In January-May 2023, the volume of marketable products of Kyiv Cardboard and Paper Mill (Kyiv Pulp and Paper Mill, Obukhiv, Kyiv region), Ukraine’s industry leader in this indicator, amounted to UAH 3 billion 063 million, which is 16.2% more than in the same period of 2022.
According to statistics provided by UkrPapir Association to Interfax-Ukraine, the mill thus slowed down the growth rate of this indicator slightly compared to the same period last year (in January-March, the growth exceeded 27%, in January-April – 21.7%).
In physical terms, the plant increased production of corrugated boxes by 36.6% to 88.33 million square meters. Cardboard output increased by 20.6% to 69.6 thousand tons, driven by a 36.4% increase in containerboard output to 57.5 thousand tons, while boxboard output decreased by 22% to 12.1 thousand tons.
At the same time, the output of base paper for sanitary and hygiene products maintained a negative trend: in January-May it decreased by 29.6% to 17.55 thousand tons, while the production of toilet paper in rolls fell by 30% to 99.3 million units.
Despite the decline in toilet paper production, the plant maintains a strong leadership in its production in Ukraine. In total, over five months, the industry’s major companies produced 238.27 million rolls (down 8%).
As reported earlier, the plant noted that the market for sanitary products in Ukraine had shrunk by 18-35%, taking into account the overall state of the economy, population decline (in particular, due to those who left the country and the loss of consumers in the occupied territories).
According to the industry association’s data from the main industry enterprises, in January-May 2023, there was a 12% increase in paper and cardboard production (218.61 thousand tons) and a 21.4% increase in cardboard boxes (197.26 million square meters).
Kyiv Pulp and Paper Mill is one of Europe’s largest cardboard and paper production companies with a staff of more than 2,500 people.
As reported, in 2022, the mill produced UAH 7 billion 432 million worth of products, which is 3.5% less than in 2021.
Pulp Mill Holding (Austria) owns 100% of the shares of PJSC KKBK.
According to the mill’s announcement in the NSSMC’s information disclosure system, the shareholder’s decision on June 12 elected a new supervisory board – it was again headed by Timur Sokolov, and three more shareholder representatives were re-elected for a new term – Heinz Zinner, director of Pulp Mill Holding, Osman Ismet Mustekaplioglu, president of the board of the Turkish REİS Pazarlama Ve Ticaret, and Stefan Prodol, managing director of the German Jacob Jürgensen und Zellstoff.
Oleh Dubrovka was removed from the SB and replaced by Ivo Valchev, Sales Director of Austrian Andritz AG for Tissue and Board, who became Deputy Chairman of the SB.
In addition, Klaus Gissing, Director of the Austrian Tissue Innovation & Application Center, was appointed to the new Supervisory Board as an independent member.
Zhydachiv Pulp and Paper Mill (ZhPPM, Lviv region), which is part of Osnova Holding, increased its output by 23.6% in January-November 2022 compared to the same period of 2021, to UAH 463.5 million.
According to the statistic data given to “Interfax-Ukraine” agency by association “UkrPapir”, thus for 11 months the plant managed to increase this index in comparison with the rate of production increase of the similar period of last year (for 10 months of 2022 it was 21.7% to January-October 2021).
The production of corrugated cardboard boxes is keeping a stable positive dynamics, having increased by 33,7% – up to 17,8 mln. sq. m. Production of containerboard (including corrugated paper) decreased by 13.8% – to 11.8 thousand tons.
At the same time, there was a significant reduction in paper output – down 39.5% to 3,700 tons.
As reported with reference to the Association, in January-November, the total production of paper and cardboard in Ukraine decreased by almost 44% compared to the same period last year – up to 459 tons, corrugated board – by 41.4%, to 404.3 million square meters.
At the same time, the largest Ukrainian producer of corrugated packaging – Rubizhne CPC received damage as a result of Russian aggression and stopped, but its subsidiary in the Kiev region – Tripol packing plant continues to work. According to UkrPapir, over 11 months it produced 1.99 billion UAH worth of products, and corrugated packaging produced 114 million square meters (the second figure after the Kiev KBK).
ZHBK suspended production with the start of the Russian military invasion, but production was resumed in March.
According to the Association, another plant within the Osnova holding, the Izmail Pulp and Paperboard Mill (Odessa region), increased its output by 1% to 213 mln hryvnias in January-November. In volume production of containerboard decreased by 35.9% to 7 thousand tons, corrugated packaging decreased by 43.5% to 10.8 million square meters.
