[Asia Economy Reporter Hyunseok Yoo] Following the news that a biodegradable plastic manufacturing method was developed, CTK's stock surged sharply, and Murim Paper's stock also showed strong performance. Expectations that the company will lead the eco-friendly paper market by introducing environmentally friendly paper products appear to have influenced the stock price.
As of 1:37 PM on the 4th, Murim Paper was trading at 2,940 KRW, up 9.09% (245 KRW) compared to the previous trading day. Murim SP also surged more than 20% compared to the previous day.
Cosmetics platform company CTK announced the day before that its Canadian subsidiary, 'CTK Bio Canada,' has developed technology to manufacture eco-friendly biodegradable plastics using discarded hemp, bio solids, and agricultural waste as main raw materials. CTK's stock price has continued its upper limit price streak for two consecutive days following the previous day.
Murim Paper is taking the lead in environmental conservation and resource circulation by introducing eco-friendly paper products that replace disposable items. Murim Paper developed 'Neofore CUP,' a paper cup base material that is 100% recyclable and biodegradable by applying eco-friendly water-soluble coating technology. It biodegrades within 45 days after use, reducing environmental pollution. It is the first in the paper industry to obtain the international environmental certification 'OK Compost' (biodegradability certification) issued by Europe's top testing and certification body (TUV AUSTRIA). It was selected as the '2021 Korea Green Product of the Year' in an eco-friendly contest where environmental organizations and consumers directly participate from candidate selection to voting.
According to the Resource Circulation Society Solidarity, an environmental protection civic group, the annual domestic usage of paper cups is 23 billion units, and the recycling rate of paper cups is below 5%. Existing disposable paper cups are coated with polyethylene (PE) inside the cup for water resistance, making them non-separable for recycling and thus ending up in landfills or incinerated.
Along with environmental issues, consumer awareness of plastic reduction is spreading, and the eco-friendly value of 'paper' as the most suitable alternative to plastic and vinyl is increasing. In the food and distribution industries, active movements to replace materials with eco-friendly paper are underway, with paper cups and paper packaging being representative examples. Murim Paper is introducing various plastic-free paper products in daily life through Neofore.
The base material used for paper straws is 'Neofore Storo,' developed by Murim SP (CEO Do-gyun Lee). Last year, Murim developed telescope-shaped and U-shaped paper straw base materials for the first time and received safety certifications from the Ministry of Food and Drug Safety, followed by the U.S. (FDA) and Europe (BfR).
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