The UK's exit from the EU is playing an increasingly important role in price negotiations on the recycled corrugated case material market. British converters want to set up emergency stocks in advance of 29 March and have therefore not yet pushed hard for lower prices.
The British recycled corrugated case material market was exemplified by abundant supply and demand that was pretty good but by no means overwhelming in November. Market players said that buyers had no problem sourcing material. However, this constellation had yet to result in a significant drop in prices for brown recycled corrugated case material in mid-November.
Experts agreed that stable prices were mainly connected to uncertainty surrounding Brexit. During current talks about next year's delivery volumes, some customers told their suppliers that they wanted to set up additional emergency stocks and mentioned three months of extra stocks being set up in British ports and within the UK.
This article is an excerpt from EUWID's monthly report on the paper markets in the UK.
Find the EUWID Price Watch UK for November in EUWID Pulp and Paper issue no 47/2018, which will be available to our e-paper and print subscribers as of 21 November.
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