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Paper mills going strong but threat looms from Chinese imports

Most of the paper mills are running at 100 percent capacity and paper prices have remained firm and demand quite strong. However, the lower GDP projected will bring pressure in the next few quarters. Imports from China will also have an impact. With international prices coming down, cheaper imports will become a threat. Domestic demand was growing all along with the GDP growth. With new capacities added in the last two years, the new supply and demand has to find balance now.

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