Market Report

Quiet market but price direction downward

NL-Tilburg, November 17th, 2024

The recovered paper market is outlined as calm, but if that would give the impression that everything is staying the same, it is not really so. Especially in exports, prices for cardboard (occ) and related grades continue to fall. This week, in fact, on all Asian markets $10 down again. The US Dollar, despite some more appreciation this week, cannot make up for that. However, container rates are also going down a bit in some destinations. But with all the gains and better Euro/Dollar, export prices have dipped even further below European levels.  Nice, you might say, but in terms of sales locally in Europe, not everything is absorbed. So that then means exports at lower prices than locally. And that, with all the extra costs involved, is actually a loss. An unprecedented market situation to use a new-fashioned word.

One consolation may be that we are all in the same market. In the US, prices for November also went down last week, low grades as well as high grades. This depending on the region, locally by $5 to $15 a tonne. In exports, price cuts for low grades were more drastic with $10 to $15 on the East Coast and $20 a tonne on the West Coast. And there, too, prices came under further pressure this week as buyers in Asia continue to get cheaper offers. Just like in Europe.
So it looks like we are still in the descent for a while. And before the new year this is not likely to change either.

Price indication

Price indication in Europe for low grades of recovered paper, sorted, baled and ex works are now between € 40 and € 70 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.