Aug 28, 2008. /Lesprom.com/. rctic Paper sold 205 thousand tonnes of uncoated paper during the first six months of 2008, the company said. This is a volume increase of 7% and a sales value increase of 13%, compared to the same period in 2007. Production takes place at the mills in Munkedal, Sweden and Kostrzyn, Poland, and represents about three quarters of Arctic Paper’s total production. The sales volume of coated fine paper, which makes up the remaining 25% of Arctic Paper’s production, totalled some 71 thousand tonnes during the first six months of 2008. The volume increase was 12% and the sales value increase was 12%, compared to the same period last year. Arctic Paper’s total sales volume during the first six months of 2008 totalled 276 thousand tonnes, an increase of 8% compared to the same period in 2007. Total sales for 2007 totalled 3,640 million SEK ($ 0.6 million), which corresponds to a volume of 505,000 tonnes of fine paper. After a period of increasing negative results, Arctic Paper reversed the trend and presented a positive result for 2007. The after-tax group profit for 2007 totalled 20,4 million SEK ($3.18 million). Chief executive Olle Grundberg said: "Generally, the industry has small margins. The prices for fine paper have fallen in recent years but are now stabilising. The increases in energy prices are a concern and we are implementing measures to reduce their effects." Grundberg also said current competition was extremely tough and said new competitors were making their entry from Asia, the US and Canada. In all, approximately 10 million tonnes of woodfree uncoated fine paper and 8 million tonnes of woodfree coated fine paper are consumed in Europe. The market for fine paper is growing by 1-2% per year.