breakdown of Consumption by Raw Material for Wood Pulp,
Non-Wood Pulp, Non-Fibrous Materials and Recovered Paper for
Asia Pacific, North America, Europe and Latin America (In %)
(includes corresponding Graph/Chart) II-22

6. A Glance at Packaging Market II-23
Table 15: World Market for Packaging (2004 E): Percentage
Breakdown by Raw Material for Plastics, Paper, Metal and Glass
(includes corresponding Graph/Chart) II-23
Market Overview II-24
What the Future Holds II-24
Packaging Consumption vs. Wealth of Nations II-25
Environmental Benefits of Packaging II-25
Choosing the Right Material II-25
Change: An Inevitable Phenomenon II-25
New & Stringent Rules for Packaging Industry II-26

7. Product Overview II-27
Paper II-27
Paperboard II-27
The Key Consumable II-27
The Origin II-27
History II-27
Materials & Processes in Ancient Times II-28
Sizing II-28
Machinery II-28
Paper & Paperboard Materials Market: Highly Dynamic II-28
Types of Paper & Paperboard II-28
Packaging Paper II-29
Wrapping Paper II-29
Virgin Vs. Recycled Fiber II-29
Forms of Paperboard II-29
Containerboard II-30
Cartonboard II-30
Corrugated Board II-31
Other Paperboards II-31
Papermaking Process II-31
Raw Materials II-31
Fiber II-31
Wood II-31
Rags II-32
Wastepaper and Paperboard II-32
Natural Fibers (excluding wood) II-32
Features Determining Types & Grades of Paper II-33

8. Technological Developments II-34
New Expiry Detection Technology from University of California II-34
Corrugated Board-making Revolutionized II-34
Developments in Linerboard Technology II-34
Raw Materials Profile Undergoing a Dramatic Change II-34

