French prices for all types of corrugated case material are feeling the pinch amidst much lower recovered paper prices and average demand at best. In many instances, the price hike instituted this spring was reversed for July or August deliveries.
Prices on the French containerboard market have started to fall. Most brown recycled corrugated case material has cost less since 1 July. Prices for white grades also started to fall in July, with the remainder of the markdowns expected to come in August.
Insiders describe demand for recycled corrugated case material as varied, especially in terms of the different sales segments. The food and online retail businesses are still ordering comparatively decent amounts of corrugated board, while demand from customers in the industrial products segments varies wildly. The automotive sector is reportedly very quiet.
All things considered, paper and packaging manufacturers summed up that they have been relieved since June that the biggest knock-on effects of the lockdown in France seem to have come to an end. Yet, demand for recycled corrugated case material is still weak to average at best in July.
This article is an excerpt from EUWID's monthly report on the paper markets in France.
Find the EUWID Price Watch France for July in EUWID Pulp and Paper issue no 31/2020, which will be available to our e-paper and print subscribers as of 29 July.