Higher prices poised to take hold on Britain’s
woodfree paper markets in January
Manufacturers are pushing for price hikes for printing and writing paper in order to compensate for result losses related to weak Pound sterling.
On the UK market, the New Year is typically expected to dawn with price increases for fine papers connected to the weak pound Sterling. Even though the overall market is in decline, the first deals and comments about the stage of the negotiations indicate that deliveries will command more from January.
There is growing evidence that more or less sizeable price increases will materialise on the woodfree uncoated paper market as a result of paper manufacturers' efforts to offset their currency-related losses on all British printing and writing paper markets. However, manufacturers will not manage to achieve the full 10% hike that they sought, and most mark-ups will only apply to deliveries from January onwards.
Woodfree coated paper will also fetch more in the UK from January, most sources said with confidence. A few deals featuring higher prices had been struck in mid-December, with information from market players essentially confirming that higher prices will take hold. Market players also agreed that deliveries will cost more as a rule from January and hardly any earlier, as was initially sought.
This article is an excerpt from EUWID's monthly report on the paper markets in the UK. The EUWID Price Watch UK for December will be published in EUWID Pulp and Paper no. 50 on 14 December.
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