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Converters increase pressure on prices for lightweight kraft paper grades in Germany

30 Apr 2019 − 

The situation on the German market for lightweight kraft paper for bags, shoppers and and flexible packaging has further calmed down at the end of April.

According to market participants, demand for white kraft paper bleached grades has returned to normal after having been rather overheated last year. Demand for unbleached kraft paper grades had calmed down as well, industry experts said, but was still somewhat stronger in comparison. According to EUWID sources, this segment benefitted to a higher extent from the current debate on the replacement of plastics.

As the market was well supplied, and also due to the current trends on the pulp market, downward pressure on prices seemed to be developing in Germany. Paper producers were largely able to keep the prices of brown and of white kraft paper stable. Nevertheless, several on both sides of the market told EUWID that they had agreed on lower sales prices or discounts, especialy in the object business or for spot volumes. Most notably with regard to bleached kraft paper grades, converters were said to have been able to cut peak prices.

 

This article is part of our free coverage on the pulp and paper industry in Europe.

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