Paper Market Update — Paper Industry Strikes Out

Overall, prices for 2005 should more or less average what they did in the fourth quarter of 2004—a level not far off the long-term industry trend, Miller believes.

Rick Dethloff, director of purchasing at Arandell Corp. in Menomonee Falls, WI, says the strike at UPM's Miramichi mill has created some apprehension in the market as to whether the supply of coated groundwood will meet the projected demand. "This apprehension caused major buyers to place bulk orders in an effort to build inventory of coated groundwood," he observes.