Brazilian pulp exports should rise by 2019

The contents of pulp exports should grow thanks to increased demand from Chinese American and European markets, and favorable exchange point data from Brazil's Forest2Market. The pulp is exported at a time prosperous, with very advantageous prices for producers. The Brazil is gaining more and more space as the world's largest exporter of pulp, leaving behind competitors such as Canada, the United States, Chile and Indonesia. Currently, our country is the second largest producer of pulp in the world, second only to the United States, and the leading exporter. The expectation is that this scenario continue until 2019, once the demand growth is linear but the offer is not included in this rate. Since 2007, pulp exports have found fertile ground, growing gradually. "In the last 10 years, there has been a growth of 110% (8%) in value and 111% (8%) by volume, reaching a historical level of exports in this segment," points out the Forest2Maket of Brazil Director, Marcelo Schmid. "In the period in question, we observe an increase of external market demand for pulp, mainly from China, the United States and Europe," says Marcelo. According to him, the Exchange is also favorable, contributing to the increase in exports. "The main competitors of Brazil does not have the capacity to keep up with this demand, which causes the country shoot the ranking of the main exporters." In 2017, the Chinese market was the main importer of brazilian pulp, followed by European and North American markets. "The national market of pulp lives an interesting moment," claims the specialist. "The Brazilian pulp and paper segment was the main driver of the expansion of our industry over the past 15 years. About 70% of the planted forests in our country are directly or indirectly linked to the segment. In 2017, States that have obtained better performance in exports of pulp in the country were Bahia, Espirito Santo and Mato Grosso do Sul. For the latter, the pulp is so important that matched the most exported product at the beginning of 2018. "The production capacity of the brazilian pulp industry has been increased year after year, being the last great expansion duplication of Fibria's factory, in Mato Grosso do Sul in 2017," He points out. "According to different projection specialists, the cycle of price increase should last until 2019. In this and the next year pulp exports should keep growing and Brazil will continue to be an attractive market – example of this are the recent acquisitions of Fibria by Suzano and Lwarcell by the Royal Golden Eagle (GER), owner of April. In addition, the opening of a new cellulose plant in Mato Grosso do Sul sometime this year.