Arauco in Chile announces unchanged August pulp prices for China of US$610-US$620/tonne (net) for bleached radiata kraft pulp, US$670/tonne (list) for eucalyptus pulp, US$570/tonne (net) for unbleached

Diane Keaton

LOS ANGELES , July 27, 2012 (Industry Intelligence Inc.) – Celulosa Arauco y Constitución SA (Arauco) in Chile today announced unchanged August prices for China, a company official said.

He said the August prices for China are US$610-US$620/tonne (net) for bleached radiata kraft pulp (BRKP), $670/tonne (list) for bleached eucalyptus kraft pulp (BEKP), and $570/tonne (net) for unbleached kraft pulp (UKP).

The August BRKP and UKP prices reflect downward adjustments made in July after an earlier announcement of unchanged July prices.

Arauco had originally announced that its July price of BRKP would be unchanged, at $650/tonne (net), but later dropped it to the $610-$620/tonne range, with the $610/tonne price being only for significant volume business.

Its earlier price for UKP was $590-$600/tonne (net).

Also in July, Arauco adjusted its UKP price in South Korea downward by $20/tonne, to $570/tonne; today a pulp sales agent in South Korea said the July BRKP price is expected to be adjusted by $20/tonne, too, to $695/tonne.

Arauco has a total capacity of 3.235 million tonnes/year, including 2.885 million tonnes/year at its mills in Chile.

The company’s Alto Paraná mill in Argentina has a capacity of 350,000 tonnes/year. The mill's Line 1 can swing to either fluff pulp or BRKP following a conversion that added up to 200,000 tonnes/year of fluff pulp capacity, along with an existing 100,000 tonnes/year fluff pulp line.

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