Submitted by Unregistered user (not verified) on March 28, 2008 - 12:34pm.
Dallas, Thank you very much for your attentive reply. I appreciate you clarifying.
However, this still leads to a different conclusion than Tembec suggests. If the price of recycled paper feedstock is rising due to increasing demand, it doesn't mean that migration from newsprint to electronic media is causing increased demand for virgin feedstockfor paper production. Instead this suggests that demand for products made from recycled paper is high enough that many paper mills out there (in China and elsewhere) are switching to produce paper made from recycled feedstock, increasing the competition for and price of the recycled feedstock.
The conclusion I draw from this is that increasing consumer demand for products with post-consumer recycled content is causing more recycling. Some mills such as Tembec may not think that it is important to sell products with recycled content, but their competitors clearly do!
Still Doesn't Compute
Dallas, Thank you very much for your attentive reply. I appreciate you clarifying.
However, this still leads to a different conclusion than Tembec suggests. If the price of recycled paper feedstock is rising due to increasing demand, it doesn't mean that migration from newsprint to electronic media is causing increased demand for virgin feedstockfor paper production. Instead this suggests that demand for products made from recycled paper is high enough that many paper mills out there (in China and elsewhere) are switching to produce paper made from recycled feedstock, increasing the competition for and price of the recycled feedstock.
The conclusion I draw from this is that increasing consumer demand for products with post-consumer recycled content is causing more recycling. Some mills such as Tembec may not think that it is important to sell products with recycled content, but their competitors clearly do!