Severe shortage of deinking and high recovered paper grades in Italy

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Despite generally high price levels on the Italian recovered paper market, April came and went without any mark-downs. While some market participants observed a slight uptick in collection volumes for ordinary grades, the situation for high recovered paper grades  was "a real disaster," one merchant said. Prices for these grades have already edged higher in recent months and climbed again in April in many instances due to a shortage of material, which also sent prices for deinking grades soaring.

The Italian domestic market for ordinary grades was reasonably balanced, and prices were generally stable.

Several market players were concerned about the difficulties transporting recovered paper, whether it be by rail, road or water. There is a lack of capacity and a shortage of lorry drivers, and logistics prices are climbing....

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