Market Report

Better grades improve, low grades still behind 

NL-Tilburg, 6 Septeber 2026

European mill buyers appear determined to keep prices for low grades of recovered paper unchanged in September.  Looking at the market right now, the only real movement is in Eastern Europe, where there is at least some effort to keep pace with the steadily rising export prices for occ (cardboard). There appears to be insufficient supply there, and—after some pressure—prices are rising slightly. In Western Europe, and especially in Southern Europe, buyers are unwilling to budge, despite the fact that export prices are increasingly diverging from local prices. In Spain, the difference between official local prices and export prices is now no less than €50 per metric ton. In addition to the official prices, spot prices are being quoted that are higher than the official prices, but even compared to those, the difference with export prices remains significant.
Does this mean we should conclude that the price increases for test liner and fluting announced here and there are by no means a done deal?  You’d think so. The pain throughout the entire paper and board supply chain is severe, as evidenced by the bankruptcies and closures of paper and board mills, but things aren’t exactly rosy for converters either. DS Smith UK announced again this week that, following “consultation,” it had decided to close its box factory in Launceston (Southwest England). This will result in the loss of 165 jobs.
Last year, following consultation, DS Smith already closed five corrugated board plants in the UK, and in 2024, 70 jobs were cut in Louth.
The recovered paper sector is therefore not the only one facing difficulties.

As far as export low grades are concerned, India remains the main driver of demand. In Southeast Asia, there is clearly sufficient supply, as that region can also benefit from lower container rates. The situation in the Middle East primarily affects rates to Indapak destinations, resulting in higher CIF prices. This serves to illustrate that there is, after all, a sort of seller’s market, as it is the Southeast Asian buyers who—albeit reluctantly—must ultimately follow the price increases in India. The question, therefore, is how long Europe can hold out. We’ll have to wait and see. The increase of generation, or not, after the holidays, will certainly play a role.

As for middle and high grades, there is a different local market. Demand there is very strong, driven by a low generation and increased demand from buyers who have seen their inventories decline significantly in recent months and now have to re-enter the market to avoid missing the boat. It is precisely these buyers who are digging deepest into their pockets and driving the sharpest price increases. The growing demand from Essity UK is also being felt.  All in all, and depending on the grade and destination, price increases ranging from €5 to €15 per metric ton are being seen for middle and high grades of recovered paper in September.

Price indication

Price indication in Europe for low grades of recovered paper, sorted, baled and ex works are now between € 60 and € 80 per tonne. These prices are depending on quality, available volume, region and loaded weight.

Look here at the Price chart >> 
  
The price chart gives an indication of the price  of mixed paper, separately collected, in the Netherlands free delivered mill over the last 10 years.
Scrolling over the top of the columns gives the exact price indication in Euro's per ton.