Published twice a year, the Canadian Industrial Outlook Service includes detailed, five-year forecasts in 10 key Canadian industry sectors. Outlooks for several financial and economic variables—prices, production, revenues and expenditures, profits, gross domestic product, and employment—are generated, based on forecasts of key domestic and international factors such as interest rates, exchange rates and tax policy.
Document Highlights
Canada’s Paper Products Industry: Industrial Outlook forecasts investment spending, revenue, costs and profits for the paper products industry, including pulp, paper, paperboard and converted paper products.
After suffering through a cyclical downturn in demand and prices that coincided with weakness in the U.S. and Canadian economies, paper product profits have finally started to improve. Rising demand for paper products and a more stable Canadian dollar will help profits rise from only $40 million in 2003 to $1.2 billion in 2004. Profits will rise further to $2.6 billion in 2005, thanks to gains in prices and production.
After reaching $3.4 billion in 2006, profits will start to decline again, mainly because prices are expected to be flat, while costs are expected to grow.
The outlook includes a special feature on the paper products industry in the digital age, with a look at how Internet retailing and advertising is affecting paper consumption.
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