EXHIBIT 3

                                AUDITORS' REPORT

To the Shareholders of
Intertape Polymer Group Inc.

    We have audited the consolidated balance sheets of Intertape Polymer
Group Inc. as at December 31, 1999 and 1998 and the consolidated statements of
earnings, retained earnings and cash flows for each of the years in the
three-year period ended December 31, 1999. These financial statements are the
responsibility of the Company's management. Our responsibility is to express an
opinion on these financial statements based on our audits.

    We conducted our audits in accordance with generally accepted auditing
standards in Canada. Those standards require that we plan and perform an audit
to obtain reasonable assurance whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation.

    In our opinion these consolidated financial statements present fairly, in
all material respects, the financial position of the Company as at December 31,
1999 and 1998 and the results of its operations and its cash flows for each of
the years in the three-year period ended December 31, 1999 in accordance with
generally accepted accounting principles in Canada.

                                          (Signed) RAYMOND CHABOT GRANT THORNTON
Montreal, Canada                                             General Partnership
April 7, 2000                                              Chartered Accountants

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