The short answer: Yes.
The long answer:
White paper is produced by bleaching the dried pulp, whether raw tree product or recycled.
The following is reproduced from this site:
To produce a white paper product, the mill must bleach the pulp to remove color associated with remaining residual lignin. Typically, the bleaching chemicals (such as chlorine dioxide, oxygen, or hydrogen peroxide) are injected into the pulp and the resulting mixture is washed with water.
Many believe (source):
Recycled paper can be manufactured relatively easily, with end products competitive in quality to those made from virgin materials.
It is true that recycling degrades the fibers in the paper, new paper will have to be made, but, recycling sure reduces the environmental impact!
However, because of the degradation of the fibers through the papermaking and recycling process, the limit to the amount of paper being recycled is slowly being approached. In addition, there are a number of grades of paper that are currently not recycled and will not be in the foreseeable future.
This research article details the effect of Bleach contents on the environment.
To summarise, recycled paper has the following characteristics:
Pros
- Less trees will be cut for paper industry
- If less white paper is used, less bleach will be needed and hence less toxins are added to environment
- Recycling industry will stay alive and create some jobs in the process
Cons
- Consumers may not get premium looking white paper, to throw in the trashcan
- Recycled paper may (research needed) degrade faster, and important printed documents may not be safe
- (Problem specific to certain countries) personal hygeine papers may not preferably be made with recycled paper, because if the paper is coarse, many consumers will not use it!