Value investor- India mid & small caps

Bhaskar Chakraborty

Equity Bottom-Up

<ul><li>China, largest importer of wastepaper, bans 15% of its imports from 1st January 2018. It announces 100% ban on imported wastepaper by end 2018.</li><li>China forces paper mills of &lt;300,000tpa capacity to shut down owing to environmental concerns. Almost 35% of China's kraft paper capacity facing closure.</li><li>As Chinese mills turn to wood pulp, prices of wood pulp and finished paper rise to life time highs</li><li>Waste paper prices have fallen 30% in last 3 months as Chinese demand wanes</li><li>Advantage Indian wastepaper based players as input costs are falling, realizations are rising</li><li>We prefer N R Agarwal and <a href="https://www.smartkarma.com/entities/20398" target="_blank" data-smartkarma-citation="entities:20398:1">Ruchira Papers Ltd (RUCP IN)</a>.</li></ul>

China, largest importer of wastepaper, bans 15% of its imports from 1st January 2018. It announces 100% ban on imported wastepaper by end 2018.China forces paper mills of &lt;300,000tpa capacity to shut down owing to environmental concerns. Almost 35% of China's kraft paper capacity facing closure.As Chinese mills turn to wood pulp, prices of wood pulp and finished paper rise to life time highsWaste paper prices have fallen 30% in last 3 months as Chinese demand wanesAdvantage Indian wastepaper based players as input costs are falling, realizations are risingWe prefer N R Agarwal and Ruchira Papers Ltd (RUCP IN).

India Paper Sector: Interesting Investment Opportunities