PULP- refined plant fibre

Wood and other plant materials contain three main components (apart from water): cellulose fibres (desired for

papermaking), lignin (a three-dimensional polymer that

binds the cellulose fibres together) and hemicelluloses, (shorter branched

carbohydrate polymers).

Pulps

World Wide Paper Consumption

In 1961 =78 million tones. In 2005 =365 million tones Projections show by 2020 – will reach 494

million tones Average growth rate of 2 per cent a year.

Ethiopian Consumption In 1996= 54,000 tones/yr In 2007= 80,000 tones/yr Average growth rate of 6 per cent a year

Per-capita consumption = 1kg/p/y (Lowest)

Country Per capita consumption, kg/yr

USA 332

KOREA 159

CHINA 29

INDIA 05

ETHIOPIA 01

WORLD AVERAGE 54

FUTURE TREND IN ETHIOPIA AND WORLD WIDE

Little can happen in modern life without paper

It's almost impossible to imagine development without paper.

The ongoing economic development and livelihood

improvement in Ethiopia inevitably would create huge demand of pulp and paper products.

Expansions of schools and universities Increasing of Manufacturing sectors that needs

packaging and wrapping Household consumption will increase

THE CONSUMPTION AND DEMAND WILL INCREASE !!

Ethiopia doesn’t produce pulp There are over 22 companies

involved in paper making and trading businesses in Ethiopia, only ‘Wonji’ and ‘Barguba’ plc uses imported pulp for their

paper mills while others import already produced paper rolls for further

processing

10,000 tones/yr pulps imported at a cost of 8 million USD

Only some 30% of the country’s paper demand is produced in the country.

Every year the country spend 72 million USD/yr

Pulping and paper making industry in Ethiopia is at its infant stage !!

General SystemUnless and otherwise there is a capital constraints, the most

advisable is to establish an Integrated production system. This is an installation in which the production of paper is directly connected with the production of pulp

proposed pulp mill would have a capacity of

100 tones/day=30,000 tones/yr

 

The fiber source for the proposed pulp mill in the region :

1. Currently available and already developed sources

2. Potentially to be available in near future

1. Currently available and already

developed sources

Eucalyptus and Bamboo are known for their quality pulp in the world market.

Strength

Brightness

High Opacity

Strategies of fetching the existing resources

A. Outgrowers scheme

B. Concession of state forests

C. Own plantation

Unseen and underestimated forest resources in the region.

The trend is more lands including farmlands has been and will be converted to wood lots (mainly eucalyptus spp.

Framers once they are librated from subsistence farming, they prefer to invest on forestry for the following reasons:

The fertility of the land is decreasing that become more preferable for crops than trees

Environmental risk mainly erratic rainfall is more series for crops than trees

more market is created for woods than ever before

  Outgrowing forests are mainly developed by:

Communities and their institutions (municipalities, Pas, cooperatives, churches, etc)

smallholder investors, Individual farmers, on shelterbelts, home gardens, woodlots and a

diverse range of agroforestry systems.

a. Eucalyptus globulesAmong the many Eucalyptus species E. globules is the best pulping

species. In Amhara region almost all zones and woredas are rich

with this species.

But from easy accessibility and marketing the following focal areas

are very attractive:

DebereTabor-Gashena and its vicinity

Dessie and its vicinity

DebreBrihan and its vicinity

Tarmaber-Menze and its vicinity

DebreMarkos and its vicinity

Enjibara and its vicinity are potential areas of well

developed outgrowers’ scheme for this species.

Start up catchments for E.globules

i. Debre Tabor to Gashena20,700 ha Eucalyptus woodlot currently.

ii. Dangela to Addis-Alem

15,000 ha Eucalyptus woodlot currently.

iii.10 km radius of Debremarkos town

2500 ha Eucalyptus woodlot currently.

These three woodlot catchments with a maximum distance of 280 km from Bahirdar, currently there is nearly 38,200 ha with estimated wood volume of 3,056,000 m3 with MIA of 10m3/ha owned by out growers.

b. Eucalyptus camaldlusis

The second important eucalyptus species for pulp making. In Amahra, region this species is found in a mid altitude areas (1700-2400 masl).

The major potential areas for this species in respect to this project are:

Bahirdar-Dera-Fogera-Estie Bahirdar-Marawi-Dangela Awi(Adds- Alem)- Bure- Fenoteselam Engibara-Chagni Gondar town and its vicinity

In all these areas with a maximum distance of 200 km from Bahirdar currently there is 20,000 ha with estimated wood volume of 1,500,000 m3 owned by outgrowers.

Bamboo (Highland + Lowland)

The major Fetching catchments for highland Bamboo are:

Awi zone : Banja, Guagusa, Shkudad, Injibara town adminstartion, Fagita Lekoma and Ankasha Woredas

West Gojam- Sekela, Dega damot and Quarit East Gojam- Sinan and Bibugi South Gondar-Farta and Eastern Estie

The major Fetching catchments for Lowland Bamboo are:

Awi zone- Jawi, Guangua and Ankesha North Gondar- Quara, Metema, West and Tach

Armachiho and Adiarkay.