9. Recent Industry Activity II-35
Holmen Invests MESK 434 in Paper Mill II-35
SIG Increases Production to Meet Demand II-35
Zeus Takes Over Coogan & Watts and Fillmore II-35
Georgia-Pacific Acquires Wood Product Facilities of
International Paper II-35
Finch Paper Holdings Acquires Paper Business of Finch, Pruyn & Co II-36
International Paper Completes Acquisition of Compagnie Marocaine II-36
Thai Containers Acquires Sime Darby’s Operations in Malaysia
and Singapore II-36
CapMan Acquires EU Approved Walki Wisa of UPM-Kymmene II-36
Knight Packaging Acquires H.J. Jones II-37
Mondi Packaging Acquires Two European Companies II-37
Weyerhaeuser Announces Merger Approval by Domtar Security Holders II-37
Dragon International Secures US$2.3 Million Contract for Food
Packaging II-37
Stora Enso Invests for Construction of Hungarian Packaging
Facility II-38
Graphic Packaging Announces Merger with Altivity Packaging II-38
Kadant Subsidiary Receives Supply Order II-38
Stora Expands Corrugated Packaging Operations in Russia and
Europe II-38
Tokai and Tokushu Forms a Holding Company II-39
Vina Kraft and Rengo Form JV to Build Packaging Paper Plant II-39
Framondi NV Divests 5.34% Stake in Mondi Packaging II-39
M-real Divests Carton Plant in Hungary II-39
Parksons Forges an Alliance with CD Cartondruk II-40
Tesco Forms an Alliance with Tetra Pak for Carton Recycling II-40
JK Paper Establishes a Coated Paperboard Plant II-40
International Paper Divests Kraft Papers Business II-40
SCA Divests US Packaging Operations II-40
Oji Paper Invests in New Off Machine Coater for Thermal Paper
in Thailand II-40
M-real Divests Map Merchant Group II-41
SCA Establishes New Corrugated Board Unit in France II-41
MeadWestvaco Closes Two Consumer Packaging Units II-41
xpedx Enters into Global Sales and Service Alliance with Antalis II-41
Mayr Melnhof Forms an Alliance with A.XOURIA II-42
Quality Associates and Smurfit Agree to Form a Joint Venture II-42
Stora Enso Raises Quality of Board Manufacturing II-42
Klabin Enters Contract with Voith Paper for Board Production Line II-42
San-Mic Shoji Enters Merger with Komine Nissho II-43
PaperCo Expands into Packaging Material II-43
Kadant Bags Prestigious Contract II-43
Hart Group Acquires SIG Holding AG II-43
Supremex Income Fund Acquires Supremex Inc II-43
Lyme Acquires Forestland from International Paper II-43
Paperlinx Acquires 1st Class II-44
Cascades Acquires Domtar’s Share in Norampac II-44
Four M Holdings Takes Over LINPAC II-44
Thilmany LLC Acquires Packaging Dynamics Corp II-44
Sonoco Alcore SARL Acquires Demolli Industria Cartaria SARL II-44
Stora Enso Takes Over Vinson Empreendimentos from
International Paper II-44
Dragon International Acquires Controlling Stake in Shanghai
Jinkui II-45
JSC Segezha Pulp and Paper Mill Acquires Korsnäs Packaging II-45
Korsnäs Packaging AB Acquires Majority Stake in Sacchificio
Tordera II-45
Cascades Acquires Simkins’ Paperboard Operations II-45
Palm Beach Capital Acquires Atlas Paper Mills II-45
Sonoco Acquires Assets and Business of Cin-Made Packaging Group II-46
Sonoco Acquires European Joint Venture Stake from Ahlstrom
Corporation II-46
Ivex Acquires Valley View Business from Weyerhaeuser II-46
Bunzl Takes Over Master Craft II-46
Georgia-Pacific Corp Acquires Insulair II-46
SCA Packaging Completes Acquisition of Cool Logistics Ltd II-47
MWV Acquires Calmar II-47
Dutch Mondi Packaging Acquires Bulgarian Paper Mill II-47
Texas Pacific Completes the Acquisition of Field Container II-47
Newark Group Takes Over Krönig Papierherstellungsgesellschaft II-47
Norwest Equity Partners Takes Over Duni II-47
Texas Pacific Group Completes Acquisition of Smurfit-Stone
Container Corp II-48
International Paper Divests Pine Bluff Paper Mill and Other
Businesses II-48
ITC Invests in Greenfield Plant in Uttaranchal and for
Upgrades in Chennai II-48
Kadant Bags Supply Order for Stock-Preparation System II-48
ITC Expansion Adds Substantial Value in Specialty Papers and
Paperboards II-49
Sonoco Divests Folding Cartons Business II-49
International Paper Forms a Joint Venture with Sun Paper Industry II-49
DRGG Bags Business Order Worth US$3 Million II-49
Hansol Paper Signs Packaging Deal with KELLOGG CO. II-49
Cascades and Reno De Medici Sign Definitive Merger Agreement II-50
Field Container Merges with Altivity II-50
JK Paper Doubles Capacity II-50
Nampak Expands Current Business Operations II-50
SIG Signs Supply Contract with Vitana II-50
Oji Paper Receives Nod of Approval for a Joint Venture Paper
Project II-51
Mayr-Melnhof Signs JV Agreement with TEC S.A. II-51
DS Smith Shuts Down Sudbrook Mill II-51
DS Smith Shuts down Taplow Mill II-51
Stora Enso Refurbishes PM 12 II-52
Stora Enso Establishes Corrugated Packaging Facility II-52
Stora Enso Enters into Joint Venture with Shandong Huatai Paper II-52
International Paper Divests Corrugated Packaging Businesses II-52
Kappa Group Divests Eight Facilities II-53
UPM to Modernize Jamsankoski Mill Located in Finland II-53
Jefferson Smurfit Merges with Kappa Packaging. II-53
International Paper Purchases Stake in CMCP II-53
Ampac Packaging LLC Purchases Flexicon In II-53
Bemis Co Inc Acquires Dixie Toga II-54
Carter Holt Harvey Acquires Wadepack II-54
West Fraser Timber Acquires Weldwood From International Paper II-54
MeadWestvaco Corp. Divests Paper Unit II-54
DRGG Purchases Majority Stake in Hangzhou Yongixn Paper
Company, Ltd II-54
DS Smith Acquires Timmermans II-54
Cascades Acquires Fraser Papers’ Paperboard Assets II-55
Norampac Acquires SPB Canada’s Corrugated Products Conversion
Facilities II-55
Korsnaes Acquires Froevi II-55
International Paper Acquires Majority Stake in CMCP II-55
Mayr-Melnhof Packaging Acquires Majority Stake in Russian
Packaging Company II-56
MeadWestvaco Corporation Acquires Design Group II-56
Koch Industries Acquires Georgia-Pacific Corp II-56
Chesapeake Builds Paperboard Packaging Factory in Kunshan II-56
Caraustar Divests Container & Carton Facility to Green Bay II-57
Stora Enso and Foshan Huaxin Sign JV Agreement II-57
Smurfit Kappa Group Merges Kappa Packaging and Jefferson
Smurfit Group II-57
Weyerhaeuser Company Divests Paper Bag, Packaging and
Containerboard Units II-57
Beijing Packaging & Decorating Co Ltd. Purchases Beijing Rengo
Printing Paper Packaging Co Ltd II-58
San Miguel Corp Purchases Guolene Packaging & Printing Sdn Bhd II-58
Teckwah Value Chain Pte Ltd Purchases Wuxi Teckwah Printing &
Packaging Co Ltd II-58
New Toyo International Holdings Ltd Purchases Tien Wah
Holdings (1990) Sdn Bhd II-58
Ramatex Bhd Purchases Greenpaper Products Sdn Bhd II-58
Wisdom Venture Holdings Ltd Purchases Union Petro- Chemicals
(BVI) Co Ltd. II-58
Good Partner Trading Ltd Purchases Capital Nation Investments Ltd II-59
International Paper Takes Over Box USA Holdings Inc II-59
Norampac Inc Purchases Johnson Corrugated Products Corp. II-59
Tokan Packaging Merges with Nichiita Package Industry II-59
Stora Enso Purchases Major Stake in Intercell II-59
Ampac Packaging Purchases Bag Business of Longview Fibre Company II-59
Rock-Tenn Company Takes Over Menasha Packaging Company II-59
SCA Purchases Busto & Tema II-60
MeadWestvaco Purchases Aries Packaging II-60
Mayr-Melnhof Takes Over Alcan Packaging’s Carton Business II-60
Packaging Dynamics Corp. Buys Papercon Inc II-60
Mondi Restructures Businesses II-60

