With improvement in literacy rates, rising circulation and an increase in number of newspapers and magazines the newsprint demand in India is expected to reach 2.8 million tonnes in financial year 2020, according to a study by Care Ratings, the second-largest credit rating agency in India. While growth in demand of newsprint is a good news for both — the publishing industry and paper industry — the rising prices of newsprint continues to be a key concern for Indian as well as global publishers.
Addressing the issue of prices, the study observes, “tight markets, low Chinese pulp inventories, lack of supply coming to the market, and healthy demand were the primary factors that provide an upside to the prices.” Further, the report indicates that in the beginning of 2017, paper companies did not undertake price hikes because of factors such as competition from imports, stabilisation in wood prices and lower power and fuel cost.
Real-estate’s retail growth
The Indian retail sector has attracted cumulative investment worth Rs 55 billion between 2015 and the first quarter of 2018. Close to Rs 10 billion have been invested in the sector in the first quarter of 2018 making it one of the best quarters for the sector in recent times, according to ‘Indian Retail: Stepping up the Game!’ report published by JLL, India’s leading real estate services firm.
The steady increase in interest from private equity investment companies, has propelled developers of retail malls to re-evaluate their portfolio vis-à-vis three determining factors – product, catchment and customer experience, which are core to creating a successful retail space. The findings of the report indicate that private equity investors have shown confidence in the future trends of Indian retail real estate and have started to make large value as well as long-term commitments towards the sector.