Demand for label paper in Germany is good and suppliers say they are in need of higher selling prices. However, they were only able to achieve price stability.
Label paper manufacturers are pleased with how business in Germany has gone in the second quarter. As expected, order activity had rebounded after the cold winter months and sales had picked up in keeping with the season. Hot weather also gave a strong boost to demand for wet-strength and alkali-resistant grades in the third quarter. However, lead times have not altered much compared with the second quarter.
The second quarter did not herald any movement in pricing. "That means that we are light years' away from having satisfactory earnings," one supplier complains. But this is not stopping customers from seeking price cuts.
This article is an excerpt from EUWID's monthly report on the paper markets in Germany.
Find the entire market report in EUWID 32/2019, which will be available to our e-paper and print subscribers as of 7 August.
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