While glazed newsprint is popular there is a growing preference for usage of light weight coated paper, also costing $ 700 internationally. The glazed newsprint that TNPL is planning does not have the sheen of imported newsprint, but fares very well in comparison with light weight coated paper. As this newsprint falls somewhere between imported glazed newsprint and light weight coated paper, the company hopes to cater to both categories of buyers.

With the slump in newsprint demand, TNPL hopes to utilise its paper machines in part for the glazed newsprint, which would offer better realisations. This could be as much as 600 tonnes per month.

Meanwhile printing and writing paper (PWP) prices are looking up. TNPL has made a third upward revision by Rs 500 in the price of PWP (all categories) with effect from August. Century Paper Mills has also effected a hike, and BILT is expected to have followed suit. The current price of TNPL's creamwove (ex-mill) is Rs 31,200 per tonne. The next most commonly used paper of TNPL is super-printing and costs Rs 1000 more than creamwove.

The earlier revisions took place in April this year (PWP categories went up by Rs 300-500) and in June (again revised upwards by Rs 400-600). TNPL, which was giving Rs 1000 per tonne by way of discounts to the notebook segment has brought this down by Rs 250. The current revision is expected to have a positive impact on its bottom line at the end of the year to the extent of Rs 5 crore.