German recovered paper prices continue to climb steeply in April. After prices for mass grades jumped by a double-digit sum in March, as expected, market players now expect even larger hikes to surface in April. Prices for mixed paper and supermarket paper and board might rise by up to €20/t or even more, with especially large mark-ups thought to be on the cards for sorted graphic paper for deinking.
On the whole, German paper mills’ demand for recovered paper has strengthened. Insiders said that no stoppages were taking place at the moment, and all machines were operating at full speed, leading to higher capacity utilisation rates. However, market players had mixed opinions about how much production had increased. A few experts said that manufacturing was back at a "high level" again. They felt that the German paper industry’s order books had improved markedly, given growth in the global economy. The majority of sources are taking a much more cautious view of the situation, though. It is clear, though, that stronger demand is still coinciding with weak supply. In sum the material inflow was not enough to meet demand from mills, leading prices to soar.
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