If built, the machine would be the second to be added to the UK’s line-up, after Ecco Newsprint announced plans to build a new plant in Middlesbrough last year.

Currently, Aylesford’s two machines are responsible for 400,000 tonnes of the estimated 1.1m tonnes that the UK produces every year.

World scale
The older machine of the two (PM13) currently produces 100,000 tonnes a year. If the new machine is as productive as the second, more modern machine (PM14), Aylesford’s capacity could increase by around 50%.

Described as “world scale” by Ecco, its new kit will be capable of producing more than 400,000 tonnes a year.

These two schemes could mean more than 600,000 extra tonnes from the UK.

Currently, only around one third of the 2.65m tonnes of newsprint used in the UK is produced here, so newspaper publishers may start looking closer to home for their suppliers.

Marcus Moir, managing director at Ecco Newsprint, says UK newsprint users are crying out for local capacity.

He explains: “There is a huge amount of import at the moment. Our figures show only around 34% of newsprint used in the UK is produced here. Customers are concerned that the UK cannot feed itself.”
According to David Crow, divisional managing director at Johnston Press who heads up the publisher’s print operation, more UK capacity will help lower newsprint prices.

He says: “As an increase in the local market capacity would help stabilise prices and improve efficiencies.
“There would be less need to buy paper from abroad, and that would put prices under pressure to drop, or at least be very competitive.”

Local suppliers
But the proximity factor is not only an issue when buying from abroad. Stephen Barkley, managing director at Cumbrian Newspaper Group, says he would be interested in using the Ecco plant because his company is based close to its site. He believes it could be advantageous to buy from a supplier that is even more local than the UK suppliers his firm already uses.

However, the increase in local capacity may not have as drastic an effect on the UK market as some might think.

Ecco’s Moir believes that the new capacity will merely serve to replace outgoing sources. There is speculation that the UK’s older newsprint mills may need to close soon, while some of the import capacity may be drying up.

He says: “New capacity is likely to be absorbed by continued growth in tonnage due to new applications for newsprint and some further capacity reductions.

“Around 300,000 tonnes of material is coming in from Canada now. But with several of the UK’s largest publishers upgrading their presses, older paper machines making virgin fibre-based material may find it harder to meet customers’ increasing quality requirements.”

This opinion is shared by Cumbrian’s Barkley, who points to recent merger talks in the US between Abitibi and Bowater as potentially reducing newsprint supplied to the UK.

As Abitibi already has a plant in the UK, it would seem logical for it to continue to supply the market, which could mean firms that previously used Bowater may look at UK options.

There is also a chance that Canadian plants producing virgin paper will have to move away from the UK market, due to claims their products don’t meet UK standards, and the consensus across newspaper publishers is that predominantly recycled paper is of better quality.

Early days
Speculation aside, Aylesford was at pains to stress that it is still early days, and there is no guarantee that the plans will go ahead. Similarly, funding for the Ecco plant is not yet in the bag.
Crow adds: “It will be interesting to see if this comes off, as paper machines are not cheap, and there’s
the chance of a poor return on investment.”

Although there is evidence of scepticism as to whether any of the machines will be built at all, the mooted plans are at least evidence of a willingness by UK news­print manufacturers to contemplate investment in the market. Either way, it will be some time before newspaper publishers can take advantage of the additional capacity, with Ecco’s new plant tentatively set for a 2009 start, and Aylesford barely pencilled in.

But whether the plans go ahead or not, the numerous free newspapers that are popping up all over the country mean newsprint demands will surely increase.

As it is – already using 2.65m tonnes of material every year – the UK should be able to supply more than 1m tonnes of newsprint. But it’s still some time off before the UK newsprint industry will learn to feed itself.

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UK NEWSPRINT CAPACITY
Abitibi Consolidated, Bridgewater 20,000 tonnes/year
Aylesford Newsprint, Aylesford 400,000 tonnes (600,000 tonnes proposed)
UPM Kymmene, Shotton paper mill 500,000 tonnes
(Planned) Ecco, Middlesbrough More than 400,000 tonnes