Imports of paper & paperboard up 29.5% in Q1; capacity utilisation drops

Higher imports are leading to lower capacity utilisation for domestic manufacturers

India's imports of paper and paperboard (excluding newsprint) grew by 29.50 per cent in Q1FY20 to $360 million. The development comes at a time, when despite a growing demand in the domestic market, rising imports have reduced paper manufacturers' capacity utilisation to around 75-80 per cent. According to Central Pulp & Paper Research Institute (CPPRI) data, out of 861 paper mills in the country, only 497 are operational, showing the stress in the industry.

The paper industry has already conveyed to the government its serious concerns on India giving any import tariff concessions on paper and paperboard under the proposed