Clean paper mills make better profits

Writing and printing paper mills have seen a sharp increase in their top and bottom lines over the last six quarters. Seshasayee Paper posted a nearly 10-fold increase in its net profit to Rs 39.54 crore in the March quarter and West Coast Paper posted a two-and-a-half times jump. Profits of International Paper, JK Paper and Tamil Nadu Newsprint also increased, but at a slower pace. Their income is up significantly. A number of small and medium size mills have shut down over the past six quarters due to stringent environmental laws. Mills are required to make large capital investments in clean technology, which the smaller ones could not afford. “Around 20 per cent of India’s writing and printing paper mills have shut down. This has benefited the larger players,” said V Kumaraswamy, chief financial officer, JK Paper. Astrology and Numerology Trading Tips