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The economic outlook for the woodpulp industry in British Columbia Wood, William Fordham Johnson

Abstract

The Honourable Mr. Ralph Loffmark, British Columbia's Minister of Trade and Commerce, has taken the position that demand for woodpulp will greatly exceed the supply during the next five years. On the other hand, leaders of British Columbia's pulp and paper industry fear that a large surplus of pulp is inevitable. In this thesis, the difference of opinion was examined by forecasting demand for paper and paperboard for the period of 1965 to 1975. From this estimate was derived the expected requirements for chemical pulp and bleached sulphate market pulp for the same period. The demand for bleached sulphate was then compared with the potential supply, leading to the judgement that a surplus condition will exist. Finally, the principal factors which would affect the financial outcome for an independent bleached sulphate pulp mill were analyzed. The conclusion was reached that an independent firm would be profitable in spite of the anticipated surplus.

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