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MARKET PULP SHIPMENTS INCREASE

MONTREAL, QC — In November, world chemical market pulp producer inventories increased by 115,000 tonnes compared to the previous month, according to the Market Pulp Association. Market pulp shipments were up 3.4% year-over-year, and 4.4% higher on a year-to-date basis.

Pulp producers operated at 96% capacity, 2-percentage points more than Nov. of last year.

DEMAND FOR PACKAGING IS UP

MONTREAL, QC — North American containerboard production was up by 72,000 tonnes in November — a 2.7% increase compared to Nov. 2002, while boxboard production increased by 2.8%.

Containerboard demand showed some improvement — up 2.2% from last year. Demand for boxboard strengthened, up 3.3% from last year.

The Pulp and Paper Products Council said North American containerboard mills operated at 92% of their capacity, compared to 90% a year ago. Boxboard mills operated at 88% their capacity, compared to 83% in Nov. 2002.

KRAFT DECLINES

MONTREAL, QC — North American production of kraft paper declined for the eleventh consecutive month, down 13.2% for the month, and 12.1% year-to-date.

Producers operated at 80% capacity, down from 90% in Nov. 2002.

Shipments were down 10.2% as demand continues to decline, down 16.7% compared to 2002.