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Home News Branch news BOARD AND PAPER PLANT IN NABEREZHNYE CHELNY CAN HAVE THE PROBLEM WITH RAW MATERIAL

BOARD AND PAPER PLANT IN NABEREZHNYE CHELNY CAN HAVE THE PROBLEM WITH RAW MATERIAL

Board and paper plant in Naberezhnye Chelny can have the problem with raw material: waste paper and board for the manufacture of the production (the most popular mark on KBK is toilet paper).  General Director of KBK Vladimir Bestolkov told about it.
“When ruble devalue towards dollar and euro, many companies which worked with foreign markets now increased the shipment for export, it is profitable for them” – top manager explained.
Paper machines were not stopped yet.  “We have raw material on the plant” – Mr.Bestolkov assured. 

KBK depends on 100% from raw material, press service of them ill explained: «At this moment the situation with the delivery of waste paper is rather stable. But in stability on the market of raw material increased because of decreasing the capacity. Prices for waste paper began to increase”. Exactly numbers were not told to us.
It is considered the main reasons of deficit are bad work of waste paper assemblers at population. There is also refocusing supply of waste paper from internal market to export: “There is active export of waste paper to Europe, China and CIS states “.
Some factories which are closer to Europe became to export raw material abroad, it is profitable for them and there is a deficit on the internal market Nicolay Atlasov confirmed, shareholder of company “Promindustry” (supplier KBK).

Mr.Bestolkov sent an appeal to minister of economic development in Russia Aleksei Ulukaev, vice prime-minister of Russia Alexander Hloponin  and chief executive officer RAO “Bumprom” Vladimir Chuikowhere he described the situation . 
Content of the proposal is embargo of export raw material beyond Russia in induction the duty in the amount of 100% from customs price for export of waste paper, rejection of paper and board (but not less 120 Euro per ton).
The day before yesterday we got the letter with signature of deputy of The Ministry of Economic Development and Trade Oleg Fomichev that our proposal will be clarified”,- Bestolkov said. He hoped that Embargo for export of raw material should be accepted during 2-3 weeks.

Suppliers from Chelny work with KBK continuously. Upon the words of Bestolkov if they decreased the shipment, but for the other reasons it is less waste paper today because purchasing power decreased.
There are not suppliers of raw material which stopped to work with KBK.  “They increased the shipment to Europe and decreased the shipment to us. There is disappearance of certain grades, today is light grades (paper). 
Bestolkov thinks the measures for support of the plant should be taken only on federal level. It includes the cancel of VAT and with holding tax for hanging –over of waste paper.  Company works on this issue with management of republic. 
While export charge is not accepted, one the way out is to suggest suppliers higher price for waste paper but it will influence on the increasing of production price and decreasing of profit tax.

«It is not possible to help KBK to solve the problem of supply raw material on the level of State council (Tatarstan) because requirement of the plant in raw material increases opportunities of the town “– member of State council Vladimir Vasev said.  Naberezhnye Chelny  and Tatarstan give raw material  KBK 105% from total requirement. 
Supply of raw material from Tatarstan is 20 000 ton – 9% from total amount.
According to the data of Atlasov only 50% from material in Tatarstan used in Naberezhnye Chelny KBK; the other part goes behind republic. “It is also the opportunity for increasing the production” – he said.
Atlasov supports Bestlkov: it is necessary to increase export charge, to cancel VAT for those who collect waste paper. “It is necessary tomotivate more entities to collect raw material, it is necessary cooperative work with local authority. Local authority should help, to organize reception centre, to give discounts, to attract social organization to collect raw material”- Atlasov said. Upon to his words raw material should not be on waste deposit but in processing: “It is necessary to try organizing reception centre not in the end of the town, but they should be near the population.

Vasev agreed with Atlasov: «It is necessary to develop own preparation section, to work with population and to organize constant logistic. He thinks that most raw material leaves to waste deposit and to the ground.
 

 


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