Canada's forest industry is in the process of trans- forming itself with a major market shift towards Asia and a move towards bioen-ergy and bioproducts. The flourishing Asian pulp and paper industry, combined with declining demand in North America and Europe, has created a significant market shift, particularly for Canadian market pulp producers. China is now the world's largest producer and consumer of paper and board, with an annual growth rate of 5.5% for next 10 years. Canada holds one-third of the market share for Chinese imports of market pulp, representing 4 million tonnes annually, making China the largest market for Canadian market pulp producers.
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