Upward trend in Italy's recycled corrugated case material prices ends in April due to sluggish demand, declining recovered paper prices; producers could have trouble maintaining current prices through Q2, say sources

LOS ANGELES , May 3, 2012 () –

The upward momentum in Italian prices for recycled corrugated case material ended in April as demand slowed and recovered paper prices declined, reported EUWID-Paper on May 2.

Producers might find it challenging to keep prices at their current levels over the next one to two months, said some industry insiders. Downtime appears to be unavoidable in order to absorb the growing surplus in supply and maintain prices.

Packaging consumption in Italy fell 15% to 20% in the first quarter compared with a year earlier, estimated some sources. The weak market is further exacerbated by imports from nearby countries, said another source.

Mill operating rates of 80% were not uncommon, and some producers were stockpiling due to lack of orders, said one market observer, EUWID-Paper reported.

The primary source of this article is EUWID-Paper, Gernsbach, Germany, on May 2, 2012.

 

* All content is copyrighted by Industry Intelligence, or the original respective author or source. You may not recirculate, redistrubte or publish the analysis and presentation included in the service without Industry Intelligence's prior written consent. Please review our terms of use.