Market Report

Back to normal ?

NL-Tilburg, 22 March 2026
 

We can safely regard the developments over the past week as positive, as we are, in fact, well on the way to what appears to be a normal recovered paper market. Most shipping lines have more or less confirmed the level of the surcharges on rates, as well as the fact that these would apply to bookings for April. And mill buyers from countries that import recovered paper seem to be taking a somewhat more pragmatic view of the situation that has arisen. Some are already going so far as to incorporate the rate increases into their purchase prices for new orders. Others are meeting us halfway but have not yet gone beyond absorbing part of the container rates. That seems to be a matter of time. Once the floodgates open, others usually follow, and as the local European paper and board industry does not yet see any reason to capitalise on the decline in exports, it looks as though we will end up with prices for low grades in April that are comparable to those before the Iran war. This, of course, with the exception that prices in Europe would have to rise to compensate for the significantly higher fuel costs. We are not there yet, but realistically speaking, this is inevitable if exports return to pre-war price levels. Things therefore seem to eventually work out fine for export grades of recovered paper. The situation will be different for procurement, however, as we are also facing substantial cost increases for transport, meaning margins will have to rise somewhat to cover diesel costs, and, in the Netherlands, the toll charges for lorries coming into effect on 1 July. Whereas in the past it was sometimes considered to absorb rising costs for competitive reasons, this will certainly not be an option this time. The situation is dire for most recycling companies, and this also applies to recovered paper. Unless margins can be found elsewhere, suppliers will therefore face lower revenues.

Companies active in plastic recycling may be able to find margins elsewhere due to the sharp rise in oil prices and the associated prices for plastic granulate. Whilst there have long been complaints that the price of imported granulate was cheaper than locally produced regranulate, a change is on the horizon. Uncertainty regarding sufficient availability and the resulting delays in pellet deliveries are also leading to increased demand for regranulate. Hopefully, the sector will keep a cool head to

charge the right price for regranulate and also take a close look at often excessive purchase prices, so that a normal business model can be re-established. For many companies in the plastic recycling sector, this comes too late, as seen with the companies recently hit by bankruptcy: Repeats (formerly Daly Plastics) in Zutphen (NL) and Fromto in Houthalen (B).

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.