Professional Documents
Culture Documents
tissue business
SPAIN
Tourists – and AfH – have lift off
2022 saw “full recovery" of southern Europe's AfH
Plus …
MARKETISSUES
Biodiversity and carbon storage -
the new frontier in forestry
EXITISSUES
Key geopolitical events impacting
global tissue growth
CONSUMERSPEAK
A Ghanaian-based tissue plant -
and 50% of net profit to construct toilets
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In this issue...
FrontIssues 3
Spain: a tissue laboratory for answers to a fluctuating market in unprecedented times.
MarketIssues 4
Business-as-usual when utilising wood fibre is looking less likely for products such as
tissue, as large policy readjustments for sustainability and forestry are currently taking
place within the EU. AFRY Management Consulting dissect the potential impact on
wood fibre supply in Europe – and what the tissue sector can do more of.
News In Brief 7
A roundup of news from across the global tissue industry. To get the very latest news
go to www.tissueworldmagazine.com
ConsumerSpeak 31
From “no real awareness of this wonderful product,” to co-owning a Ghanaian-based
tissue plant producing colourfully-wrapped toilet tissue made from bamboo. Sander FI FrontIssues 3
de Klerk, Founder and Chief Rolling Officer for the Good Roll company, explains the
motivation behind the team.
MI MarketIssues 4
Packaging: Technical Theme 32
Edson Packaging Machinery‘s KDF (Knock Down Flat) Infeed Management System
targets improved space management, uniformity and cleanliness. Josh Goulet,
Account Manager, explains how. NB News in Brief 7
Packaging: Technical Theme 34
Gregory Sense, Marketing Coordinator, Infinity Machine & Engineering Corp, discusses
CR Country Report 14
the company's latest innovations for material savings and positive ecological impact.
The age
of wet embossing.
I
n the major re-balancing of the Spanish tissue market some of the statistics
in TWM’s Country Report are remarkable. First up: Spain is now the leading
producer of private label tissue in Western Europe, overtaking long-time
leader Germany. Overall, private label grew 13% in value sales in 2022 to
reach nearly 78% in market share.
In the post-pandemic re-emergence going on, to be weighed on the plus side are more
relaxed social restrictions, the major return of tourism – expected to be up 70% – and
EDITORIAL HEADQUARTERS improved economic activities and consumer foodservice – the latter up 15%.
Informa Markets – UK
240 Blackfriars Road, London, SE1 8BF, UK
As a typical mature market, though, looking to the traditionally reliable source of
Tel: +44 (0)20 7017 5000 population growth, the news is less encouraging. That figure is expected to rise by just
Group Director 0. in 2022: a current birth rate of . per 00,000 offset by a 0.22 per 00,000 death
Chris Edwards: chris.edwards@informa.com
rate. And on the economy, inflation remains a major problem. As low as 0. prior to the
Senior Editor
pandemic, it is now 13% having dropped from a high of 26%.
Helen Morris: helen.morris@informa.com
Tissue imports and exports are balanced, and capacity additions continue to be measured
Event Director & Publisher
Tom Hill: tom.hill@informa.com to replace older and higher-cost tissue machines without oversupplying the market. Spain
Executive Director depends on market pulp imports, but has maintained a good cost position relative to its
Chris Kilbee: chris.kilbee@informa.com peers. Also, its carbon emissions are lower compared to the rest of the competitive set,
CEO except for France.
Margaret Ma Connolly:
Priorities are being balanced in search of profit margin recovery. Companies are targeting
margaret.connolly@informa.com
key issues such as weighing quality and value, performance advancing innovation, and
ADVERTISING ENQUIRIES sustainability … increasingly important for customers. Four Operation Reports are positive.
Europe & North America
Silvio Arati To quote two: Luciano Lopez, Plant Director at Lucart Tissue & Soap, reports a full recovery
T: 02
of AfH in the south of Europe, with pre-pandemic consumption levels reached for tissue
sarati@studioarati.it
products generally. LC Paper General Manager Pau Vila expects AfH revenue to double in the
South and Central America
Selma golini next three years, and AH to show significant growth. He uses the verb ambitioning to
T: ( ) 0 0 underline the journey from the Nineties to today when the company works on 100%
selma@gova.com.br
renewable energy.
China, Hong Kong & Macau
Jennie Zhan
T: 20 0 Quote of the edition: This crisis will pass eventually, but it is unclear when or how
info-china@informa.com
the tissue business across Europe will adapt. Bruce anda, Senior Consultant, Fisher
International.
issue paper is a product used in the growing and ageing populations combined
MarketIssues
recovered paper sources, the tissue value
chain looks to remain highly dependent on
wood fibre for a long time to come.
Figure 1 indicates global furnish mix
in tissue products globally. The trend is Soft protection
20%
towards more hardwood (BHKP), although
softwood (BSKP), providing robustness
and strength to the products, will remain
important. European fibre baskets play an
important role in fulfilling the wood fibre
demand for both pulp grades, although
primarily for softwood where most of the
fibre has its origin in the Nordics.
Wood fibre is a renewable and carbon
neutral material which is a cornerstone in
the work of phasing out fossil fuels and
materials. There are many great examples
Fig 2: rote te share of lan area E io i ersit trate
where wealthy and democratic economies
go hand-in-hand with growing prosperous
forests. Still, rarely has sustainability been maintaining and strengthening biodiversity is to enhance biodiversity as well as
such a hot topic for wood fibre value chains in the forest ecosystem are the Biodiversity contribute to greenhouse gas emission
as today, where perhaps biodiversity and and the Forest Strategy, the latter built reduction targets. It promotes the use of
carbon storage are the most current issues. upon the former. The main objective of the wood fibre for long-lived products, rather
In a way, this is understandable as several Biodiversity Strategy is to protect 30% of than short-lived ones such as tissue, but
motivated businesses are discovering the the land and 30% of the sea area within also usage of continuous cover forestry and
advantages that wood fibre brings when the EU. Of these 30% each, at least 10% re-forestation. Wood fibre supply chains in
taking action for a green transition. should be strictly protected as illustrated in many European countries are largely built
Despite many of the sustainable aspects Figure 2. Legally binding nature restoration on forestry without constant cover.
with wood fibre, there are examples of targets has also been introduced through In addition to these policies, the new
“near misses” and actual “causalities” of this strategy. EU Deforestation Regulation, which is
being promoted as a part of the strategy to According to the European Environmental also aimed at safeguarding biodiversity,
phase out fossils. Agency (EEA), 26% of the land area will increase the need for traceability of
Although not necessarily justified, is currently protected within the EU. fibre through the value chain. In practice,
negative aspects with wood fibre are being However, the share varies greatly among the location of where the wood fibre was
intensely promoted. Business-as-usual member states, largely due to variations in harvested needs to be reported for products
when referring to utilising wood fibre definitions of protection. Also, the share of entering or leaving the EU market.
