Riograndense pulp prices fall until discards 2015

CMPC Cellulose Riograndense, controlled by the Chilean group CMPC, works with a scenario of stability for the price of the folder until the year that inaugurates its new production capacity in Rio Grande do Sul, in 2015, said the company's President, DCI Walter Lydian Nunes. The Executive concluded yesterday, with the Government of Rio Grande do Sul, the closing of contracts that add up to $ 1 billion with local suppliers-above the expectation of R $ 600,000.
"There must be some accommodation of new capabilities on the market. The pulp grows as the global GDP grows and, moreover, there is a reduction in supply, with the closure of units in the northern hemisphere. So I believe that there may be variations in price, but nothing dramatic, "casts Nunes, who claims that the fluctuations should not change the expectation of return on investment. In addition, the Executive sees advantages in the fact the Riograndense project be brown field, featuring competitive costs for being integrated to an existing unit.
With start-up scheduled for May 3, 2015, the works of the project are with 10% 2 Guaiba of evolution, according to the spokesman, and "strictly on schedule". An estimated investment of $ 5 billion, the expansion should increase unit production of 450 thousand tons of pulp per year, to 1.75 million tons.
Besides the Riograndense, Suzano, the Montes del Plata (joint venture between Stora Enso and Arauco) and Klabin must expand its capacities on projects that add up to 4.3 million tonnes of pulp annually until 2016. The Eldorado is another who makes plans to grow until 2017.
The CMPC's Pulp capacity expansion Riograndense must serve for the company to expand its exports, today focused on Asia, to American and European markets. However, Nunes dismisses the purchase of new forest assets to support the growth-in 2012, the company acquired 100 thousand hectares of Fibria in Rio Grande do Sul. "We are with our supply base established, we have no vision for the purchase of additional areas."
Different from Eldorado, which soon after inaugurating its first plant has already announced plans for a second and third lines of production, the Executive claims the Riograndense don't have still further to the current expansion plans. "The commodity sector that is always a possibility, but we don't have anything designed," he says.
In a ceremony yesterday at the Palácio Piratini, CMPC Cellulose Riograndense celebrated the hiring of 30 companies Gaucho to supply products and services to the works of pulp and plant expansion announced that must qualificar6 thousand workers for the project, being 4 thousand this year.