Indian Paper Manufacturer Association has requested for imposition of anti-dumping duty on the imports from China and Chile
The fall came on the back of weak results in the June quarter of financial year 2025 (Q1FY25).
West Coast Paper Mills, JK Paper, Tamil Nadu Newsprint & Papers may see up to 25 per cent upside in 2023.
Since June 30, shares of Seshasayee Paper and Boards jumped 7%, Andhra Paper gained 6.2%, Tamil Nadu Newsprint & Papers climbed 4.62% and Satia Industries advanced 4.62% on the BSE
Analysts believe that the government's nascent step towards anti-dumping policy will act as a big booster for the domestic paper players.
Paper stocks rallied on expectation of strong earnings supported by robust growth in the packaging board segment and continued demand in the writing and printing paper segment.
Paper stocks rallied on expectation that reopening of offices, educational institutions and courts will lead to regularization of demand
The rally in paper stocks began early September when states eased Covid-19 related restrictions and announced re-opening of schools and offices
The demand is expected to pick up and grow by 11-15 per cent year on year in fiscal 2022 with schools, colleges and office spaces are likely to open and drive the demand
Major paper stocks have crossed their respective 200-DMA.
Ludlow Jute & Specialities, Star Paper Mills, Orient Paper & Industries and Ruchira Papers have seen their market value appreciate in the range of 50 to 150 per cent from their respective August lows.
The sharp increase in the paper stock price indicates that the government is in an advanced stage of levying anti-dumping duty on its import to restrict its arrival in India