looks to become a less likely event for a strictly protected areas is not yet quantified. Carbon storage: Policies aimed at
product like tissue, with a short life span This implies that some countries would carbon storage might also restrict the
and recycling challenges. Promoting the have to increase their protected areas, wood fibre supply in Europe through
importance and advantages with wood fibre for instance the Nordic countries which decreased harvesting levels. The main
is becoming more important than ever. according to the EEA currently protect policies connected to this topic are the
One of the, so far biggest, policy almost 15% (Sweden and Finland). LULUCF and the Sustainable Carbon
readjustments for sustainability and Some EU countries like Germany might Cycles policy. The LULUCF Regulation is
forestry is currently taking place within not fulfil the strict protection target, even aimed at incentivising member states to
the E where the outcome can affect each though the overall protection target is decrease emissions and increase removals
step of the wood fibre value chain and the fulfilled and therefore needs to increase of greenhouse gases from managed lands
supply of raw materials. Below we examine the strict protection share. In either of the (agriculture, forestry, etc).
a selection of recent policies and processes cases, this will likely restrict harvesting and A revision of the current LULUCF
where central topics are biodiversity, harvesting potential if implemented. Regulation was agreed upon at the end of
carbon storage and potential impact on As the Forest Strategy is built upon the 2022, which will further enhance the role
wood fibre supply in Europe. Biodiversity Strategy, the main objective of forests in carbon removals. From 2026
rre e o e
Numerous policies and initiatives
connected to the forest sector and its
resources are under revision within the EU; ACCORDING TO THE EUROPEAN ENVIRONMENTAL AGENCY (EEA), 26% OF THE
the Biodiversity Strategy, Forest Strategy,
LULUCF, REDII/III, the Taxonomy Regulation, LAND AREA IS CURRENTLY PROTECTED WITHIN THE EU. HOWEVER, THE SHARE
Sustainable Carbon Cycles, Carbon
Border Adjustment and the Deforestation
VARIES GREATLY AMONG MEMBER STATES, LARGELY DUE TO VARIATIONS IN
Regulation among others. Each policy has DEFINITIONS OF PROTECTION. ALSO, THE SHARE OF STRICTLY PROTECTED
its own timeline and the potential impact
on the wood fibre supply chain can differ.
AREAS IS NOT YET QUANTIFIED. THIS IMPLIES THAT SOME COUNTRIES WOULD
Biodiversity: Policies aimed at HAVE TO INCREASE THEIR PROTECTED AREAS.
Tissue World Magazine | January/February 2023 5
MI
NB
GLOBAL NEWS UPDATE
News in Brief
A roundup of news from across the global tissue industry. To get the very latest news go to www.tissueworldmagazine.com
GLOBAL BRAZIL
The big reunion – countdown to Tissue Central Europe, Mets Tissue Bracell expands tissue presence to
World Düsseldorf is on! Khalid Saifullah, Managing Director, acquire OL Papéis
The very first European Tissue World Star Tissue Brazilian pulp company Bracell has further
event since 20 – and the world’s largest Antonia Colib anu, Chief Operating boosted its tissue manufacturing presence
tissue exhibition, for the first time held in Officer, Geopolitical Futures after announcing it will acquire OL Pap is and
Germany – is gearing up to open its doors as Donato Giorgio, President Global Supply its toilet paper, paper towels and Fofura Baby
of floorplan capacity confirmed filled. Chain, Essity diaper brand. OL Pap is’ assets are located
Thousands of tissue industry Hampus M rner, Senior in Feira de Santana and S o Gon alo dos
professionals including 20 exhibitors and Consultant Bioindustry, AFR Campos in Bahia, and Pombos in Pernambuco
0 conference speakers will attend Tissue Management Consulting in the Northeast region of Brazil.
World D sseldorf between 2 - 0 March to Marc Miribel, President, MP Hygiene S rgio Montanha, Bracell’s Head of Tissue
reunite and discover ground-breaking new rban Lundberg, Senior Consultant, Operations, said: This acquisition reinforces
machinery. The event offers an unrivalled Fisher International. Bracell’s strategy to expand its business and
platform to meet and greet hundreds to continue investing in Brazil. OL Pap is has
of market leaders showcasing the latest Tissue World Magazine and Tissue World a significant market share in the Northeast, a
innovations and technical solutions. Düsseldorf Show Guide region that represents of the volume of
For the first time, the 2 -page Tissue toilet paper sold in Brazil in 202 . Its assets,
Conference World D sseldorf Show Guide will be in both manufacturing and brands, will
With a theme of The Roadmap, The printed as part of Tissue World Magazine’s complement Bracell’s operations in Brazil.
Riskmap: Plotting a course for Tissue in March April issue. Included in the centre In September 202 , Bracell also started
uncertain times, the Tissue World D sseldorf pages of the industry’s leading independent operating a new generation pulp mill in
conference runs alongside the exhibition. trade magazine, the issue and Show Guide Len óis Paulista, S o Paulo, expanding its
It will examine key business drivers for 202 will be a collector’s magazine for production capacity from 2 0,000tpy to .0m
effective strategy and financial stability, readers, advertisers, exhibitors and visitors. tpy of kraft pulp, or , m tpy of dissolving
as well as looking into the industry’s pulp. Following growth of the markets in Latin
sustainable options to be prepared for an Networking: Happy Hour reunion America, Bracell responded by investing in
uncertain future. Some 0 speakers and Exhibition organisers Informa a tissue factory at its S o Paulo plant, which
over 0 talks are already confirmed, as Markets will be hosting two Happy Hour it announced in early 2022. The tissue mill
well as carefully curated technical sessions networking events, including a ‘Welcome will be located next to its pulp mill in Len óis
focusing on fresh innovation from tissue to D sseldorf ’ event held at a traditional Paulista, Sao Paulo, and once up and running
making through to converting. brewery on the evening of Monday in 202 will have four tissue machines
Martin Krengel, Chief Executive WEPA 2 March. producing toilet paper and paper towels, with
Group, will kickstart the conference Come and say hello and join us for a production capacity of 2 0,000tpy.
sessions and give the keynote address: some networking drinks and a chance to OL Pap is was founded in 200 and is
Navigating a European family business in meet with attendees ahead of the show. ranked second in market share for toilet
the V CA world – 202 as an important year All Tissue World visitors, conference paper in Brazil’s Northeast region. Its
for resilience and sustainable success. delegates, speakers and exhibitors operations include five brands of toilet
Confirmed speakers also include: are welcome. paper, five brands of kitchen paper towels
Tobias L ning, Senior Vice President We look forward to seeing you there and napkins and one brand of diapers.
