Day 056 - 28 Nov 94 - Page 18


     
     1        its raw material from somewhere other than the country in
     2        which it is situated.
     3
     4   MR. JUSTICE BELL:  You refer to some imported hardwood market
     5        pulp ---
     6        A.  Yes.
     7
     8   Q.   -- at the bottom of page 4 when you are doing some
     9        arithmetic.
    10
    11   MR. MORRIS:  Page 3?
    12        A.  That is specific to that example, yes.
    13
    14   MR. MORRIS:  Sorry, yes.  There are two things; there is the
    15        bottom of page 3 which is the imports into the EEC from
    16        Scandinavia, USSR and Canada.  So, I am just trying to
    17        identify, these imports, where they go to.  What happens to
    18        the pulp that is imported from those countries into the
    19        EEC?
    20        A.  It depends upon the mill and its need.  Certain mills
    21        may have a shortage of a particular variety.  For example,
    22        they may have insufficient hardwood to be able to produce
    23        some of the particular types of paper they are making.  In
    24        the case of packaging, on the whole, the raw material is
    25        local rather than imported.
    26
    27   Q.   But it would include some imported material that inevitably
    28        finds its way?
    29        A.  It could.  That is to say, not every product will be
    30        100 per cent from the resource of forests in the country
    31        where the paper product is made.
    32
    33   Q.   Right.  So, all I am trying to say is that if a company is
    34        buying a large amount of paper products throughout the
    35        countries which you have -- throughout the EEC really, let
    36        us say the EEC, the sources will be those countries which
    37        you have identified and also those countries which are
    38        importing into the EEC, such as former USSR, Scandinavia
    39        and Canada, you have mentioned Canada anyway, Sweden and
    40        Finland -- all I am saying is on your list, although you
    41        have not any obviously accurate details, that would also
    42        include the former USSR, it will inevitably find its way
    43        into some of the products?
    44        A.  It is possible for a particular mill to have a need for
    45        a particular product which it cannot satisfy from the
    46        forestry sources of its own country and, therefore, it is
    47        reasonable to say that, for example, birch required for a
    48        particular type of paper finish, in other words, quality of
    49        paper, the birch could come from the USSR and be turned
    50        into a product in Finland. 
    51 
    52   Q.   So, in your example that you use on page 4, you have 
    53        specified that it would include some imported hardwood
    54        market pulp, that, for example, maybe from former USSR, for
    55        example?
    56        A.  It might be.  This is an economic decision made by the
    57        individual mill which will decide which resource provides
    58        the product it needs most economically.
    59
    60   Q.   But you included that example because it is a practice that

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