Type of Resource

Total available forest, ha

Total available Volume of wood, m3

Amount of wood to be

fetched (1/3)*, m3

Potential Pulp

production, tone**

# Years to feed the mill***

Eu. globules 38,200 3,056,000 1,018,666 169,777 5.6

Eu. camaldulesis 20,000 1,500,000 500,000 83,333 2.7

bamboo 1600 128,000 42,666 7,111 0.24

Lowland bamboo 5000

Total Resource 64,8004,6840,00

1,561,332 260,222 8.6

Summary of the resources by the out-grower scheme and Indications

Remarks* all the available resources are not expected to come to solely to the company. There are others like

own utilizationother users Environmental reason

** Conversion rate is 1 tone of dried pulp = 4 tones of green wood log=6 m3 of green wood log0.6 tones of green wood=1m3 of green woodAverage 6-8 years of age eucalyptus wood lot would have 80m3 of wood/ha

*** the proposed pulp mill would have a capacity of 100 tones/day=30,000 tones/yr . This would require 120000 tones of wood=200,000 m3 of wood = needs to harvest 2500 ha

Already established state forests

Up to 25000 ha!

2. Potentially to be available in near future

Bagasse is a sugarcane fiber

After the sugar is sacked the remaining cellouse is

source of fiber.

Most sugar factories use this by product as a source of energy for the factory, however there is always excess products that can be used for pulping.

In near future Tana_Beles and Tendaho sugar factories will be established.

Opportunities

There is already the resource base for pulping industry in the region in different forms that enables to begin pulping industry:

Extensive Eucalyptus spp with trend of expansion Extensive Bamboo spp which are one of the priority species

among the hard woods for pulping

Compared to others wider and suitable ecological basis for growing variety of tree species with short rotation period for pulp industry both for long and short fibre species.

The ongoing economic development and livelihood improvement in Ethiopia inevitably would create huge market of pulp and paper products

Cont…

The range of possible uses for pulp and paper products are almost limitless that gives wider market possibilities :

Writing and publishing materials Wrapping and Packing materials Sanitation materials Decorating materials Paper boards Raw material for further

products (e.g. pencil)

Cont…

The size of trees that could be used for

pulping is much lower than any other forest

industrial products which in turn reduces the

gestation period of forest investment and

financial return periods both for the

subsistence farmers and investors

Untapped resources from used paper and pulp

products that could be recycled

Alternative UsesUnprocessed Eth Birr/m3

End product Eth Birr/m3

Value added in

%Remark

Fuel wood 100-150 100-150 0

Construction

wood

150-300 150-300 0

Chipwood 300 1000 333

Pulp 300 1296 432 1 tone of dried pulp =5.4

m3 of woods =7000 birr

Paper 300 1666-2222 555-740 1 tone of paper =5.4

m3 of woods =9000 -

1200 birr

0

50

100

150

200

250

300

350

Indonesia Brazil China Ethio-1 Ethio-2 Ethio-3 Ethio-4

US

$

Wood Chemicals Energy Labor Other Delivery

277284

242

278

306

271287

Major determining factor of competitiveness in pulping industry is

the cost of wood !!

Scenario 1- Current situation

Scenario 2- Worst situation

Criteria Huge water supply (3million lit/day (34 lit/sec) Effluent stream with minimum environmental harms

(Diluting effect) Optimal distance to the wood supply Easy transport Labor availability Land availability for mill and accessory establishment Workers’ accommodation facility Infrastructure mainly telephone, electricity and other

health and education facility

Accordingly

BahirDar-Tis Abay along the Abay river

Abay has a discharge of 9.7 billion lit/day (113,300 lit/sec) ,which offers reliable fresh water and 1:3320 diluting effect for waste water Little downstream effect

Optimal distance to major wood sources North Gondar, North Wello, South Gondar, Awi, West Gojam and East Gojam zones.

Brings Economic transformation through creating backward and forward linkage:

Subsistence Farmers and Farmers based institutions (PAs, Cooperatives, Schools, Religious institutions )

Commercial forest growers Local traders including transporters Small and micro enterprises Intermediate Consumers (Manufacturing industries) Final Consumers

As a result the industry will play pivotal role in creating value chain.

Cont. Plays not only saving foreign exchange

but also generates foreign exchange

Creates huge amount of employment opportunity at various level (From Tree planting, harvesting, transporting to processing and marketing)

It is the best alternative to make use of the existing and expanding Eucalyptus resources of the region

Integrated system mill(Pulp + Paper Mill)30-40 million USD

High Initial Investment but profitable !!

የካፒታል ምንጩ ከየት ይሆናል?

የአክስዮን ማህበር መkk ምና አክሲዮን በመሸጥ ከፒታል ማሰባሰብ

የአክሲዮኑ አበላት እነዲሆኑ የታሰቡት ጥሪት ያላቸው አርሶ አደሮች የደን ባለቤቶች የህበረት ስራ ማህበራት የከተማ መስተዳድሮች የግል በለሃብቶች የልማት ድርጅቶች

THANK YOU!