Bracell produces dissolving pulp and
specialty cellulose with two main mill
operations in Brazil in Bahia and S o Paulo.
In addition to its operations in Brazil,
IT WILL EXAMINE KEY BUSINESS DRIVERS FOR EFFECTIVE STRATEGY Bracell has a management office in Singapore
AND FINANCIAL STABILITY, AS WELL AS LOOKING INTO THE INDUSTRY’S and sales offices in Asia, Europe and the .S.
SUSTAINABLE OPTIONS TO BE PREPARED FOR AN UNCERTAIN FUTURE. The acquisition is under the review of the
Administrative Council for Economic Defense
SOME 30+ SPEAKERS AND OVER 30 TALKS ARE ALREADY CONFIRMED, AS and is expected to complete within 0 to 0
WELL AS CAREFULLY CURATED TECHNICAL SESSIONS FOCUSING ON FRESH days. Bracell is a member of the Singapore-
based RGE, a group of resource-based
INNOVATION FROM TISSUE MAKING THROUGH TO CONVERTING. manufacturing companies.
News in Brief
K-based independent tissue converter t Group has announced plans
to build a tissue production plant, which is expected to provide c. 0
of the group’s annual tissue requirement. In its latest strategic review,
the company outlined plans for the tissue plant to be operational by
mid-202 at an optimal location , while 0 of its energy costs are
expected to be delivered through PV solar. It said it planned to continue
its focus on its core toilet and kitchen towel business, its facial and wet
wipe business, and develop a licensed business model and grow direct-
to-consumer Oceans brand. Plans to acquire selectively to strengthen
and extend our product offering were also announced.
Dan Wright, Executive Chairman of Accrol, said: Over the last four
years, Accrol has been transformed as an organisation to one that
currently supplies c.2 . of the K market’s tissue volumes and has
considerable further capacity. Our state-of-the-art businesses are
in an incredibly strong position to benefit in a private label
market, which is growing rapidly and significantly. Our
customer base is strong and varied and the ability to pass-
on cost increases swiftly has been evidenced in the group’s
half year results.
In the strategic review, the company said it anticipated
benefits of the tissue mill will include reduced volatility in
tissue input costs for the K tissue conversion business,
enhanced security and visibility of tissue supply, which
will reduce working capital requirements in the K tissue
conversion business.
It added: Even prior to the war in kraine, the K has
seen a long-term trend of energy cost inflation, rising
from an average of p per KW Hr in 20 to p in 202
and, subsequent to the war, in excess of 0p.
We anticipate that the mill will operate, crucially
for the duration of its life, with an energy cost that is
“Over the last four years, Accrol has been transformed,” lower than levels seen in the K prior to the war in
Dan Wright, Executive Chairman, Accrol Group the kraine.
UK
Northwood Group completes acquisition of THE TRANSACTION WILL ALLOW FOR THE PLANNED INTEGRATION OF THE
Consuma Paper Product’s trade and assets
The K’s Northwood Group has
BIRMINGHAM AND GRANTHAM CONSUMER FOCUSSED BUSINESSES TO
completed the acquisition of Consuma OPERATE AS PART OF THE NORTHWOOD COMPANIES IN THE UK AND SPAIN,
Paper Product’s trade and assets and
rebranded as Northwood Consuma Tissue.
BRINGING TOGETHER THE SITES OFFERING OF ROLLED AND FOLDED RETAIL
As of December, the business is now TISSUE PRODUCTS. NORTHWOOD IS A LEADING SUPPLIER OF PARENT REELS
under 00 ownership by the Northwood
shareholders and operating as Northwood
INTO THE PAPER HYGIENE SECTOR, WHILE NORTHWOOD CONSUMA TISSUE
Consuma Tissue. IS A MANUFACTURER OF CUSTOMER’S OWN BRAND OF FACIAL TISSUES,
Chairman Paul Fecher said: We POCKET PACKS, HOUSEHOLD TOWELS AND TOILET PAPER.
welcome to the Northwood family our new
colleagues in Grantham many of whom are Companies in the K and Spain, bringing to offer in facial tissue, kitchen towel and
very familiar with Northwood through years together the sites offering of rolled and toilet tissue.
of working closely together especially in folded retail tissue products. Northwood is a leading supplier of
the supply of high-quality facial tissue as He added: Both sites have state parent reels into the paper hygiene sector,
required by the company. of the art equipment and dedicated while Northwood Consuma Tissue is a
The transaction will allow for the professional staff focussing on servicing the manufacturer of customer’s own brand
planned integration of the Birmingham and requirements of the consumer sector. of facial tissues, pocket packs, household
Grantham consumer focussed businesses This acquisition completes the range of towels and toilet paper for many of the K’s
to operate as part of the Northwood tissue products that Northwood is now able biggest grocery retailers.
The largest single investment in WEPA Group history: The Valmet paper machine at the Bridgend site
Paper machine is largest single quality in terms of softness, strength and leadership for sustainable hygiene papers.
investment in WEPA Group history absorbency , and the investment project The K is a significant growth market
The WEPA Group has started-up its also includes new buildings to house the for WEPA. To us it is important to foster
second Valmet-supplied paper machine stock preparation equipment and the market-orientation and to produce for our
at its Welsh site in Bridgend, doubling its paper machine. K customers in their own country.
production capacity for the British market. Several converting projects have also The investment in Bridgend is an
The tissue machine has a production been executed including a new line investment in the future and our long-term
capacity of 0,000tpy and is designed to for lotioned and perfumed bathroom customer partnership.
produce hygiene paper products from virgin tissue products. It strengthens our position in the
fibres as well as 00 recycled fibres. Martin Krengel, Chief Executive of the K market with highest benchmarks in
It is then converted into toilet and WEPA Group, said: With the largest single sustainability and product quality, and
kitchen paper for the K consumer market. investment in the history of the WEPA as part of the project we created over 0
WEPA Group said the paper machine Group, we are further strengthening our new jobs.
is designed to produce the highest claim to technology leadership and market The workforce at the Welsh WEPA site
now amounts to 2 people.
The site in Bridgend has been part of the
WEPA Group since 20 – initially as a joint
venture before being fully acquired in 20 .
“THE UK IS A SIGNIFICANT GROWTH MARKET FOR WEPA. TO US IT IS With a total of 22 paper machines
IMPORTANT TO FOSTER MARKET-ORIENTATION AND TO PRODUCE FOR OUR UK across European sites, the
CUSTOMERS IN THEIR OWN COUNTRY. THE INVESTMENT IN BRIDGEND IS AN group has a production capacity of
approximately 0,000tpy.
