Germany: Price pressure on the horizon for recycled packaging paper and board grades

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Soaring recovered paper prices across Europe in April have prompted suppliers of recycled packaging paper and board grades to implement hikes. However, as recovered paper prices are retreating again, pressure to take back the increases is rising.

This could already be seen on the German market in June, where prices for recycled corrugated case material have softened, although paper companies insist they did not make any concessions in June.

Price increases have taken effect for coreboard, but if prices of recovered paper decline further, cores manufacturer will likely want to return to the negotiating table.

There are still some ongoing talks for GD and grey board, but increases have reportedly been implemented already in some cases. Converters say, though, that the price hikes are no longer justified now that the situation on the recovered paper market has calmed down.

Another hot topic on the German market are current talks about prices and delivery conditions for publication paper.

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