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Worst is over for paper producers as raw material prices drop

With greater focus by govt on education and uptick in macro economy, paper industry is set to grow at 7% CAGR over next 5 years

Dilip Kumar Jha  |  Mumbai 

Paper mills in India are likely to see a turnaround in the near term, on account of a revival in demand from consumer industries and softening of raw materials prices, including pulp and coal. Thus, the worst is over for paper manufacturers in India. The latest study by Care Ratings shows that credit risk profiles of companies in the printing & writing (P&W) segment and packaging & paperboard segment in India to improve over medium term on the back of increased demand, softening raw material and lower coal prices. As compared to 58 per cent in the financial year 2015, actual cost of ...

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