The Forest Through the Trees
Dependent upon consumer
Another challenge facing paper producers next year is working within the boundaries of the economy and what consumers do with their discretionary spending. Optimism abounds that the economy will finally recover from the recession.
"The biggest issue moving forward is dealing with the economic realities that our publishers are dealing with," says Dominic Maiorino, vice president of sales for publication papers with Domtar. "We're trying to strengthen our relationship with the customer-and the consumer's ability to buy one or two novels a month impacts that." The purchasing power of the average consumer will also affect the manufacturer's ability to increase prices, and Maiorino expects that price increases will go into effect in 2003. Rogers, for one, does not anticipate a jump in paper prices at MeadWestvaco. The company, she says, recently increased prices as did some of its competitors in anticipation of an economic rebound.