Price hikes are being applied for printing and writing paper in September and October.
Subdued demand and high inventory levels in the markets for packaging paper and board have led to another substantial price drop for ordinary grades of recovered paper in France in September. Since the gloomy economic predictions for the fourth quarter do not suggest any rebound in demand, producers of corrugated case material are trying to rein in the very high paper stocks by curtailing production. Following the price hikes in September, cartonboard producers want to try to raise prices again in October and November, but this is expected to be increasingly difficult.
Publication paper and woodfree coated and uncoated papers likewise became more expensive in September. The range of prices paid remained enormously broad, which was partly reflective of the mills’ widely differing production costs depending on the site. For October, further price increases have been announced and already implemented. However, in the woodfree paper market, there is growing resistance to price hikes.
There are muted expectations for the future development especially in the packaging segment, due to the slowing economy, high inflation and energy cost problems.
This is a summary of the latest report on paper and board markets and prices in France. The full report and the EUWID Price Watch France for September are available for online subscribers.