INVESTMENT IN THE FUTURE AND OUR LONG-TERM CUSTOMER PARTNERSHIP.
IT STRENGTHENS OUR POSITION IN THE UK MARKET WITH HIGHEST
BENCHMARKS IN SUSTAINABILITY AND PRODUCT QUALITY, AND AS PART OF
THE PROJECT WE CREATED OVER 50 NEW JOBS.”
10 Tissue World Magazine | January/February 2023
NB
News in Brief
Start-up team: India’s Gayatrishakti moves into the tissue market
Getting AHEAD 2.2L: he Essel t tea hi h hel e sur ass uarantee ro u tion tar ets b a lar e ar in
TURKEY while an organic sales increase was driven strategies of a focused product portfolio,
by a 0 increase from higher pricing and superiority, productivity, constructive
e a he e a rod o a increase from positive product mix. disruption and an agile and accountable
e e o T In the company’s Baby, Feminine and organisation structure.
Turkish tissue producer Essel K t has Family Care segment – which includes These strategies have enabled us to
reached a milestone on its AHEAD 2.2L toilet tissue, facial tissues and paper towels build and sustain strong momentum. They
machine after it exceeded its guaranteed – net sales were down to ,0 bn, remain the right strategies to navigate
production by a large margin and surpassed while organic sales increased versus a through the near-term challenges we’re
bulk and softness parameters . year ago. facing and continue to deliver balanced
Ahmet Temuroglu, Production Baby Care organic sales increased low growth and value creation.
Coordinator and Burak Ipek, Maintenance single digits, a result the company said was
Manager at Essel due to increased pricing, partially offset by Marcal Paper boosts premium AfH
K it, said: The target of our volume declines from market contraction. presence with von Drehle acquisition
performance test was successfully Feminine Care organic sales increased America’s Marcal Paper has increased
accomplished with a production of high single digits driven by increased its presence in the premium towel and
2 0, 00tpy on a 2 gsm towel grade at a pricing and positive geographic mix, tissue AfH market after acquiring von
speed of , 0m min. partially offset by volume declines in Drehle Corporation.
Supplied by Toscotec on a turnkey basis, emerging markets. Following the purchase, Marcal Paper
PM had come online at Essel’s Osmaniye Family Care organic sales increased now operates production facilities in
mill in Turkey in October 202 . low single digits due to increased North Carolina, Mississippi, Tennessee,
pricing, partially offset by lower volumes and Nevada, in addition to its locations in
due to market contraction and market Pennsylvania, New ersey, and Vermont,
AMERICA share softness. expanding its footprint to service customers
on Moeller, Chairman of the Board, all along the East Coast and the country.
re or od a re President and Chief Executive, said: We Von Drehle Corporation will now operate
Procter & Gamble (P&G) has reported delivered solid results in the second as a division of Marcal Paper.
solid results in its second quarter fiscal quarter of fiscal year 202 in what Rob Baron, President and Chief Executive
year report, despite a very difficult cost continues to be a very difficult cost and Officer of Marcal Paper, said: Today is
and operating environment that led to operating environment. an important day for Marcal Paper as we
declining revenue and profit. Progress against our plan fiscal year to are excited to welcome the von Drehle
For the three-month period ended date enables us to raise our sales growth associates to the Marcal family.
December, net sales fell year-on-year outlook for fiscal 202 and maintain our Over the past few years, our team has
to 20. bn. guidance range for EPS growth despite successfully weathered several storms,
The company said unfavourable foreign significant headwinds. including the impact of the Covid-
exchange had a impact on net sales, We remain committed to our integrated pandemic, and come out stronger for it.
News in Brief
We share a commitment to being environmental leaders, After the historic moment in 2022 – namely when the threshold
community stewards, and trusted employers, and we take great of PLN bn turnover was exceeded and after incorporating Almus
pride in our shared histories as family-owned companies. into the structure of the Velvet CARE Group – the management
Baron told TWM that the growth of the AfH market in the nited board is ready to designate new ambitious goals. Another milestone
States has been driven by pent-up demand for increased travel and that we plan to accomplish by 202 is the turnover on the level
leisure activity coming out of the Covid- pandemic . of PLN2bn.
He added: We are not seeing the dramatic shift towards Wojciech Starnawski, President of ALM S added: This is also an
premium products in the AfH market that is occurring in the opportunity for procuring new clients in the country and abroad and
At-Home space. establishing cooperation within the scope of production, including
The AfH market is seeking to meet demand with reliable delivery of the top-quality tissue manufactured at Velvet Care’s
and affordable products, and we at Marcal Paper are prepared Klucze plant.
to successfully service these customers, as we have for nearly After finalisation and merger of the companies, the Velvet Care
a century. Group – which currently consists of Velvet Care and the Czech
Today’s announcement marks the beginning of the next chapter, company Moracell – will increase its processing capacity by almost
and an exciting growth step for our company. 0 to 2 0,000tpy.
It will then have 2 processing lines, three paper machines
and five warehouses located in three production plants in Klucze,
COLOMBIA S omniki and ab ice (Czech Republic).
The share purchase transaction is currently being approved by
GrandBay Papeles Nacionales boosts capacity with TM investment the Polish Office of Competition and Consumer Protection, and a
GrandBay Papeles Nacionales has increased its production final decision is expected to be made in this quarter.
capacity after investing in a Toscotec-supplied AHEAD 2.2 turnkey The purchase is a development strategy of Velvet Care set out
tissue line. by the management board and its majority shareholder, Abris
PM will be based at the company’s Pereira production base and Capital Partners.
is scheduled for start-up in 202 . It aims to maintain a strong leader position in the paper industry
It has a sheet trim width of . m, a design speed of 2,200m min in Central Europe. In the future, the company said it is planning
and an annual production capacity of over 0,000 tons. to further develop its business in the markets in its region and
It features a TT NextPress latest shoe press generation, a third- continue to work on next strategic acquisitions.
generation design TT S D Steel ankee Dryer with patented heads
insulation system, and high efficiency TT Hood.
Cesar Solano, Chief Executive of GrandBay Group, said: We are
continuing to grow with the market, and satisfying the needs of
consumers with products of the best quality while accompanying
the growth of our clients are the guiding principles for our vision.
Papeles Nacionales operates a tissue mill in Pereira, Colombia,
and is part of the GrandBay Group, a Latin American company
established in and dedicated to the manufacturing, converting
and sales of personal care and home products of premium quality, Court of Florence
with presence in more than 2 countries in Central America, the
Andean and Caribbean region.
As ordered by the Judge,
hereinafter it is published a portion
It is Toscotec’s second project with GrandBay which is also
of the precautionary order issued
currently installing a complete AHEAD 2.2L tissue line at GrandBay
by the Court of Florence on
Papelera Internacional in Guatemala.
