"In Europe we have seen quite a lot of recovery in our markets edging toward 1999 levels," said executive chairman Eugene van As.
The forecast came as the South African papermaker reported a 21% fall in sales to 595m, which van As attributed to weak prices and a strong dollar, for the second quarter of its 2002 financial year.
He said margins remained robust despite the weak market for coated fine paper, but pre-tax profits fell 17% to 58m. Van As also said there were signs of an upturn in pulp prices.
During the second quarter Sappi took 150,000 tonnes of pulp and paper production downtime, a strategy it plans to continue.
Have your say in the Printweek Poll
Related stories
Latest comments
"Thank you for the opportunity to comment on this Jo, and PrintWeek!
Please feel free to get in touch with the Howden Print Team to arrange your own Free of Charge Cyber Micro-Penetration Test to help..."
"I never quite understand the statements such as "achieved such a positive outcome for this well-established business".
The established business unfortunately failed and no longer exists, a..."
"Genuinely sorry to read this."
Up next...

Protocols being strengthened
Software Circle hit by suspected payment fraud

'Precision and reliability'
EBB sets up new publishing wing

Continued investment
Bakers ups BakPac capacity with double Galaxy Packtech install

"Committed to building a stronger Stora Enso"