Manufacturers announce price hikes for woodfree coated and uncoated paper in Europe

EUWID Price Watch Germany: Price development for coated woodfree paper in reels on the market in Germany since january 2016.
Source: EUWID
08 Feb 2017 − 

Prices for coated and uncoated fine papers could rise by up to 9 % in Europe if manufacturers get their way. 

Several fine paper manufacturers are set to increase their sales prices in Europe. the earlier the better. The companies blame their decision on low sales prices and rising input costs which have eroded profit margins.

The Navigator Company, formerly Portucel Soporcel, was among the first to officially communicate its price plans. The company, which is considered one of the market leaders on the European uncoated fine paper market, is set to increase its prices by 4-6% for deliveries as of 24 February. The company explained its decision with receding sales prices over the past years and "strong pressure on the industry's cost structure, which has undermined profitability and led to the closure of several plants in the US and Europe."

Italy's Burgo Group has also announced a price increase for its range of uncoated woodfree and copy paper products. The 5% price hike is to become effective from 1 March.

Sappi Europe is planning to increase sales price for both its uncoated and coated woodfree papers in sheets and reels. According to the company, "the sudden and continuing sharp increase in input costs and the consequently corrective squeezed profit margins make corrective pricing measures inevitable as Sappi Europe's Graphics business becomes unsustainable at current price levels." The price hike of 8% is effective from 15 March.

Coated woodfree paper manufacturer Lecta plans to increase sales prices for its two side coated papers in sheets and reels by 8-9% in Europe effective from 13 March. "The price movement is unavoidable to offset rising manufacturing costs, particularly energy, pulp, latex and other raw materials," Lecta sa

Rising pulp prices are putting pressure on paper manufacturers

EUWID market survey has revealed a significant drop in coated and uncoated woodfree paper prices in key European markets over the past year. This development was encouraged and went hand in hand with the continuous decrease in pulp prices in Europe. Now, hardwood pulp prices are pointing north again, raising concerns among fine paper manufacturers about the sustainability of their operations.


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