November 28th, 2022:
Figure 4: Spain Tissue Exports Trend Figure 5: Spain Tissue Machine Count Changes
Figure 6: Spain Tissue Mill Site Type Figure 7: Spain Tissue Fibre Sources
already contracting pre-pandemic due volume, benefiting largely from the gaining
to shrinking consumer demand out of strength of the hospitality industry.
sustainability concerns and key suppliers’ Despite price increases, premium offerings
SK withdrawal, suffered further volume that emulate cloth napkins and provide
loss in 2022 at -2. . enhanced comfort have gained attraction.
Such inflation-driven value-volume
dynamic was also present, though to a r a e a e r her o d e o hare
lesser degree, in the AfH tissue sector in of retail tissue market
2022. Similar to retail tissue, AfH tissue’s While inflation has posted considerable
value sales reached a record-high growth challenges for all businesses, it has created
rate of . Though volume sales tracked opportunities for some, particularly the
an upward trajectory, the pace of growth private labels, as consumers sought cheaper
Liying Qian slowed slightly compared to 202 . That yet reasonably quality products.
Head of Tissue and Hygiene, decelerated volume growth was due in part Indeed, consumers belt tightening has led
Euromonitor International
to many businesses’ margin-defending shift to increased willingness to further commit to
to lower-quality, thinner products such as private labels that present quality of products
levated inflation has put Spain’s single-layer tissue. competitive to name brands’ and gain
In 2023, the flagship show will make its stop in Düsseldorf for the very first time! A mature tissue market with
high private label shares, Germany is home to some of the sector’s largest private label manufacturers.
www.tissueworld.com/dusseldorf
tissueworlddusseldorf@informa.com
CR
Volume performance y retail 3ssue su -category, 2019 2020 2022 2027, Spain tissues are gentler, more absorbent and
Retail volume sales, ‘000s Tonnes dermatologically and ophthalmologically
Country Report: Spain
2021-2022 % growth
900 60 5 towels and facial tissues expecting the
strongest growth in both retail and AfH in
600 41
the following years.
300 21 5
a e rea o hro h oa
0 2
rivate a el Essity Inter I E Systems V ad a a ro de e d ere a o
Though margin recovery is a top priority in
the near term that requires cost saving and
2022, value sales (retail rsp, million EUR) 2022 % value share 2021-2022 % growth in value sales
pricing increases, in the longer term, value-
© Euromonitor International 4 based innovation across the price ladder
Source: Euromonitor International will help tissue businesses deliver more
meaningful, positive impact on consumers
Spain, away-from-home 3ssue, y-on-y growth, volume (‘000s Tonnes) vs nominal value and grow their share of consumer wallets.
(msp, EUR million, fixed-exg-YrCurr), 2019-2027 While maintaining products’ availability
% Y-on-Y growth
16
and accessibility remains key, tissue players,
12 including private label manufacturers
known for value positioning, will continue
4
to explore premiumisation opportunities in
0
high-growth, high-margin product segments
-4
- and vie for growth through shopper-
-12 resonating innovations. This strive for value
-16
2019 2020 2021 2022 2023 (fc) 2024 (fc) 2025 (fc) 2026 (fc) 2027 (fc) creation and to deliver higher cost-benefit
ratio in products will be manifested in both
Volume, yoy % growth Nominal value, yoy % growth retail and AfH tissue.
© Euromonitor International
Development of paper towel, a key multi-
Source: Euromonitor International purpose cleaning solution, is expected
to shift further towards higher durability
tissue in Western Europe. However, it raises unit price growth, saw volume growth slightly with performance-lifting characteristics,
the questions of if private label’s market stronger than in prior years, from 0.2 to such as added soap, water resistance and
penetration is peaking and how much 0. . Per capita consumption of paper special texture.
further it can go by pulling common levers towels also inched slightly upward. Such Sustainability will further rise to
such as pricing after this crisis. performance demonstrates the enduring become a key competitive edge, with
demand for a healthy, hygienic lifestyle. more businesses seeking certifications
a er o e a d a a e a a Pocket handkerchiefs, despite their and launching greener tissue products
re h e e e a ed h e e de a d small size, also tracked positive volume using recycled sources and alternative
Despite inflationary headwinds, not all growth in 2022 due in part to increased fibres, including cheaper options such as
tissue products suffered from declining offerings promoting health-focused, recycled and unbleached toilet paper and
consumption in 2022. Paper towels and safety-reassuring properties. For example, paper towel.
pocket handkerchiefs were two exceptions following its launch of Kleenex Allergy After all, as businesses weather this
in retail tissue seeing expanding appetite, Comfort boxed facial tissues in 202 , period of high inflation, striking a keen
benefitting from intensified hygiene Kimberly-Clark introduced the pocket balance between quality and value while
awareness and cleaning routine. variation that is designed to offer comfort recovering margin through performance-
For example, paper towels, which despite from runny noses and watery eyes. These forward innovations will remain a priority.
OR
AFTER THE ‘BIG
Operation Report
EVOLUTION’ THE MARKET
IS STABILISING AGAIN
Spanish consumer tissue leader Essity Valls met the turmoil of recent
years with its own rapid response. Miriam Guasch, Operations Director
Manufacturing Spain, Global Supply Chain, charts how the industry has
changed. TWM Senior Editor Helen Morris reports.
peed velocity are the words Miriam Guasch uses frequently
“At the beginning, you saw everywhere we were forced to quickly change our supply paper by using only what you need with the
that the trend product was toilet roll”, she chain, and to work in a new environment half-sheet system.”
Operation Report
says. “Bathroom tissue was everywhere. that was safe. There had been no prior In the immediate future, the company’s
It also became very clear that toilet paper experience or guidelines for this, and I am record on sustainability will continue to be
was a psychological product. Psychological very proud of the people I am working with expanded: Last year was a year when we
studies carried out following the pandemic and how we managed to accommodate all were talking a lot about prices. Now, our aim
have shown that in times of need, there are the necessary changes. We managed to run is to put sustainable products on the table
certain products that fit the worries of the everything without stopping and without of the consumers. For the second year in a
people. As we saw with the stockpiling, toilet incidents. It was fantastic.” row, Essity has been included in S&P Global’s
tissue is one such product that fits because More and more consumers also changed Sustainability Yearbook, a review of 7,800
it is not an expensive product, it is quite big their way of buying: “We saw that consumers companies globally, and we are part of the
so you can fill your storage at home, and it started to buy more and more products for top 10% to be selected. So, sustainability is
fulfils your daily needs. Most importantly, it home solutions, as they were spending more very much our business model.”
