Recovered paper prices remain high in Germany

Loose corrugated board packaging and other paper for recycling
Demand for recovered paper has remained high.
14.06.2021 − 

The drop in prices that some market participants had been predicting for ordinary recovered paper grades a few weeks ago has yet to materialise. After the expected slight decline in May, largely steady prices were reported for June by all of the merchants, waste management companies and industry representatives surveyed by EUWID. Paper mills had initially been aiming to reduce prices by €10/t, but this cut could not be implemented.

The recovered paper market calmed down somewhat in May and the overall availability of recovered paper was slightly better. Arisings continued to recover, moving nearer to normal levels, respondents said. However, the unabatedly high demand, especially from the packaging paper sector, is reportedly being met by growing imports from other European countries. Due to the collapse in the Far East export market, major volumes from the Netherlands and the UK have been entering the German market and removing some of the supply pressure, several respondents reported.

For the month of June, many insiders had been expecting similar price reductions of €5-10/t for the ordinary grades. Market participants were therefore surprised that prices in most contracts moved sideways. Yet, there were differences from region to region, with mark-downs in the north and west of the country and some price increases in the south.

The full report on the German recovered paper market will appear in the print and e-paper issues of EUWID Recycling & Waste Management (12/2021) out on 16 May. Online subscribers can access the report immediately here:

Recovered paper Germany

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