10. Industry Activity in Recent Past II-61
Kohsoku Corp Purchases Seiwa Co Ltd II-61
Scientex Packaging Corp Bhd Purchases Scientex Packaging Film
Sdn Bhd II-61
Scientex Packaging Corp Bhd Purchases Scientex Resources
Shanghai Co Ltd II-61
Riverwood Holding Inc. Merges with Graphic Packaging
International Corp II-61
Jefferson Smurfit Acquires European Packaging Assets of
Smurfit Stone II-61
Kappa Acquires Orkopak II-62
SCA Purchases Two Packaging Companies in the US II-62
Siam Cement Acquires Thai Cane Paper II-62
UPM-Kymmene Divests Bulk Container Business II-62
SCA Establishes Two New Business Groups II-62
Burrows Paper Announces Construction of New Corrugated
Packaging Unit II-62
Weyerhaeuser Acquires Willamette Industries II-62
Madison Dearborn Partners Acquires Jefferson Smurfit Group II-63
Mead Corp. Merges with Westvaco to Form MeadWestvaco II-63
Smurfit-Stone Acquires Stevenson II-63
Pinnacle Packaging Acquires Folding Carton Plant of
International Paper II-63
SCA Acquires V&D Stabernack II-63
DS Smith Acquires Zewathener II-63
Caraustar Acquires Industrial Packaging Business of Smurfit Stone II-63
SCA Acquires Bertako & Packaging Resources II-64
Mayr-Melnhof Acquires Graphia-Gruppe II-64
MeadWestvaco Acquires Kartoncraft II-64
Inland Acquires MPG II-64
Jet Age Acquires Corfab II-64
Brodrene Acquires Cascades II-64
Stenqvist Acquires Unibag II-65
Caraustar Industries Acquires Design Tubes II-65
Mayr-Melnhof Acquires Nikopol II-65
Sonoco Buys Core/Tube Business from Smurfit UK II-65
SCA Acquires AR Fegersheim II-65
Korsnas Acquires Paper Sack Operations of Niedermayr
Papierwarenfabrik II-65
SCA Packaging Acquires Akerlund & Rausing Carton II-65
Willamette Acquires Cardboard Box Unit of Fomento Economico
Mexicano II-65
Manchester Industries Buys Assets from Two Paper Products
Companies II-66
Mondi Packaging Purchases Packaging and Paper Assets of Danisco II-66
Norampac Signs Agreement to Acquire Star Corrugated Box II-66
Smurfit Stone Merges Business Units II-66
Georgia Pacific to Split into Two Public Companies II-66
Subsidiaries of Cascades Change their Names II-66
MeadWestvaco and EastPrint Establish a New Company II-66
Sound Container and Seattle Packaging Form Alliance Packaging II-67
Visy Constructs a New Corrugated Plant II-67
Continental Management Establishes Tarnyj Kholding II-67
Mayr Melnhof Builds a Packaging Cardboard Plant in Russia II-67
Southern Container and Two Individuals Buy Pohlig Bros. II-67
Weyerhaeuser Upgrades Cardboard Recycling Plant II-67
Stora Enso Establishes Second Corrugated Cardboard Plant II-67
W Hamburger Constructs Corrugated Board Facility II-67
Trinity Starts Second Large Distribution Center II-68
Field Group Establishes Folding Box Production Facility II-68
Stora Enso Make Investments in Germany & Russia II-68
MidCorr Packaging Expands its Smilax Road Plant II-68
Kertas Kraft Extends its Capacity II-68
Southern Container Constructs a New Corrugated Facility II-68
Krasnoyarsk Commences Production of Corrugated Cardboard II-68
Metso and Ning Shing in Agreement II-68
Metso and Dong Guan Signs an Agreement II-69
Temple-Inland Shifts Paper & Packaging Division II-69
UPM-Kymmene Divests Two Businesses II-69
Stora Enso Sells 30% Stake in Billerud II-69
Finnish Govt. Divests 2% Stake in Stora Enso II-69
FLS Divests Dansk Traeemballage A/S II-69
Kappa Acquires Corrugated Packaging Business of AssiDoman II-69
Temple-Inland Acquires Gaylord II-70
TVB Buys Incaplas II-70
PC Sells Corrugated Business to Palm II-70
Box Carton Buys Assets of Swan Fields Packaging II-70
CMPC Buys Inland Chile Ltd II-70
Metsä-Serla Changes its Name II-70
IPP Signs a Supply Deal with Dow Chemical II-70
Smurfit-Stone Buys Corporacion Durango II-70
IPP Acquires Chesapeake’s Corrugated Containers Businesses II-71
IPP Acquires Elgin Corrugated Box II-71
IPP and CHH Jointly Buy Stake of PMPG II-71
Smurfit Carton Buys Venepal II-71
Jefferson Smurfit Acquires Nettingsdorfer II-71
Caraustar Purchases Crane Carton II-71
International Paper Acquires Shorewood Packaging II-71
International Paper Buys Ace Packaging II-72
Halifax Acquires National Packaging Solutions II-72
SCA Acquires Komsomolets of Russia II-72
Newark Buys Fibor Packaging II-72
D.S. Smith Acquires Packaging Systems II-72

