JK Paper is working on raw material security and controlling costs as it has decided to expand capacity in the current year. Its new plant at Rayagada, Odisha, will start production in August, with pulp mill capacity of 2.15 lakh tones a year and paper capacity of about 1.5 lakh tonnes.
In 2012-13, the company will require total 4.74 lakh tonnes of wood with 35-40% coming from its own farm forestry program and the balance sourced from the open market. Its overseas projects in Myanmar and Vietnam will give it raw material security in the long run apart from new markets for paper
