Does the import of paper solve the crisis?

Feed: 2951 - Date: 4/22/2019 - Views: 228

While the crisis of the shortage and the costly price of paper caused the consumers to face serious problems last year, the head of the Syndicate of Iranian Paper and Cardboard Manufactures believes that the entry of the new shipments of imported paper to the country can solve the problems of paper supply on the market.

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According to ISNA, the paper crisis started in the fall of 2017. Although in the same year, the crisis was controlled to some extent by clearing the paper shipment from the customs, the increase in the exchange rate of foreign currencies made the industry confront with some problems again so that the guild of publishers called on governmental authorities in a letter to pursue the issue seriously and solve the shortage and the costly price of paper in the mid days of March which is the last days of Iranian year.
On the other hand, The Secretary of the Organizing Paper Working Group said  in the last days of the last year, “Last year, 37354 tons of newsprint and 218623 tons of writing paper were imported into the country, but only 6915 tons newsprint and 13649 Tons writing paper were distributed under the supervision of the Cultural and the Press Deputies of the Ministry of Culture and Islamic Gudance. That means the remaining quantities which were imported at governmental exchange rate were illegally distributed.”
However, in an interview with ISNA Abolfazl Roghani Golpayegani, the head of the Syndicate of Paper and Cardboard Manufacturers, stated that the arrival of the imported shipments in the country would remove the concerns about the supply of paper on the market and said, “At the end of last year, the government provided funds for paper imports so that the orders for the import of this product can be placed.”
Pointing to the sharp rise of paper rice in last year and the created problems for consumers, he asserted, “The ministry of Islamic Guidance and The ministry of Industry, Mine and Trade have taken measures to offset the shortage and the increase in price.”
Stating that the domestic production of newsprint and writing paper is no good, Roghani Golpayegani said, “There is little hope for domestic production to meet the market needs. Currently, the exact active capacity of paper industry is not clear, but it can be said that the domestic capacity of paper production is 150 thousand tons while our production at most will reach 20 thousand tons.”
The head of the Syndicate of Paper and Cardboard Manufacturers of Iran stated, “The reasons for the low active capacity of paper are the shortage of raw materials and foreign currency as well as required supports.”
According to him, some of the required supports are to set appropriate tariffs, to provide investment opportunities, and to dedicate loans with low interest rates.”
Roghani Golpayegani added, “On the other hand, considering the shortage of writing paper, a part of the resources which are dedicated to imports should be allocated to production expansion.”

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