Johannesburg — GLOBAL paper and pulp producer Sappi is pulling out all the stops to turn around its operations in Europe.

Getting a price increase in an oversupplied market takes innovation, and it seems CE Ralph Boettger has a plan.

Sappi, however, may have to wait for some market consolidation before it turns around its businesses in Europe.

Fine paper is being flooded into the market, and there are more than enough suppliers to choose from. But Boettger does not seem bothered with the competition and he has a multi pronged strategy to tackle whoever stands in Sappi's way.

He says the strong Euro is squeezing margins and making exports less profitable.

His strategy includes curtailing manufacturing costs; getting close to customers; becoming a supplier of choice and doing all in the group's power to get price increases.

So far it appears that only limited and insufficient price increases have been achieved in parts of Europe.

The market will be waiting in anticipation to find out whether the strategy works in the third-quarter results.