Marginal Production of Pulpwood to the Pulp and Paper Industry
Examensarbete för masterexamen
The debate of waste management and recycling is a common element in the discussion on sustainable development. The development of these areas is commonly regulated by governmental policies on recycling rates and other activities. The effects of these policies are often on the margin of the system affected. This study aims at identifying the marginal production of pulpwood that would be affected through the market mechanisms of recovered paper and pulpwood, a mechanism described by Ekvall (2000). By using the method developed by Weidema (1999), the marginal production of pulpwood was identified. Five steps were used for enabling the identification. The steps involved investigation of the market situation and trends, constraints on production changes as well as a review over economic factors. Since the system studied was global, a system limitation was used in order to handle the data collection procedure. Ten different production systems were chosen dependent on natural and social conditions. The result shows that the marginal production of pulpwood originates from industrial plantations of fast-growing forests, for example Eucalyptus, in a region with similar characteristics as Brazil. The effect on this production by a change in Swedish recovery of paper is shown by the cross-price elasticity between recovered paper and woodpulp. The cross-price elasticity indicates that an increase in supply of Swedish pulpwood that corresponds to a 10% decrease in price will induce a 4.5% demand decrease of Ecalyptus pulpwood from Brazil.
Teknisk mekanik , Applied Mechanics