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To reduce lag on the client side (where I think your lag is), you should set render distance to Normal (or shorter if you have an older computer), set graphics to fast, disable clouds, turn off smooth lighting, set performance to balanced, turn off particles, and, if you have a newer computer, turn ON Advanced OpenGL. If this issue persists, you can grab OptiFine (use the light version if you just want an FPS increase, otherwise go ultra) and then open FTB, then click Edit Mod Pack > Coremods > Add Mod and add the file you downloaded. Hope this helps!