Dissolving wood pulp into the era of profit-making paper companies set off investment boom

Recently, paper listed companies collectively shake! In addition to benefiting from the appreciation of the ***, there is a more immediate weight advantage - dissolved wood pulp. As the price of cotton soared, the price of pulp wood pulp (dissolved wood pulp), the raw material of cotton substitute viscose staple fiber, was also rising. It was learned that the domestic net profit of dissolving pulp was as high as 4,000 to 5,000 yuan/ton, which has already entered the era of huge profits. Chen Ming Paper, Fujian Nan Paper, Yueyang Paper and other paper listed companies to change the wave of dissolved wood pulp imminent! The cotton mad alternatives are sold in a slight correction in the early stage, and the cotton price is returning to the king! The price of Zheng cotton in the country continued to rise this week. Following Monday's main contract of Zheng cotton, the 1109 contract rose by 6.03%. It rose again by 1.65% on Tuesday and rose slightly again yesterday to close at 33,200 yuan per ton. Point 34,870 yuan / ton launched a new round of shock.

The cotton price has soared. Most textile companies use viscose fiber as a direct substitute for cotton. Wang Li, a researcher at Guodu Securities, believes that the current increase in the use of viscose fibers in China will inevitably increase the demand for viscose fibers. The main raw materials for producing viscose fibers are cotton wool pulp and dissolving wood pulp. In recent years, due to factors such as the reduction of cotton planting area, there has been little increase in cotton wool pulp, so dissolving wood pulp has become the sole source of raw materials for increasing viscose fiber.

As a result, the price of dissolved wood pulp is also rising. On November 8, 2010, the price of imported dissolved wood pulp soared to about US$2,400/ton from US$1600/ton, and the trend of cotton in the same period has started. Now when the price of cotton hits historical highs again, the price of imported dissolved wood pulp has reached 2,600 U.S. dollars per ton. The price of domestic dissolved wood pulp is also about 17,000 to 18,000 yuan per ton.

According to estimates by CITIC Securities, there was a gap of 160,000 to 450,000 tons in pulp supply from 2010 to 2011, and supply and demand were basically stable by 2012. The papermaking company's production process for converting dissolving wood pulp to papermaking chemical wood pulp and dissolving wood pulp is basically similar. The dissolving wood pulp price is high. Under the current domestic quoted price, the net profit of the company is as high as 4000 to 5,000 yuan/ton, which is much higher than that of papermaking wood. With a net profit of 500 to 700 yuan/ton, the high profitability will attract papermakers or convert existing pulp production capacity to dissolving wood pulp.

Among the listed companies, Chenming Paper currently has a dissolving pulp production capacity of 40,000 tons, and Fujian Nanshi Paper has an existing dissolving pulp production capacity of 50,000 tons. In addition, Fujian Nanzhe’s preliminary announcement will establish a subsidiary to produce 96,000 tons of dissolving pulp project. It went into production in 2012; Qingshan Paper also invested in a new dissolving pulp production line with an estimated production capacity of 120,000 tons, which is also expected to be put into operation after 2012. In addition, Yueyang Paper and Sun Paper also have chemical pulp production lines, and the soaring price of dissolving pulp will provide incentives for them to switch production.

The above-mentioned four company executive secretaries all told the "Daily Economic News" reporter that the profit of dissolving wood pulp is considerable. One of Chenming Paper's executive secretaries said that the company's existing capacity of 40,000 tons, while the other two production lines in the transformation, the overall production capacity is still small, so the performance contribution is not obvious. According to a person in charge of the Office of Director of Sun Paper Industry, the company's production line for dissolving wood pulp is not yet on the list, and it is considering converting the existing chemical pulp production line. Qingshan Paper Board of Directors said that the company has been on the dissolving wood pulp production line, the specific capacity inconvenience revealed that if the downstream demand is large, the company will also consider further expansion of production capacity.

Wang Li believes that the domestic cotton planting area has dropped slightly. The contradiction between supply and demand this year is difficult to improve. In the short term, it is difficult for cotton prices to fall sharply. Domestic dissolving pulp is still in a state of supply shortage. The profitability of dissolving wood pulp will be guaranteed in the next two years.