11. Product Introductions/Innovations II-73
Stora Enso Introduces DIY Digital Service II-73
New Packaging from Sonoco Enters Market II-73
Tullis Russell Increases Product Range II-73
Bioactive Paper Packaging Enters Market II-73
Amol Paper Introduces Maxboard II-74
Boise Launches New C1S Papers for Flexible Packaging II-74
Nola Releases Ouma Rusk Carton II-74
TetraPak Delivers New Tetra Gemina Aseptic Packaging Line II-74
Nampak Cartons & Labels Launches New Multi-Pack Hexagonal Carton II-75
Stora Enso Introduces EcoSet Label Paper II-75
Stora Enso Rolls Out LumiLabel G Premium Wrapper II-75
AGI/Klearfold Launches NatureSource™ Visual Packaging II-76
Linx Printing Introduces Food Packaging Ink II-76
Kappa Packaging Launches Modified Atmosphere (MA) Fish Box II-76

12. Product Introductions/Innovations in Recent Past II-77
International Paper Introduces Everest Folding Carton Board II-77
Boxes Prestige Develops Carton for Fragrance Freya II-77
Caraustar Mill Launches New Recycled Paperboard Product II-77
International Paper Offers Moisture Vapor Protection Containers II-77
Shorewood Introduces X-Treme Packaging II-77
International Paper Introduces Ultra BriteTop™ II-77
Packaging Unlimited Launches SureStacker™ Corrugated Pallet II-77
Smurfit-Stone Launches Resealable Closure System II-78
International Paper Launches Everest® Seal-Pak II-78
Abbey Corrugated Offers Fine-ArtFlute II-78
MeadWestvaco Introduces Crescendo in Europe II-78
IBC-Shell Packaging Develops New Packaging II-78
New Recyclable Corrugated Box from Tecnicarton II-78
Westvaco Rolls Out Forte Board II-79
Stora Enso Introduces New Boards II-79
Nippon Introduces Elastic Paper for Packaging II-79

13. Focus on Select Players II-80
DS Smith PLC (UK) II-80
Georgia-Pacific Corporation (USA) II-80
Holmen AB (Sweden) II-80
International Paper Company (USA) II-81
MeadWestvaco Corp. (USA) II-81
Competitive Position II-82
M-Real Oyj (Finland) II-82
Mayr-Melnhof Group (Austria) II-82
Oji Paper Co., Ltd. (Japan) II-82
Smurfit Kappa Group plc (Ireland) II-83
Smurfit-Stone Container Corp. (USA) II-83
Stora Enso Oyj (Finland) II-84
Svenska Cellulosa Aktiebolaget (SCA) (Sweden) II-84
A Glance at Business Operations II-85
UPM-Kymmene Corporation (Finland) II-85
Weyerhaeuser Company (USA) II-85
Competitive Position II-86

14. Global Market Perspective II-87
Table 16: World Recent Past, Current & Future Analysis for
Paper Packaging Materials by Geographic Region/Country – US,
Canada, Japan, Europe, Asia-Pacific (excluding Japan), Latin
America and Rest of World Markets Independently Analyzed with
Annual Consumption Figures in ‘000 Metric Tons for Years 2001
through 2010 (includes corresponding Graph/Chart) II-87

Table 17: World Long-Term Projections for Paper Packaging
Materials by Geographic Region/Country – US, Canada, Japan,
Europe, Asia-Pacific (excluding Japan), Latin America and Rest
of World Independently Analyzed by Annual Consumption in ‘000
Metric Tons for the Years 2011 through 2015 (includes
corresponding Graphs/Chart) II-88

Table 18: World Historic Review for Paper Packaging Materials
by Geographic Region/Country – US, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Consumption
Figures in ‘000 Metric Tons for Years 1991 through 2000
(includes corresponding Graph/Chart) II-89

