Buyers of fine paper in Italy feel overrun by the steep price increases, especially on the spot market. Supply is limited and prices are set to rise again in November, with many suppliers applying energy surcharges.
Italian woodfree coated and uncoated paper manufacturers upped their prices for October deliveries amidst good demand, limited supply and mounting cost pressure. Spot prices, in particular, were skyrocketing. Market players said it was not unusual for paper to be sold to the highest bidder given strained supply.
But that's not all: with energy costs, especially those for natural gas, soaring towards the end of the third quarter, several producers have let their customers know that they plan to apply additional surcharges and raise their prices again by a significant sum from the end of October or November. A few producers have reportedly also charged these new prices for orders already placed.
Much as they sympathise with the hardships facing the paper industry and the need to charge more, buyers viewed the approach taken by manufacturers as an affront. A few buyers told EUWID that they were considering taking legal action against their suppliers.
This article is an excerpt from EUWID's report on the paper market in Italy.
Find the EUWID Price Watch Italy for October in EUWID Pulp and Paper issue no 44/2021, which will be available to our e-paper and print subscribers as of 4 November.