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APP China releases “Paper Contract with China” 2Q 2010 report

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APP China releases “Paper Contract with China” 2Q 2010 report

July 18, 2010 - 16:17
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SHANGHAI, July 19, 2010 (Press Release) -Following the administrative decrees issued in May by the Chinese State Council and the Ministry of Industry and Information Technology (MIIT), the target for the Chinese paper industry to eliminate its backward capacity has been raised from 530,000 tons to 4.32 million tons, aiming to cut both emissions and energy consumption drastically and realize a greener paper industry in China. Echoing to the decrees, APP-China pinpointed in its latest "Paper Contract with China" quarterly report that the implementation of "clean production" and "plantation-pulp-paper integration" will be the best way for the industry's greener future.

"Backward production capacity" refers to outdated production facilities which consume vast amounts of energy but produce very little in terms of products. The latest policy will further weed out those small-scale, old and unsustainable plants and the market gap left will be filled by plants advanced in both technology and environmental performance. Such integration will not only reduce emissions and energy consumption, but also reshuffle the market and enhance the overall competitiveness of the Chinese paper industry.

To effectively eliminate backward capacity and make sustainable paper industry a reality, many leading paper-making enterprises such as APP-China has adopted a green circular economy model and implemented "clean production" facilities and "plantation-pulp-paper integration". The good practices of APP-China showed that the paper industry can indeed be a green industry promoting a harmony among the society, the environment and the economy.

Zheng Rui, executive director of APP-China, commented "The recent government policy on eliminating backward capacity, though poses acute challenges, is an opportunity for the paper industry to take a faster track of technology advancement and scientific management."

"The future of the paper industry lies in the concept of ‘plantation-pulp-paper integration', which essentially makes paper a completely renewable product and contributes to the development of carbon sinks."

Apart from the in-depth analysis on the elimination of backward capacity, the second quarter report also provides an update of PCwC's latest achievements including APP-China receiving "Green China Travel - Scientific Plantation 2009" Award from China Green Foundation, Economic Development Research Center of State Forestry Administration, and People's Daily Online, and "2010 Good Social Responsibility Corporate Award" from China Foreign Investment Enterprise Association, China Charity Federation and China Enterprise News. In addition, APP-China and Huang Yi Cong Foundation donated RMB 20 million (USD 2.95 million) for Yushu Earthquake Relief in April.