seems to bring people the feeling of comfort time at home, and people were buying more The means will be a three-pillar approach:
and security.” products for cleaning, etc. And then after the “We split our sustainability working
TWM first visited the Tarragona-based pandemic, we have had substantial increases in different ways. One pillar is related
Valls plant almost ten years ago, for the Dec in the price of energy, it has increased a lot, to the investments needed to reduce
20 2 an 20 magazine. Located an hour and as we are an electric and gas-intensive energy consumption in our processes
and a half drive south-west from Barcelona, industry, this has forced us to work with and to be more efficient but we’re also
it was established in 1951 as a family customers to transfer some of these costs to focused on investment to generate green
business and acquired by SCA in 1998. Then the customer, and also to the end consumer. energy investments.
site manager Toni Mata had discussed the This has also resulted in trend changes. It just A second pillar is to offer products that
company’s uly 20 2 acquisition of Georgia- isn’t manageable for any paper producer to are more sustainable, and the third pillar,
Pacific’s European tissue business, with SCA absorb these type of energy prices, and there according to Essity’s sustainability strategy
purchasing the Spanish-based Allo, Canary has been an incredible explosion of prices.” is to make more from less. This way we make
Island, Sant oan Desp and Carmona sites, The price of the product in the shopping our processes more efficient and ensure that
which had just gone through in uly 20 2. cart has also increased: “We have seen that we use raw materials and energy in a more
The company, he said, had “seen a gap” in the customer has changed the way of buying, effective way.
the Spanish consumer market. they have started buying products with a Investing in sustainability and the future
Now in February 202 , the range of smaller format. In the past, we were used also means getting people on board with
technology the business has at its three to selling big packs, now we sell smaller the necessary skill set. “We do invest a lot
Iberia-based plants – Valls in the provincia packs. So, they are now buying more often in talent. For many years, we have had close
de Tarragona, Cataluña, Navarra in northern but smaller packs. Customers have also been contact with universities, and we help the
Spain, and a plant in the Canary Islands – has buying closer to home, but now the market is people who have the knowledge but not the
expanded according to his vision. stabilising again, and consumers are going to practice in this industry. It’s a positive for
The three sites have four paper machines the supermarket and buying again as usual.” us as well as it can be very difficult to find
from PMT and Beloit, and 0 converting Guasch says the Spanish tissue market people with the necessary skill set.
lines supplied by Perini, Futura, Bretting, is very much still growing but adds that Guasch concludes: “During the past few
MTC, Gambini and Omet. Across Spain, the speciality products are not growing as they years, we have had many economic crises, and
company’s market share is mainly consumer were. The company’s strategy is to continue a lot of pressures, and there are organisations
goods, with 90% consumer goods and 10% to work in products that are sustainable. that forget their people. But Essity has really
professional hygiene. An example, she says, is the company’s stepped up to help its people throughout all
Spain is now the leading producer of Spanish brand Colhogar, and the ‘Colhogar of them. It’s a very human company, a very
private label tissue in Western Europe, and Paper Kitchen Adapt’/ Para Todo kitchen people-orientated business. We will continue
Guasch says the figure stands at - 0 for roll product. to build this culture, it is what has made us
Essity Valls’ production. “We have invested so that we can provide sustainable as a business over the years.”
Is the high rate of private label products a kitchen towel that has a half sheet
due to the pandemic? “No, it has been like pre-cut, rather than a full
that for many years. A lot of it is a result of sheet. So now in the kitchen,
the economic crisis we have had in Spain consumers can spend less
over the past few years. We have seen a lot money and use less product
of customers in other regions (countries) – they can use half that of a
change from brands to private label, but it’s normal kitchen towel sheet,
not the case here in Spain, we have always and use just what they need.
had a very high private label market.” This allows consumers to make
The trends that have emerged from the a more sustainable
pandemic are fast changing supply networks consumption
– that speed velocity, which in particular of paper, using
has also changed how consumers have been only what
buying products. they need, and
“In just a few days after Covid-19 started, they can save
OR
Operation Report
OPEN AIR RESTAURANTS,
INCREASED VACATIONING,
SUNNY CLIMES: HOW THE
RETURN OF TOURISM IN SPAIN
IS FUELLING THE BOOMING
HORECA CHANNEL...
THERE AND IN THE UK
Two tissue plant acquisitions in Spain by the UK-based Northwood Group have seen a double win … the Spanish market’s continued
recovery, and a solution to a potential Brexit supply chain problem. TWM speaks to Northwood Group Chairman Paul Fecher and Northwood
Dicepa and Northwood Manipa’s Managing Director Juan Mor.
ocal supply has always been vital Chesterfield Paper Mill and the Oldham facial tissues, pocket packs, household
L for the family-owned, paper hygiene converting plant with its fully equipped towels and premium toilet paper, and the
Operation Report
products leader Northwood Group, with hand towel production unit. We knew move completed the full range of products
its manufacturing headquarters in Telford, the Dicepa business very well and our that are needed to serve the main retailers
UK. Then along came Brexit, and then Covid, relationship with the Mor family goes in the UK and Irish markets.
inflation a war in Europe and the energy back longer than 20 years as we have A new high-speed toilet and kitchen
crisis and the company’s ‘think global act been the UK agents and a major client for tissue line is shortly to be commissioned
local philosophy’ became more important Dicepa for a long time, so it’s a very secure which will increase the quantity of rolled
than ever. relationship. This meant that the purchase products the company will be able to supply
Over a Teams call, Northwood Group was a smooth process and we could serve as it extends its close collaboration with the
Chairman Paul Fecher and Spain-based the local markets in Spain and the UK, but solid customer base of Northwood Consuma
Northwood Dicepa and Northwood Manipa also trade more smoothly into Europe, Tissue. The final part of the expansion
Managing Director Juan Mor outline in cutting down on all the bureaucracy that programme will be the 0,000mt tissue
detail just how the events of the past has occurred in the last few years.” machine to be installed in the company’s
few years have cemented their business Established in as a Paper Mill Disley Tissue Mill. Further update on that
strategy. “Brexit and Covid have highlighted Agency, Northwood Paper, Tissue and will be available during the coming months.
