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Commodity Paper

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Commodity paper
A loan or advance secured by commodities.

Commodity Paper
A loan or cash advance secured by commodities, bills of lading, or warehouse receipts.


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The old model--selling high volume commodity paper grades--is moving to the new model of low volume, high value grades that are profitable and can justify additional capital investment.
The transferred products will displace the Chillicothe mill's unprofitable commodity paper grades and enable the organization to focus on the carbonless paper business while further developing specialty papers at the facility.
Specialty paper producers face a constant battle to maintain margin and profitability against commodity paper producers who have larger volumes and non-paper producers whose products have higher margins.
 
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