The pulp market is truly global with production originating in 22 countries worldwide. According to the Market Pulp Association (MPA), in 1994, Canada was the single largest supplier of market pulp with the US a close second. North America is home to over a third of total global pulp capacity (19.6 million tonnes).
Unfortunately, a high cost base has eroded the competitiveness of many North American operations. Soft commodity prices, currency fluctuations and soaring energy costs have severely impacted profitability and prompted reports of numerous plant closures. It is during times of stress that the need for risk management becomes acute.
FCStone is a leader in commodity risk management and can provide access to the tools you need to manage your risks. From the recently launched pulp contract at the NYBOT, to a wide array of custom tailored derivatives that encompass the NBSK, BHKP, ONP, OCC and Linerboard markets. In addition, our understanding of energy and foreign exchange risk management is unparalleled. Allow our specialists to show you how our programs can help stabilize your financial operations.