Germany's magazine paper prices eroding, under pressure in most recent price talks, despite anticipated 400,000 tonnes/year cut from UPM announced for mid-year; some major producers aiming to increase prices

Kendall Sinclair

Kendall Sinclair

Mar 5, 2013 – Industry Intelligence Inc.

LOS ANGELES , March 4, 2013 () – Germany’s magazine paper prices are eroding across the country and are under pressure in the most recent price talks, Euwid reported March 4.

Despite a capacity cut of 400,000 tonnes/year from UPM-Kymmene Oyj that was announced for the middle of the year, sources questioned whether that would affect the downward price trend.

While a large swath of the paper industry in the fourth quarter not expecting prices to change, a few major producers announced Jan. 1 price increases, Euwid reported.

However, printing companies also cut prices for their customers amid competition and undercutting, which was reported to be very rife, according to Euwid.

According to industry reports, producers need to accept declines in prices as demand is expected to fall. Moreover, the past halting of paper machines has had no noticeable effect, and paper is obtainable at short notice, Euwid reported.

The primary source of this article is Euwid, Gernsbach, Germany, on March 4, 2013.

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