PJSC Zhydachiv Pulp and Paper Mill (Lviv region), which is part of Osnova holding, in January-August 2021 increased production by almost 2.1 times compared to the same period in 2020, to UAH 256.3 million.
According to the statistics provided to the Interfax-Ukraine agency by the UkrPapir association, the plant thus maintained the growth rate of this indicator achieved in January-July.
In natural terms, the output of paper for the eight months increased 2.3 times – up to 4,470 tonnes. The production of containerboard (including corrugated paper) increased by 32.3% – to 9,520 tonnes, but production of corrugated containers decreased by 2% – to 9.56 million square meters.
Zhydachiv Pulp and Paper Mill was put into operation in 1951.
The capacity of paper production at Zhydachiv Pulp and Paper Mill (base paper for corrugation, cardboard liner, and cover paper) is 40,300 tonnes per year, cardboard production – 50,000 tonnes, corrugated board and corrugated packaging – 100 million square meters, and lumpy gaskets – 48 million pieces per year.
The European Bank for Reconstruction and Development (EBRD) is providing a loan of up to EUR 13.8 million in the form of two allocated tranches to PJSC Kokhavynska Paper Mill (Lviv region) to finance the construction of a new production and warehouse building.
According to a report on the EBRD website, the project involves the construction of a plant for the production of paper goods based on cellulose.
“The project assumes the construction of a facility for the production of pulp-based tissue products to meet growing demand for high quality tissue products. It will enable the company to enter the higher quality retail tissue segment, double its tissue production capacity and improve operating efficiency. The CAPEX for capacity expansion comprises tissue and converting machines, the construction of an industrial production and storage workshop,” the bank said on its website.
The total cost of the project is EUR28.5 million.
The shareholders of the plant approved raising a EBRD loan in the amount of up to EUR17 million to finance the construction of a new production facility at a meeting on November 10.
According to the decision, the property of the factory, the market value of which exceeds 50% of the value of the assets (according to the latest financial statements), will be pledged on the loan.
Zhydachiv Pulp and Paper Mill (Lviv region), part of Osnova holding, in January-April 2020 produced UAH 61.8 million worth of products, which is 56.5% less than in the same period in 2019.
According to statistics from the UkrPapir association, in January-April 2020, the plant decreased production of corrugated packaging by 15%, to 5.06 million square meters, and reduced production of cardboard and paper for corrugating by some 63%, to 3,600 tonnes. At the same time, paper production fell by 40%, to 1,030 tonnes.
Another enterprise of the holding, Izmail Pulp and Paper Mill (Odesa region), decreased its production 16.7%, to UAH 45.7 million. Package cardboard output fell by 21.8%, to 3,070 tonnes and corrugated box output rose by 3%, to 5.3 million square meters.
Zhydachiv Pulp and Paper Mill was put into operation in 1951. Now the mill produces mainly corrugated cardboard and corrugated boxes.
Kyivsky cardboard paper mill (Obukhiv, Kyiv region), a leader in Ukraine’s pulp and paper industry in terms of production and sales, saw a 5.9% rise in production of goods in money terms in January-May 2019 year-over-year, to UAH 2.275 billion, according to the Ukrpapir association.
Corrugated packaging output grew by 0.6%, to 94.06 million square meters, retaining the second highest result among producers of corrugated packaging in Ukraine after Rubizhne cardboard packaging mill in Luhansk region (with Trypilsky packaging plant).
Production of cardboard decreased 6.3%, to 80,070 tonnes. Production of package cardboard alone fell by 0.4%, to 58,650 tonnes, while box cardboard output fell by almost 19.3%, to 21,420 tonnes.
Production of base paper (for sanitary products) stood at almost 33,000 tonnes, which is 4.7% up year-over-year. Toilet paper output rose by 5.2%, to 183 million rolls.
Corrugated packaging output in total in Ukraine (including other producers) fell by almost 5% in January-March 2019, to 234.17 million square meters, that of paper and cardboard decreased by 8.7%, to 213,860 tonnes and toilet paper grew by 3.7%, to 173 million rolls.
Kyivsky cardboard paper mill is one of the largest cardboard and paper producers in Europe. It employs almost 2,200 people. It sells produce to almost 700 companies in Ukraine, some CIS member states and the rest of the world.
