THE PAPER SITUATION.

Hokitika Guardian, 23 December 1920, Page 3

THE PAPER SITUATION.

I say with no hesitation that at present there ajre *no indcatuons whatever to predict any decrease in othc price of paper (especially news-print) for a considerable time (says an expert in the “Newspaper lAA r orld” of October 30tli). Paper-makers during the last six months have continually been “holding back” in the pulp market with the hope that the prices would conic down, but they are now learning to their own cost, that the prices are still soaring higher and higher, and lately there has been a rush to buy at any price. At Manchester, only last week, as'much as £45 per ton was paid for mechanical 'pulp (before the war the price was £2 6s) while the price of groundwood is already showing symtoms of a coming little jump—upwards. The average was paid to paper-workers during the last month, according to “The Labour Gazette,” showed an increase of 42.9 per cent ov.er the corresponding period of last year. Freight age is still high, coal—and it requires 3 tons of coal to produce a ton of paper —is still expensive, while the demand for. wood-pulp exceeds the present supply. AA’itli these few important factors in mind, where is the justification for the statement of cheaper news-print?