Table 19: World 20-Year Perspective for Paper Packaging
Materials by Geographic Region/Country – Percentage Breakdown
of Unit Consumption for US, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets for Years 1991, 1997, 2007 & 2010 (includes
corresponding Graph/Chart) II-90

Table 20: World Recent Past, Current & Future Analysis for
Containerboard by Geographic Region/Country – US, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets Independently Analyzed with Annual
Consumption Figures in ‘000 Metric Tons for Years 2001 through
2010 (includes corresponding Graph/Chart) II-91

Table 21: World Long-Term Projections for Containerboard by
Geographic Region/Country – US, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Independently Analyzed by Annual Consumption in ‘000
Metric Tons for the Years 2011 through 2015 (includes
corresponding Graphs/Chart) II-92

Table 22: World Historic Review for Containerboard by
Geographic Region/Country – US, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Consumption
Figures in ‘000 Metric Tons for Years 1991 through 2000
(includes corresponding Graph/Chart) II-93

Table 23: World 20-Year Perspective for Containerboard by
Geographic Region/Country – Percentage Breakdown of Unit
Consumption for US, Canada, Japan, Europe, Asia-Pacific
(excluding Japan), Latin America and Rest of World Markets for
Years 1991, 1997, 2007 & 2010 (includes corresponding
Graph/Chart) II-94

Table 24: World Recent Past, Current & Future Analysis for
Cartonboard by Geographic Region/Country – US, Canada, Japan,
Europe, Asia-Pacific (excluding Japan), Latin America and Rest
of World Markets Independently Analyzed with Annual
Consumption Figures in ‘000 Metric Tons for Years 2001 through
2010 (includes corresponding Graph/Chart) II-95

Table 25: World Long-Term Projections for Cartonboard by
Geographic Region/Country – US, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Independently Analyzed by Annual Consumption in ‘000
Metric Tons for the Years 2011 through 2015 (includes
corresponding Graphs/Chart) II-96

Table 26: World Historic Review for Cartonboard by Geographic
Region/Country – US, Canada, Japan, Europe, Asia-Pacific
(excluding Japan), Latin America and Rest of World Markets
Independently Analyzed with Annual Consumption Figures in ‘000
Metric Tons for Years 1991 through 2000 (includes
corresponding Graph/Chart) II-97

Table 27: World 20-Year Perspective for Cartonboard by
Geographic Region/Country – Percentage Breakdown of Unit
Consumption for US, Canada, Japan, Europe, Asia-Pacific
(excluding Japan), Latin America and Rest of World Markets for
Years 1991, 1997, 2007 & 2010 (includes corresponding
Graph/Chart) II-98

Table 28: World Recent Past, Current & Future Analysis for
Packaging & Wrapping Papers by Geographic Region/Country – US,
Canada, Japan, Europe, Asia- Pacific (excluding Japan), Latin
America and Rest of World Markets Independently Analyzed with
Annual Consumption Figures in ‘000 Metric Tons for Years 2001
through 2010 (includes corresponding Graph/Chart) II-99

Table 29: World Long-Term Projections for Packaging & Wrapping
Papers by Geographic Region/Country – US, Canada, Japan,
Europe, Asia-Pacific (excluding Japan), Latin America and Rest
of World Independently Analyzed by Annual Consumption in ‘000
Metric Tons for the Years 2011 through 2015 (includes
corresponding Graphs/Chart) II-100

Table 30: World Historic Review for Packaging & Wrapping
Papers by Geographic Region/Country – US, Canada, Japan,
Europe, Asia-Pacific (excluding Japan), Latin America and Rest
of World Markets Independently Analyzed with Annual
Consumption Figures in ‘000 Metric Tons for Years 1991 through
2000 Includes corresponding Graph/Chart) II-101

Table 31: World 20-Year Perspective for Packaging & Wrapping
Papers by Geographic Region/Country – Percentage Breakdown of
Unit Consumption for US, Canada, Japan, Europe, Asia-Pacific
(excluding Japan), Latin America and Rest of World Markets for
Years 1991, 1997, 2007 & 2010 (includes corresponding
Graph/Chart) II-102

Table 32: World Recent Past, Current & Future Analysis for
Other Paper Packaging Materials by Geographic Region/Country –
US, Canada, Japan, Europe, Asia-Pacific (excluding Japan),
Latin America and Rest of World Markets Independently Analyzed
with Annual Consumption Figures in ‘000 Metric Tons for Years
2001 through 2010 (includes corresponding Graph/Chart) II-103

Table 33: World Long-Term Projections for Other Paper
Packaging Materials by Geographic Region/Country – US, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Independently Analyzed by Annual Consumption
in ‘000 Metric Tons for the Years 2011 through 2015 (includes
corresponding Graphs/Chart) II-104

