Paper Week 30 November 2005 Paper Recycling: Challenge and Opportunity for the Paper Sector Paper Week-Open Seminar: Wasted Opportunity? November 30, Brussels María Gafo Gómez-Zamalloa Unit Forest-based Industries Paper Week 30 November 2005 Outline for the EU Forest-Based Industries 1. The main challenges 1. The main challenges for the EU ForestBased Industries 2. How to overcome the challenges? 3. Ongoing and Future Additional Actions Paper Week 30 November 2005 1. The main challenges for the EU Forest-Based Industries Cost and availability of virgin and recovered raw materials: wood, chemicals, recovered paper… Evolution of energy/transportation costs Evolution of the environmental framework in the EU and globally Structural adaptation to a changing demand Permanent technological and innovative update Paper Week 30 November 2005 Average Weighted Cost Structure of Paper & Board Capital charges 19% Fibres 32% Other manufactu ring costs 11% Personnel 13% Chemicals 12% Energy 13% GmbH/S.A./Ltd./etc. (data from 3Q2004 for CEPI ) Source: Jaakko Pöyry Consulting Paper Week 30 November 2005 Outline for the EU Forest-Based Industries 1. The main challenges 1. The main challenges for the EU ForestBased Industries 2. 2.How Howto toovercome overcomethe thechallenges? challenges? 3. Ongoing and Future Additional Actions Paper Week 30 November 2005 2. How to overcome the challenges? Paper and Board Sector: Opportunity to be Competitive and Sustainable Authorities and industry act together towards this goal ►A new and broader commitment by the paper industry, recycling sector and other related stakeholders is needed. Paper Week 30 November 2005 2. How to overcome the challenges? Advisory Committee on Community Policy regarding Forestry and Forest-based Industries: WG on Paper Recycling: - Current developments in EU Waste Policy European Declaration on Paper Recovery Paper recycling: latest developments and remaining issues Discussion about a future commitment on behalf of the industry ►Welcome and support the initiative from the Industry to put in place a new –broader- commitment Paper Week 30 November 2005 Outline 1. The main challenges for the EU ForestBased Industries 2. How to overcome the challenges? 3. 3.Ongoing Ongoingand andFuture FutureAdditional Actions Actions Paper Week 30 November 2005 3. Ongoing and Future Actions New Communication on Industrial Policy: Improve the framework conditions for manufacturing industry and ensure the consistency of policy areas. Deepening and supplementing the framework for industrial policy taking into account the characteristics of individual industry sectors (including the forestbased industry) ►High Level Group on Competitiveness, Energy and Environment ►New Communication on Forest-based Industries Paper Week 30 November 2005 3. Ongoing and Future Actions HLG on Competitiveness, Energy and Environment Promote sustainability and competitiveness in manufacturing industry Further a greater coherence in environment and energy policies Partnership with all stakeholders, strengthening Better Regulation Scope: complex interaction between competitiveness, energy and environment Paper Week 30 November 2005 3. Ongoing and Future Actions New Communication on Forest-based Industries in 2006 Cumulative incidence of measures, specially energy and environment Challenges for the Forest-based Industries Measures to improve the competitiveness of EU forest-based industries Paper Week 30 November 2005 3. Ongoing and Future Actions R&D + Innovation Forest-sector Technology Platform www.forestplatform.org Paper Week 30 November 2005 Thank you for your attention!