Germany reports price cuts for all recovered paper grades in December

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The German recovered paper market ended 2015 in similar shape to the year before: December had brought additional price cuts after comparatively large volatility in prices in November.

Echoing what happened a year ago, EUWID sources singled out several factors that fuelled this situation: Collection volumes were very high due to the holiday season, with only limited amounts still being exported to the Far East. At the same time, paper mills had stocked up on recovered paper early again last year. Even though many companies, at least in the packaging paper business, were not planning to take any downtime at all or suspended operations for just a few days, as they did the previous Christmas, recovered paper merchants were not building up inventories in 2015 because "everything that comes in is bought."

Prices for mixed paper and board (1.02) and supermarket paper and board (1.04) declined by up to €5/t in December. As in November, prices cuts tended to be lower in southern Germany and rather larger in the north and the west. Medium recovered paper grades remained under strong pressure in December, with multi printing prices, in particular, having tumbled once again.

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