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BEK pulp prices under pressure in July

Price development for eucalyptus pulp from South America
Source: EUWID
14 Aug 2013 − 

As a result of weak demand for BSK pulp in the summer, prices have dropped in July and might fall further in August. The NBSK market is said to be more stable.

European paper manufacturers started off August with slightly lower costs after hardwood pulp prices became cheaper in July. Price cuts ended up being larger than was initially suggested in the final days of July.

Amid weak summer business in the printing and writing paper industry in Europe and last month's price cuts, there are raising hopes among pulp buyers of additional discounts in August, which might be similar in magnitude to July's.

As regards the NBSK market, a few manufacturers joined converters in being surprised by how stable this market was. "July was smoother than ever, and August looks pretty good so far," one producer announced. Another manufacturer even reported the first signs of a supply shortage. Nonetheless, paper producers believe that they will be able to raise the pressure on their suppliers this month and expect minor price cuts.

This article is an excerpt from EUWID's report on the pulp market. The EUWID Price Watch Pulp for August will be published in EUWID Pulp and Paper no. 35 on 28 August.

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