Cartonmakers Must Accentuate Positives

McGuinness also implies higher growth rates could come from more focused expansions on the part of larger, vertically integrated firms who both consume and supply their own paperboard. "Is their business strategy driven more by selling board or making cartons?" he asks.

One hint of the emergence of a more singular focus may be inherent in the strategy of ACX, parent company of Graphic Packaging. ACX became the largest folding carton company in North America last year with the acquisitions of Universal Packaging, and Fort James' folding carton operation, yet remains non-integrated, McGuinness points out. He believes this could indicate a reversal of the long-established trend by vertically integrated companies to acquire other folding carton companies.