Weak demand for label paper in Germany puts pressure on prices

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Manufacturers of label paper supplying the German market say they have little to be satisfied as regards order levels in the third quarter. While demand was still reasonable at the beginning of July, it already started to slump in August especially for wet-strength and alkali-resistant grades and the slump continued in September. The price hikes which some suppliers insisted on implementing by 1 July could not be realised given the prevailing demand levels at the time. Price cuts, however, are also not up for discussion even though pressure from customers is increasing.

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