NELLORE: The surge in demand for pulpwood in paper industries has drastically increased its prices by two fold. While it has been sold at Rs 3,700 per tonne from the past three months, it was sold at Rs 1,600 per tonne during the same period in the previous year.
Officials point to fall in cultivation of eucalyptus and bamboo plantation in the current season as the major reason for increase in prices. According to reports, eucalyptus and bamboo plantations were raised in around 29,655 hectares of land across the district this year. Majority of these plantations were grown in upland mandals, including Udayagiri, Atmakur, Rapur and Kandukur. Experiencing losses due to various reasons, most of the farmers shifted to cultivation of other crops, leading to drop in cultivation by nearly 1,000 hectares, further resulting in rise in demand for pulpwood.
The Nellore district is known for its quality paperwood, attracting companies and popular paper making firms across the nation every year. The region which has recorded a staggering 5,000 tonnes of paperwood demand on a daily basis, now has been confined to 2,000 tonnes.
“The demand for the wood has increased for the past three months. The area of cultivation of plantation was decreased in the region compared to last year due to non-availability of water, which resulted in hike in price for one tonne within three months. We are expecting an increase in the price keeping in view of the demand,” said KN Swamy, a farmer from Atmakur division.