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UK’s paper production lags demand

April 1, 2024
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WHY IMPORTANT TO WISCONSIN: Wisconsin’s expertise in paper production could open doors.

The United Kingdom is one of the world’s largest consumers of paper products, but domestic production is declining and cannot meet demand.

In 2022, the UK used 7.2 million metric tons (7.9 million U.S. tons) of paper and boards, according to an article in PULPAPERnews.com. Packaging was the biggest factor, accounting for 60% of paper use, while printing and writing paper totaled 19%, and tissue paper products, such as toilet paper and hygiene products, amounted to 13%.

The paper industry represents a significant sector in the UK’s economy, generating £12 billion ($16 billion USD) in annual revenue and providing 56,000 direct jobs and 93,000 indirect jobs.

The UK is the 20th largest paper producing country in the world, with nearly 1,500 companies manufacturing a combined total of 3.5 million metric tons (3.9 million U.S. tons) of paper products in 2022. But that’s a 5% drop in production from the previous year.

The industry is at a crossroads as it deals with high demand as well as reduced production and the challenges of environmental sustainability and digitalization, the article says.

The UK already relies heavily on imports, which totaled $8.1 billion in 2023. Most, 69%, came from the European Union while 8% came from the Americas.

Recycling is also a significant factor, providing 70% of the raw materials needed for papermaking in the UK.

In addition, some new investments are on the way. Eren Holdings, a Turkish company, purchased the Shotten Mill in North Wales in 2021 and is updating it with new warehouse and dispatch facilities, a corrugated box manufacturing plant, and a new anaerobic effluent treatment plant with biogas capture technology. Eren also plans to develop a new tissue business.

In Wisconsin, the paper industry has long been an important part of the economy. Paper exports amounted to more than $900 million in 2023.

Wisconsin companies in that sector could find opportunities to help the UK bridge the gap between paper production and demand.

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