"We have been in the paper industry efforts to make the export tax rebate, but the revitalization of the planning from the light industry to the present, there is no public mention of the language thing. Even though the specific varieties have not announced a tax rebate, but whether the paper industry can be included, we are not optimistic. "China Light Industry Information Center, informed sources told reporter

March 25, held a State Council executive meeting decided that from April 1, 2009 improve from textiles, garments, light industry, iron and steel, nonferrous metals, petrochemical and electronic information products in six categories, such as the export tax rebate rate.

Prior to planning the revitalization of the light industry, the industry as a whole only for general planning, such as "on the part of labor-intensive and high technology, energy saving and environmental protection products processing trade, the abolition of restrictions. Some light industrial products to further enhance the export tax rebate rate." Paper industry has not been specific policy support, market rumors of Recovery does not include the export tax rebate rate.

The six categories of products and adjust the export tax rebate rate, paper may once again be excluded.

Did not enjoy the discount has been five years

1 January, 2004, a one-time adjustment of the country海关税号for Chapter 47 (4701-4707) (ie, wood pulp and other fibrous cellulose pulp, waste paper and paperboard products broken) and 4801-4816 (paper, cardboard) products the export tax rebate rate from 13% zero adjust. This means that from the beginning in 2004, paper making industry is no longer enjoy preferential export.

At morning light, before planning for the revitalization of the industry on the general rumor of export tax rebate rate of paper industry will again probably. Yang Chunyan paper industry analyst at Orient Securities, told reporters at the time, this time may be referred to the tax rebate rate of about 5%.

These insider said: "In fact, the discussion at the Development and Reform Commission, we hope that once in place, the tax rebate rate of near 10%. However, such a country for the paper 'one of two high-funded' (high-energy, high - pollution, resource-based) industries, there will be more natural to consider. "

In fact, according to 2008 data published by the National Bureau of Statistics, the national paper industry output of more than 8300 million tons, of which export volume was only about four million tons, accounting for 5% of total output. Informed that the above-mentioned, even raising the export tax rebate rate will not increase the export situation.

It is understood that the paper industry to export high value-added paper-based and so on. Domestic such as Nine Dragons Paper (2689.HK) and other large enterprises, a relatively high export share generally. In terms of export, domestic enterprises are not obvious competitive advantage, the insider said: "The pulp and mechanical equipment are imported, the production of a very weak labor costs. Domestic water and electricity only in foreign countries than there is advantage, but If you take into account the freight factor, the price advantage is not large. "

Paper, as a big industry, are characterized by inputs, and one paper machine up into a few million or even billions, once more lay-off losses. The export tax rebate rate is therefore as important to support industry initiatives, and its strategic significance to the meaning than tactical.

The source said, including the paper industry, including a lot of planning is not enough to reflect the revitalization of "thirst", the state also is organizing a new round of research, possible introduction of the policy will continue. "Export tax rebate is the only one in line with WTO rules, common all over the world to encourage the export policy. If the export tax rebate be reflected on paper, of course, very good. If not, we will continue to strive for."

Squeezed

Policy seems to spring a short period of time and paper industry can not disperse the winter air.

Exports are one of the reasons for declining industries. Nine Dragons Paper Packaging Papers are leading enterprises in the industry, the company revealed that Cheung Yan, Chairman, as exports continued to decline, and its 1,2 months of this year exports of paper products has decreased, by the year 2008 the total turnover of about 50% to 20 %, the global economic slump curbed demand.

Public Relations Manager of Nine Dragons Paper month cream Yang said: "We also hope to benefit the introduction of better policies." In fact, because of poor market conditions, the original Nine Dragons Paper 1.6 million tons capacity expansion projects will be delayed until after 2010 . Yang cream month that if the economy has yet to be resumed in 2010, will be further delayed.

Another main reason for low paper industry is the clothing, toys and other light industrial packaging industry demands to weaken down the cause. Domestic paper industry ranks third in King Hing Paper [4.52 3.43%] (002067.SZ) in the March 21 announcement said, and stop the implementation of 400,000 tons of Kraft Liner Board projects. The company said that affected by the economic crisis, the domestic import and export volume reduced, the main products the company needs a sharp shrinkage of Liner Board.

King Hing Securities on behalf of Paper吴艳芳told reporters: "About the company production capacity of 920,000 tons, in addition to 200,000 tons of corrugated cardboard, the other most of Liner Board. Sluggish economic environment and the attenuation export, we will certainly be affected. "

King Hing Paper预亏2 performance in 2008 billion yuan, the first two years of paper industry increased business degree, the major paper-making enterprises to accelerate the expansion of production capacity, resulting in serious over-supply of products. Since the fourth quarter of 2008, sudden macroeconomic environment, the main products significantly shrinking market demand, industry inventory backlog in serious condition in the fourth quarter product sales price decrease 30%.吴艳芳said: "The sharp fall in prices of raw materials is one of the reasons why the company Economic Information Daily, at high prices to buy raw materials at the time the fourth quarter of last year, prices have fallen sharply, the company operating the resulting large losses happen."

The two leading enterprises in the industry shows that the fatigue of the lack of industry-wide. Data show that the first two months of 2009 the cumulative growth of light industry output value of 8.83 percent for the same period last year to about 29%. Export delivery value of 11.38 percent year-on-year decline in the same period last year are up about 14%. Difficult industry trends and the recession is quite obvious. Paper industry has not statistical data, but overall a similar light, only single-digit growth, with the same period last year can not be compared to about 20%. "Anhui Light revitalization planning" also pointed out that the paper in 2009 the province will be a serious decline in corporate profits, some companies will be 5% -20% of negative growth.

A number of enterprises in an interview said: "It is only until the resumption of the economic environment, the paper industry will have a big improvement." They also appealed to many countries to give the industry greater policy support.

By the end of 2008, China Paper Merchants Association have been submitted to the relevant policy recommendations in a report, including raising the export tax rebate rates, the resumption of the processing trade policy, such as waste paper, but little response.

Processing trade policy paper refers to the import of waste paper raw material production for direct export, the export tax rebate and enjoy all kinds of paper are the main raw material Liner Board. Clearly point to this policy is to encourage the domestic production of export surplus of Liner Board.

These insider said: "The planning has been released for the revitalization of November last year when the situation of the difficult situation now was more than serious. At present, the most important security measures are the business, followed by the growth plan. for changes in the international industry looking for new opportunities in the country should be given to support exports. "