Table 34: World Historic Review for Other Paper Packaging
Materials by Geographic Region/Country – US, Canada, Japan,
Europe, Asia-Pacific (excluding Japan), Latin America and Rest
of World Markets Independently Analyzed with Annual
Consumption Figures in ‘000 Metric Tons for Years 1991 through
2000 (includes corresponding Graph/Chart) II-105

Table 35: World 20-Year Perspective for Other Paper Packaging
Materials by Geographic Region/Country – Percentage Breakdown
of Unit Consumption for US, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets for Years 1991, 1997, 2007 & 2010 (includes
corresponding Graph/Chart) II-106


III. MARKET

1. The United States III-1
A.Market Analysis III-1
Table 36: US Market for Paper Packaging Materials (2007):
Percentage Breakdown of Consumption by Product Segment for
Containerboard, Cartonboard, Packaging & Wrapping Papers,
and Other Paperboard (includes corresponding Graphs/Chart) III-1
Market Trends III-2
US Paper Packaging Market to Experience High Growth III-2
Rigid and Flexible Packaging Rise in Popularity III-2
Growing Foodservice Market Drives Sales III-2
Growth Impulses of Paper Packaging Industry III-2
Paper Packaging is Here to Stay III-3
Pricing Trends III-3
Out-of-the-Box Strategies for Growth III-3
Market Overview III-4
Marketing and Distribution III-4
Cyclical Nature of the Industry III-4
Regulatory Environment III-4
Factors Affecting the Demand III-5
Impact of Durable and Non-Durable Products on Packaging Market III-5
Paper Dominates Food Packaging Applications III-5
Table 37: US Market for Food Packaging (2006): Percentage
Breakdown by Material for Paper, Metal, Plastics and Glass
(includes corresponding Graphs/Chart) III-5
Food Packaging: Major End-Use Market for Corrugated Packaging III-6
Table 38: US Market for Corrugated Packaging (2006):
Percentage Breakdown for End-Use Market for Food & Related
Products, Paper & Allied Products, Industrial Packaging,
Toys & Sporting Goods, Furniture & Fixtures, Apparel, &
Other Factory Products, Lumber & Wood Products (Except
Furniture), Transportation Equipment and Others (includes
corresponding Graphs/Chart) III-6
Recycling Remains High Despite Drop in Consumption III-6
Table 39: Recovered Paper Utilization as a Percentage of
Total Paper Production for 1995- 2005 (includes
corresponding Graphs/Chart) III-7

Table 40: US Market for Recovered Paper in 2006:
Percentage Breakdown Consumption by Segment for
Containerboard, Paperboard, Newspaper, Tissue, Printing &
Writing Paper, Specialty Paper, Other Non-Paper
Applications and Exports (includes corresponding
Graphs/Chart) III-7

Table 41: Paper Production in North America (2004):
Percentage Breakdown by Raw Materials for Wood Pulp,
Non-Wood Pulp, Non-Fibrous (includes corresponding
Graphs/Chart) III-8
Market Overview - Corrugated Containers III-8
Competitive Scenario III-8
Manufacturers Lookout for Higher Profit Margin III-9
Corrugated Board: Shipments Scenario III-9
Table 42: US Recent Past, Current & Future Analysis for
Corrugated Board- Annual Shipment Figures in Million
Square Meters for Years 2001 through 2010 (includes
corresponding Graphs/Chart) III-9

Table 43: US Historic Review for Corrugated Board- Annual
Shipment Figures in Million Square Meters for Years 1991
through 2000 (includes corresponding Graphs/Chart) III-10
Carton and Rigid Box III-10
Table 44: US Containerboard Market (2000-2006): Annual
Production Capacity Estimates in Thousand Tons (includes
corresponding Graphs/Chart) III-10

Table 45: US Containerboard Market (2000-2006): Annual
Production in Thousand Tons and Percentage Changes
(includes corresponding Graphs/Chart) III-10
Consolidation: Transforming Market Landscape III-11
Changing Landscapes in Containerboard III-11
Transformation from Industrial to Consumer Packaging III-11
Boxboard – An Overview III-11
Competitive Landscape III-12
International Paper – Leading Producer of Bleached Paperboard III-12
Smurfit-Stone Leads the US Containerboard Market III-12
Smurfit-Stone – Leader in Corrugated Packaging III-12
Table 46: US Market for Corrugated Packaging (2006):
Market Share of Leading Players by Volume Sales for
Smurfit-Stone Container Corp., Weyerhaeuser,
Temple-Inland, International Paper, Georgia-Pacific and
Others (includes corresponding Graphs/Chart) III-12
MeadWestvaco Dominates the Cartonboard Market III-13
Table 47: US Market for Cartonboard (2004): Percentage
Breakdown of Production Capacity for MeadWestvaco,
International Paper, Riverwood, Smurfit-Stone Container
Corp., Newark and Others (includes corresponding
Graphs/Chart) III-13
Market in Recent Past III-13
2000: Signs of Downturn III-13
2001: Worst Year for the US Paper Industry III-13
2002: Failed to Show the Expected Recovery III-14
Production Capacity Scenario III-14
Table 48: Capacity Utilization Rate of US Paper and
Paperboard Mills: 1996-2004 (includes corresponding
Graphs/Chart) III-14
Production Capacity/Volume of Different Grades of Paperboard III-14
Linerboard III-14
Corrugating Medium III-15
Bleach Board III-15
Recycled Paperboard III-15
Recycled Folding Boxboard III-15
Capacity Increases at Decelerating Growth Rate in Recent Past III-15
Product Introductions III-16
Strategic Corporate Developments III-17
Strategic Corporate Developments in Recent Past III-24
Key Players III-29
B.Market Analytics III-32
Table 49: US Recent Past, Current & Future Analysis for
Paper Packaging Materials by Product Segment
–Containerboard, Cartonboard, Packaging & Wrapping Paper and
Other Paperboard Markets Independently Analyzed with Annual
Consumption Figures in ‘000 Metric Tons for Years 2001
through 2010 (includes corresponding Graphs/Chart) III-32

