Stating that the per capita consumption of paper in India is just four kg compared to the world average of 40 kg, Rao said the the prospects for the industry were bright. To tap the full potential of the industry, concentration on cost reduction and quality upgradation and environmental consciousness was needed, Rao stressed delivering the presidential address at a zonal meeting of the association. Rao said liberalisation had thrown up several challenges to the industry. Reduction in import duties, growing environmental awareness, and cheaper imports were some of the problems that the industry has to reckon with. Citing the case of Mysore Paper Mills, which had its own captiveplantation of eucalyptus for meeting its basic raw materials requirements, Rao said India's forest cover was only 11 per cent as against the requirement of 33 per cent. Allotting degraded and inundated land for captive cultivation of wood pulp would also serve the nation's interests, he said. ITC Bhandrachalam CEO Pradeep Dobhale, said the association was educating farmers to go for cultivation of pulp wood.