UK prices for GC board expected to increase for only a small number of converters, with some contract talks continuing; GD board prices remain unchanged, but producers eye April hike

LOS ANGELES , February 18, 2014 () – Negotiations are continuing on the final contracts for GC board in the U.K., but prices are not expected to move up for very many converters, according to sources, reported Euwid on Feb. 18.

For GD board, some suppliers are considering a price increase for April, while converters want prices to drop based on the decline in recovered paper prices and the strong British pound sterling.

GD board prices are unchanged presently and market activity is normal, according to reports from the sector.

The GC board market is more active than had been expected for February due to dockers striking in Chile and production outages in Sweden, Euwid reported.

Stora Enso Oyj’s Skoghall, Sweden, mill was idled due to a recovery boiler explosion on Jan. 21, but PMs Nos. 7 and 8 were to ramp up to full output Feb. 9-11, according to Industry Intelligence Inc.’s archives.

In addition, the market is being tempered by Cascades Inc.’s announcement that the consultation process with unions will start Feb. 25 concerning possibly closing the Cascades Djupafors business in Ronneby, Sweden.

However, GC board customers have been able to buy all the paperboard they need in a timely way and are putting up strong resistance to a price hike. Some new contracts do not change prices, reported Euwid.

The primary source of this article is Euwid, Gernsbach, Germany, on Feb. 18, 2014.

* 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.