Table 50: US Long-Term Projections for Paper Packaging
Materials by Product Segment – Containerboard, Cartonboard,
Packaging & Wrapping Paper and Other Paperboard
Independently Analyzed by Annual Consumption in ‘000 Metric
Tons for the Years 2011 through 2015 (includes corresponding
Graphs/Chart) III-32

Table 51: US Historic Review for Paper Packaging Materials
by Product Segment – Containerboard, Cartonboard, Packaging
& Wrapping Paper and Other Paperboard Markets Independently
Analyzed with Annual Consumption Figures in ‘000 Metric Tons
for Years 1991 through 2000 (includes corresponding
Graphs/Chart) III-33

Table 52: US 20-Year Perspective for Paper Packaging
Materials by Product Segment – Percentage Breakdown of Unit
Consumption for Containerboard, Cartonboard, Packaging &
Wrapping Paper and Other Paperboard Markets for 1991, 1997,
2007 & 2010 (includes corresponding Graphs/Chart) III-33

2. Canada III-34
A.Market Analysis III-34
An Overview of Board and Packaging Paper III-34
Quebec – Major Region for Paper and Board Production III-34
Table 53: Canadian Market for Paper and Board (2004E):
Percentage Breakdown of Production by Province for Quebec,
Ontario, British Colombia, & Others (includes corresponding
Graphs/Chart) III-34
Corrugated Board – Shipments Scenario III-35
Table 54: Canadian Recent Past, Current & Future Analysis
for Corrugated Board- Annual Shipment Figures in Million
Square Meters for Years 2001 through 2010 (includes
corresponding Graphs/Chart) III-35

Table 55: Canadian Historic Review for Corrugated Board-
Annual Shipment Figures in Million Square Meters for Years
1991 through 2000 (includes corresponding Graphs/Chart) III-35
Market in Recent Past III-35
Table 56: An Account of Containerboard Capacity and
Operating Rates in Canada for 1991-2002 (includes
corresponding Graphs/Chart) III-36
Product Introductions III-36
Strategic Corporate Developments III-37
B.Market Analytics III-38
Table 57: Canadian Recent Past, Current & Future Analysis
for Paper Packaging Materials by Product Segment
–Containerboard, Cartonboard, Packaging & Wrapping Paper and
Other Paperboard Markets Independently Analyzed with Annual
Consumption Figures in ‘000 Metric Tons for Years 2001
through 2010 (includes corresponding Graphs/Chart) III-38

Table 58: Canadian Long-Term Projections for Paper Packaging
Materials by Product Segment – Containerboard, Cartonboard,
Packaging & Wrapping Paper and Other Paperboard
Independently Analyzed by Annual Consumption in ‘000 Metric
Tons for the Years 2011 through 2015 (includes corresponding
Graphs/Chart) III-38

Table 59: Canadian Historic Review for Paper Packaging
Materials by Product Segment – Containerboard, Cartonboard,
Packaging & Wrapping Paper and Other Paperboard Markets
Independently Analyzed with Annual Consumption Figures in
‘000 Metric Tons for Years 1991 through 2000 (includes
corresponding Graphs/Chart) III-39

Table 60: Canadian 20-Year Perspective for Paper Packaging
Materials by Product Segment – Percentage Breakdown of Unit
Consumption for Containerboard, Cartonboard, Packaging &
Wrapping Paper and Other Paperboard Markets for 1991, 1997,
2007 & 2010 (includes corresponding Graphs/Chart) III-39