to everybody that a local supply, and a Hygiene Group is now a market leader The company’s 2019 move into the
quick delivery, are essential,” Fecher says. across the European continent with a continent has brought additional recycled
“At the time it was largely a result of the fully integrated paper hygiene offering. It paper production, and further increased
upcoming Brexit that we took a decision manufactures and supplies professional the supply of the converting papers needed
to manufacture even more products paper hygiene products, brands, private by the Northwood companies. Crucially,
locally in the UK, simply because of all label, as well as a full range of folded and it also gave the wider Northwood Group
the extra complications that would come rolled hand/wiping products across the AfH fresh access to the Spanish and mainland
from Brexit.” sector and offers the consumer sector the European markets. The Enate-based paper
The business was fortunate that it had full range of toilet, kitchen, facial tissue mill is now pursuing opportunities to
acquired Enate-based Dicepa Papelera and consumer customers own branded products. expand its product portfolio, while the
Madrid-based converting plant Manipa in In the UK, the Northwood group of Manipa converting operation has expanded
Q4 2019: “It was perfect timing,” Fecher associated companies and their production with an OMET converting line which was
says. “It was literally just before Covid, plants are located strategically across installed in 2022, offering a wider range
and a very strategic move for us at a time the country. Most recently in December, of products.
of uncertainty just before Brexit. In the Northwood completed the acquisition Was the move into Spain a reaction to
same period, we had also acquired the of the trade and assets Consuma Paper Brexit? “A presence on the continent has
Products – now rebranded as Northwood always been very important,” Fecher says.
Consuma Tissue (NCT). The company “But yes, Brexit at the time was very much
manufactures customer’s own brand of in our conscience and it made sense to have
a foot inside the E . Also our work in the K,
expanding some of our folded hand towel
product production meant that the paper
mill in Spain is the base paper supplier for covers and that fits nicely into what is installed OMET line. We will also have some
what we convert here in the UK. It was a converted at Northwood Manipa in Madrid.” new roll products converting lines installed
very good fit. “The return of tourism has created a still in Q1 2023.”
Northwood Hygiene – which provides big boom for tissue and allied products in How many million napkins do they make
brands for the AfH professional hygiene Spain,” Fecher adds, “The AfH market has in a month? “We make 120 million napkins
and wiping market – now consumes a lot rebounded. Looking at our own numbers’ per month now. And soon we are ramping
of the paper made by Northwood Dicepa, year-on-year, Manipa’s business will double up production that will more than double
and Fecher says that will continue to in the 18 months from mid-year 2022 that number!”
expand further. through to end 2023, and a lot of that will The downturn in the HoReCa market
There are also plenty of opportunities come from exporting across Europe and during Covid, the company took the step
for further growth, both organic and beyond. That’s in volume terms, financially to grow the Northwood Manipa business
by acquisition. “Not all opportunities speaking inflation has meant we need a and in the second half of 2020 it moved
presented are the right for us, but we new calibration to evaluate how a business into a new facility, two and a half times
are always looking at organic growth or has evolved. We have also purchased new bigger than the former factory. “Back then
growth through acquisitions. We’re in the machinery, our napkin production will more of course we were in Covid, which was an
right sector, demand for Hygienic papers than double as we started-up the newly interesting time to make a big step,” Fecher
is still growing. The fast-food sector, Table
Top, HoReCa sectors are still growing,
especially in Spain and we are investing
there with the additional large napkin
line already running and also converting
lines for rolled products. People are
travelling and vacationing, we are all
returning to pre-Covid habits and we’re
very much entrenched in the whole sector.
There’s room for growing our footprint
and certainly we will need additional
equipment especially in Northwood Manipa.
Further investments will take place, and
opportunities are always evaluated as they
come along.”
The company’s Spanish plant
manufacturers heavier base papers, a
substantial amount of which is for the
hygienic sector. “Over 50% of the business
goes into either the hygienic sector or the
L-r: Northwood Group Chairman Paul Fecher, and Northwood Dicepa and Northwood Manipa’s Managing Director
food sector,” Mor says. “Placemats, table Juan Mor, showcasing Northwood Hygiene Products’ UK propriety brand Raphael
Continuous improvement process: n rease attention to ro u t en ineerin inno ations an s e ifi ations ha e o urre a ross the hole se tor
says. “But there were also opportunities. We were in the news and social media”. increasing over the coming years. “With
entered the PPE field because demand was The Northwood Dicepa paper mill has the technology we have in the UK it means
there, we were able to respond very quickly, made efforts to reduce the amount of fossil that our private label products are a brand-
both by buying machinery that could make fuel-based feedstock: “There are advanced match. Having said that, we do also have
some of what was required, and by sourcing plans to install a biomass plant and more brands specifically in the napkin market,
because of the supply chain network solar panels, this will allow the mill to the technology competes favourably on
Northwood has all over the world. We also operate fully on renewable energy,” Mor performance with top brands most of which
converted in the early days of Covid some adds. Historically the mill has worked with are made on energy intensive machines
of the napkin machines to manufacture a hydro and solar power and has an efficient our products are made on standard base
very simple PPE product. CHP plant, and he says importantly for papers, our Morigami Napkin range the
“We were very agile and for that to the finished product side, 0 of all its enhancement is on the converting line.
happen at that early stage having bought prime packaging materials “are free of Additionally, some of the UK propriety
the company in Q4 2019 could only happen polycarbonate based films . brands (Raphael, North Shore, Optimum,
because due to the existing relationship New products have also been developed Whisper, Rhino) from Northwood Hygiene
and good understanding we have with Juan to help the company’s clients reduce their Products which have sizeable market share
and the team, that meant we could reach costs. “We’ve been using new raw materials in the UK are now being rolled out to our
conclusions very quickly.” that make it possible to reduce by 6% the customers in Spain, and further afield on
The business then had time to settle water we use and save more than 11% the continent.”
into the new facility as the main market for on usage of energy,” he says. “We have For 2023, he concludes that the key
napkins and table covers fell off the cliff tried to be very agile and respond quickly, opportunities for the business remain
during 2020 and a good part of 2021. “But proposing new ideas and being proactive to continuing to serve the private label sector
we were able to build enough stock running help our clients.” as well as taking advantage of the fast-
intermittently to keep everyone employed, Within the whole sector, there’s been growing food sector. “We can now respond
and the subsectors somehow carried on as “a lot of product engineering innovation, in the UK and across Iberia, which is a big
people were eating outside and that meant everyone is looking at specifications , advantage. It can be summarised is that
that the restaurants were still operating in Fecher adds. “Companies are asking now most people – even before the interest rates
Spain, France and southern Europe and of if the paper is more robust, are the base started going up – were conscious of stock
course people were taking take away … all weights that they used to use the right ones, levels, and if you run an efficient operation,
of which required paper goods.” or can they be modified without sacrificing you need a supplier that is nearby. That
Demand for the company’s paper mill performance. A lot of that background has really worked in our favour because we
during the period was consistent, as hand work with customers and the markets has can now respond to local delivery, in the
washing and wiping all surfaces demanded also been taking place. It’s a continuous UK and Spain, and it’s a delivery in days
wiping papers. “At the same time – which is improvement process.” rather than weeks and months. The events
perverse really – during this huge pandemic, The company is also seeing an of the past few years have highlighted to
we had the love and hate relationship with opportunity for growth in its private everybody that an efficient and responsive
plastic and plastic packaging accelerating, label products in the Spanish market, local supplier is essential, and we have
and so for the first-time paper was as well as its brands. Private label now steered the Northwood Companies to be
perceived as a sexy industry Everyone makes up almost 50% of its Spanish that supplier of choice on quality, service
loved toilet and towel manufacturers, we finished products and Fecher sees this and economics.”
