West Coast Paper Mills Limited , a leading player in the Indian paper industry, has reported its unaudited financial results for the second quarter of fiscal year 2026 (Q2 FY26). The company's performance was impacted by various factors, including industry pricing pressures and operational challenges.

Financial Highlights

Industry Challenges

The domestic paper industry faced significant challenges during Q2 FY26:

1. Pricing Pressure: Elevated import levels continued to exert downward pressure on paper prices in the domestic market.
2. High Input Costs: Raw material costs, particularly wood, remained high, impacting the pace of margin recovery.

Operational Factors

Several operational factors contributed to the company's subdued performance in Q2 FY26:

1. Workers' Strike: The company's subsidiary, Andhra Paper Limited (APL), experienced a brief workers' strike at its Rajahmundry plant.
2. Planned Maintenance Shutdown: Following the strike, APL's Rajahmundry plant underwent a 14-day planned annual maintenance shutdown.
3. Production and Earnings Impact: The combination of the strike and shutdown resulted in a one-time loss of production and earnings, significantly affecting the consolidated performance.

Management Focus

Despite the challenges, the company's management remains committed to improving performance through:

• Strengthening the product mix
• Securing raw material supply
• Driving cost efficiencies to sustain profitability

Board Meeting

The Board of Directors meeting to approve the results was held on November 12, 2025, commencing at 11:30 AM and concluding at 1:00 PM.

About West Coast Paper Mills Limited

West Coast Paper Mills Limited is a leading integrated paper and paper board manufacturer in India. The company produces a wide range of products including writing and printing paper, packaging boards, and specialty papers. With its commitment to quality and sustainability, West Coast Paper Mills continues to be a significant player in the Indian paper industry.

In a significant development for the Indian paper industry, the Directorate General of Trade Remedies (DGTR) has taken action to protect domestic manufacturers. The regulatory body has imposed anti-dumping duties on virgin multi-layer paperboards imported from Chile and China, a move that could have notable implications for West Coast Paper Mills and the broader paperboard market in India.

Understanding the DGTR Decision

The DGTR's decision to impose anti-dumping duties is aimed at leveling the playing field for domestic producers. Anti-dumping duties are tariffs imposed on foreign imports priced below fair market value, often used to counter the practice of dumping - where foreign manufacturers export a product to another country at a price below the normal price in their own home market.

Potential Impact on West Coast Paper Mills

West Coast Paper Mills, a key player in the Indian paper industry, could potentially benefit from this regulatory action. The imposition of anti-dumping duties on imported virgin multi-layer paperboards from Chile and China may:

1. Reduce Competition: By making imported paperboards more expensive, the duties could reduce the competitive pressure from foreign suppliers in the domestic market.

2. Potential for Market Share Growth: With imported products potentially becoming less price-competitive, West Coast Paper Mills might have an opportunity to capture a larger share of the domestic market.

3. Pricing Power: The reduced competition from imports could potentially allow domestic manufacturers, including West Coast Paper Mills, more flexibility in their pricing strategies.

Broader Market Implications

The anti-dumping duties are likely to have wider implications for the paperboard import market in India:

• Supply Chain Adjustments: Importers and industries relying on these paperboards may need to reassess their supply chains and potentially shift towards domestic suppliers.
• Price Dynamics: The duties could lead to price adjustments in the domestic market for virgin multi-layer paperboards.
• Industry Competitiveness: This move may boost the overall competitiveness of the Indian paper industry, encouraging investments and technological upgrades.

While the imposition of anti-dumping duties aims to create a more level playing field for domestic manufacturers like West Coast Paper Mills, the full impact of this decision will likely unfold in the coming months. Stakeholders in the paper industry will be closely monitoring how this regulatory action shapes market dynamics and competitive landscapes in the Indian paperboard sector.

Investors and industry observers should keep a close eye on how West Coast Paper Mills and other domestic producers respond to this changed market environment, and how it might influence their financial performance and strategic decisions going forward.