Prices for coated woodfree paper remain under pressure in the UK
The British pound is still setting the trend on the UK paper markets. Manufacturers are unable to implement their desired price increases – not because demand is too weak, but because products from Eurozone countries can still be sold relatively profitably in the UK.
On the market for coated fine paper, business had slowed appreciably in June and July order books are said to be even weaker. As had been expected in May, there were no significant price increases implemented in the UK. Manufacturers were clearly focused on the considerably weaker markets in mainland Europe.
Coated paper production is currently being scaled back everywhere in Europe in order to prevent prices from sliding further. Two manufacturers told EUWID they were planning to produce 5-10% less in June, July and August.
While all companies contacted by EUWID confirmed that they were relatively satisfied with the price and demand level in the UK, only one manufacturer reporting raising his prices in the indent business in the UK in June. This had resulted in the loss of some market share, but the increase was necessary, the producer said.
Other market participants are again reporting downward price pressure set off by certain mills that are said to be offering offset reels for dumping prices.
⇒ This article in an excerpt from EUWID's monthly report on the UK paper market. The EUWID Price Watch UK for June is published in EUWID Pulp and Paper no. 26 on 27 May.
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