Hungary: Paper production could rise by up to 50%

Mar 25, 2010. /Lesprom Network/. Paper production in Hungary could rise to 700,000-800,000 tons this year from 525,000 tons last year, primarily due to 350,000 tons in added annual domestic capacity at Hamburger Hungária's new HUF 60 billion ($303 million) plant in Dunaújváros, the business daily Napi Gazdaság reported. Paper Research Institute CEO István Lele said that the value of paper produced in Hungary could rise to HUF 84 billion ($424 million) this year, noting that packaging paper constitutes 90% of all paper manufactured in the country, compared to 75% previously. Lele said that Hungary now imports virtually all of its office and hygienic paper, while the country exports most of its packaging paper. Lele estimated that the profit of paper companies operating in Hungary declined 15% last year. Hamburger Hungária, a member of Austria's Prinzhorn Group, had begun test production at its Dunaújváros plant, which intends to sell its output made entirely of recycled feedstock in central and southeastern Europe. The plant, which will employ 280 workers, is expected to generate annual revenue of Euro 140 million-Euro150 million.