3. Japan III-40
A.Market Analysis III-40
Paper – Major Packaging Material III-40
Table 61: Japanese Market for Packaging in 2006: Percentage
Breakdown by Packaging Material for Paper, Plastics, Metal,
Glass and Wood (includes corresponding Graphs/Chart) III-40
Overview of Paperboard Market III-40
Table 62: Leading Producers in Japanese Core Paperboard
Market (2004)- Percentage Breakdown of Production by
Company for Rengo, Oji Itagami, Fukuyama Seishi, Toyama
Seishi, Okayama Paper Industries, Nippon Daishowa
Paperboard, Tateyama Paper Mill, Kaga Paperboard
Manufacturing, Biwa Seishi, Marusan Paper Mfg., and Others
(includes corresponding Graphs/Chart) III-41
Packaging and Wrapping Papers – Losing Their Ground III-41
Table 63: Japanese Market for Packaging & Wrapping Papers
(2004): Percentage Breakdown of Production by Company for
Oji Paper, Daio Paper, Chuetsu Pulp & Paper, Daishowa Paper
Manufacturing, Tokai Pulp & Paper, Taiko Paper Mfg., Otake
Paper Mfg., and Others (includes corresponding
Graphs/Chart) III-42
Corrugated Board – Shipments Scenario III-42
Table 64: Japanese Recent Past, Current & Future Analysis
for Corrugated Board- Annual Shipment Figures in Million
Square Meters for Years 2001 through 2010 (includes
corresponding Graphs/Chart) III-42

Table 65: Japanese Historic Review for Corrugated Board-
Annual Shipment Figures in Million Square Meters for Years
1991 through 2000 (includes corresponding Graphs/Chart) III-43
Paper Market Overview III-43
Improvements in Performance of Papermaking III-43
Import – Export Scenario III-44
Strategic Corporate Developments III-44
Strategic Corporate Development in Recent Past III-44
Oji Paper Co., Ltd. - A Key Player III-45
B.Market Analytics III-45
Table 66: Japanese Recent Past, Current & Future Analysis
for Paper Packaging Materials by Product Segment
–Containerboard, Cartonboard, Packaging & Wrapping Paper and
Other Paperboard Markets Independently Analyzed with Annual
Consumption Figures in ‘000 Metric Tons for Years 2001
through 2010 (includes corresponding Graphs/Chart) III-45

Table 67: Japanese Long-Term Projections for Paper Packaging
Materials by Product Segment – Containerboard, Cartonboard,
Packaging & Wrapping Paper and Other Paperboard
Independently Analyzed by Annual Consumption in ‘000 Metric
Tons for the Years 2011 through 2015 (includes corresponding
Graphs/Chart) III-46

Table 68: Japanese Historic Review for Paper Packaging
Materials by Product Segment – Containerboard, Cartonboard,
Packaging & Wrapping Paper and Other Paperboard Markets
Independently Analyzed with Annual Consumption Figures in
‘000 Metric Tons for Years 1991 through 2000 (includes
corresponding Graphs/Chart) III-46

Table 69: Japanese 20-Year Perspective for Paper Packaging
Materials by Product Segment – Percentage Breakdown of Unit
Consumption for Containerboard, Cartonboard, Packaging &
Wrapping Paper and Other Paperboard Markets for 1991, 1997,
2007 & 2010 (includes corresponding Graphs/Chart) III-47

4. Europe III-48
A.Market Analysis III-48
Germany – Largest Paper Packaging Materials Market in Europe III-48
Table 70: European Market for Paper Packaging Materials:
Geographic Region/Countries Ranked by CAGR (2000-2010)
(includes corresponding Graphs/Chart) III-48

Table 71: Leading Players in Paperboard Packaging Market in
Europe (2006): Market Share of Mayr Melnhof, MeadWestvaco
and Others(includes corresponding Graphs/Chart) III-48

Table 72: Leading Players in Specialty Paper Packaging
Market in Europe (2006): Market Share of Mayr Melnhof,
MeadWestvaco and Others(includes corresponding
Graphs/Chart) III-49
Strong Market for Containerboard III-49
Table 73: European Containerboard Market (2000- 2006):
Annual Production Capacity and Additional Capacity
Estimates in Thousand Tons (includes corresponding
Graphs/Chart) III-49

Table 74: Containerboard Market in Western Europe
(2000-2006): Annual Production Estimates in Thousand Tons
(includes corresponding Graphs/Chart) III-50

Table 75: Containerboard Market in Western Europe
(2000-2006): Annual Production Capacity in Thousand Tons
(includes corresponding Graphs/Chart) III-50

Table 76: European Market for Packaging (2006): Percentage
Breakdown by Type for Primary Packaging, Transport
Packaging, and Others (includes corresponding Graphs/Chart) III-50

Table 77: European Market for Transport Packaging (2006):
Percentage Breakdown by Material for Corrugated Board,
Plastic, Wood, Solid Board and Others (includes
corresponding Graphs/Chart) III-51
Smurfit Kappa Group Leads the Containerboard Market III-51
Table 78: European Market for Containerboard (2006):
Market Share of Leading Players- Smurfit Kappa Group, SCA,
SAICA, DS Smith, and Others (includes corresponding
Graphs/Chart) III-51