OR
“AFH REVENUE TO DOUBLE IN THE NEXT THREE
Operation Report
YEARS, AH EXPECTS SIGNIFICANT GROWTH”
With a new converting production site ready for start-up, Pau Vila, LC Paper’s General Manager, explains the new trends guiding consumer
choices and the company’s innovative responses. A TWM report.
LC Paper’s Besalú site in Catalona: April 2023 will see the ramping up of the company’s new Fornells converting facility
We started selling to the consumer market plant, using 0 of our net profit we are
as a subscription model and are now aiming also involved in building sanitary complexes
s a consumer of tissue and towel for 20,000 subscribers this year with a two in areas where this is not currently
THE ROBOTIC CELL WILL SCAN AND VERIFY THAT THE CORRECT STACK HAS
ENTERED THE CELL, LOCATE, REMOVE AND CHOP THE STRAPS AND CONTAIN
THE PIECES IN A BUCKET, REMOVE ALL PAPER ON THE STACK, AND REMOVE
TOP DUNNAGE.
etc. The other key issue for tissue companies it can essentially be integrated with any
is consistency and cleanliness. The stacks will existing case packer or equipment needing
always come out of the cell the same, every KDF preparation or bands removed.
time, and the straps, papers and dunnage
are always being dropped into a bin, which Automation with direct product handling,
Josh Goulet
is consistently requiring less frequent wrapping, case packing, and palletising
Account Manager,
Edson Packaging Machinery emptying and better space management. aren’t exactly new concepts. However,
automating the infeed of a case packer
ith recent changing trends in In response to these developing trends, in is certainly a first in the converted paper,
Industry pioneers: nfinit en ineers ha e e elo e sustainable a a in for in i i uall ra e tissue rolls
The Sam Pack: rber issue s first s ste for ualit a a in ins e tion for tissue anufa turers
T TT TT T T
T T T T T T
T T T T T T
T T
or some years the consumer economy in the manufacturing environment. Due to
TT
Packaging: Technical Theme
BOX SIZE RANGE AND PRODUCTION CAPACITY
DIVERSA is STAX Technologies’ answer to a trend which emerged as online sales increased. Mladen Starcevic, President and Executive
Vice President Tissue Packaging, explains the history of its development - and its importance for the future. A TWM report.
Mladen Starcevic
President and Executive VP
(Tissue Packaging),
STAX Technologies STAX Technologies’ DIVERSA: A hybrid machine which merges a high-speed bundler and case packer
s part of the Barry-Wehmiller Converting Separating a single box from the stack delivered as a hybrid machine but also as a
it looked like the USA was considering a expect Asia to be geopolitical ground zero
EI temporary halt to the trade war – the White
House was leaking the notion of suspending
in the coming years and would advise
companies to not think in terms of the region
Trump era tariffs. Then, Congresswoman itself but on individual bets on individual
Nancy Pelosi visited Taiwan, China, and the countries, each with their own politics,
situation nosedived. China won, and not only alliances, and geopolitical priorities. There
did the tariffs stay on, but the SA passed is still opportunity in Asia, but there is also
major semiconductor trade restrictions far extremely elevated risk. I think 202 will be
worse than anything either Trump or Obama another difficult year from an energy price
pushed through. There has been some perspective. I am more optimistic about the
softening toward the end of the year, but potential for lower energy prices in 2024, and
overall the decoupling between the SA and really 2025 and beyond, when a glut of LNG
China economies continues. comes on the market, we get another two
Jacob Shapiro While it is starting at the level of strategic, to three years of renewables coming online
Director of Geopolitical Analysis dual-use products like semiconductors, it and some of the malinvestment in traditional
Cognitive Investments
will eventually bleed into all aspects of the energy sources like hydrocarbons is reversed,
he globalisation recession accelerated bilateral, from agricultural goods to tissue but until we get there I expect volatility and
ExitIssues
Chinese Communist Party’s big goals were for leads to a more accommodating political either so small as to be non-threatening and
202 , but I think Beijing may admit to itself it environment and more market access for to function as financial centres gateways
has to push those back and strive for a little Western companies? It is a longshot, but the to rival blocs, or are large enough to ensure
more accommodation in the short-term. Make upside would be tremendous. economy of scale and market access for
no mistake, the long-term is still negative, but In Latin America, the USA is showing signs its countries. Examples of countries that
because of China’s weaknesses, I could see it will reconsider some of its ideologically fit the bill of this profile are Brazil, Turkey,
it making concessions to relieve pressure on driven bilateral relations. They are just early Mexico, South Africa, and India. Each of
its economy. signs, but a true softening between the these come with downside risks of course,
I am keeping a very close eye on Turkish USA and Venezuela and/or Cuba would be but they each have the demographics, the
politics this year. The country is moving massive from a geopolitical perspective. manufacturing capacity, and the access to
into a decisive election over the summer. I am very bullish about Brazil and I think resources to succeed in a more geopolitically
I’m less interested in the result and more the concern about Lula as President is competitive world.
interested to see if Turkey can reach a misplaced. He faces significant opposition at Depending on how the Russia-Ukraine
democratic decision that the entire country the domestic level – this is not 200 all over war goes, Eastern Europe and Central Asia
supports, and which does not lead to internal again, and the Brazilian economy is showing could either be phenomenal opportunities
conflict or strife. If it does, I will be feeling a lot of positive signals. or absolute stay-aways. I am increasingly
even more confident in my bullish position Demographic growth will be concentrated optimistic about Eastern Europe – someone
on Turkey going forward. There are some in sub-Saharan Africa, and perhaps to a lesser will have to rebuild kraine, after all – and
very interesting developments to track in extent the Middle East and Southeast Asia. more cautious on Central Asia, but it is hard
pariah states like Iran, Venezuela, and even However, I do not expect that is where we will to make a definitive call there while the
Cuba. Iran is facing some of the most serious see the biggest increases in GDP per capita. war continues.
Liying Qian, Head of Tissue and Hygiene, Euromonitor International, reports on growth in the global tissue market for TWM.
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ITALY: THE
ConsumerSpeak
“Covid didn’t change my buying habits …
but just wait till baby arrives”