Darmstadt, Germany
,
September 29, 2022
(press release)
–
Cost increases in raw materials, transport and energy are dramatically outpacing previous corrugated price adjustments Uncertain prospects for energy supply and massively increased raw material, transport and energy costs mean that the corrugated board industry is extremely concerned about the coming months. The Verband der Wellpappen-Industrie e. V. (VDW). Irrespective of this, the industry continues to reliably ensure the supply of the number one transport packaging and thus makes an indispensable contribution to maintaining the supply chains. "The drastically increased price level of our most important raw material, corrugated base paper, has been presenting our industry with new endurance tests since September 2020," says VDW Chairman Dr. Steffen P. Würth. "Against this background, a slight decline in the overall price of containerboard, which was recorded again for the first time in July 2022, must be regarded as a drop in the ocean. It doesn't change anything about the serious distress our industry has been in for some time," emphasizes Würth. The overall price level for corrugated base paper rose by a total of 85.3 percent from September 2020 to May 2022. "In a direct comparison with the price of our product made from it, it becomes abundantly clear how wide the gap has opened up here: the price level for corrugated board in May 2022 was 43.2 percent above the level of September 2020 - the increase in paper prices, on the other hand, fell about twice as much high,” explains the VDW chairman. Cost increases for other important raw materials as well as in the areas of energy and transport had a significant additional impact on the corrugated board industry. According to the Federal Statistical Office, for example, the price of starch and starch products rose by 81.1 percent from September 2020 to July 2022. According to the Federal Statistical Office, the cost of gas sold to industry rose by 448.3 percent from September 2020 to July 2022. According to the Federal Statistical Office, customers with special contracts in industry had to accept a total increase in electricity prices of 172 percent between September 2020 and July 2022. The freight cost index determined by Verkehrsrundschau shows an 18.3 percent increase from the second quarter of 2020 to the second quarter of 2022. "Two thirds of all transport packaging in Germany consists of corrugated board - the companies organized in the VDW therefore make an indispensable contribution every day to ensuring that industry, trade and consumers are reliably supplied. We want to continue to live up to this responsibility. In return, however, our industry must be able to count on the fact that it will no longer bear a disproportionate share of the overall dramatically increased cost burden," was Würth's urgent appeal. A graphic showing the development of the price indices for corrugated board and containerboard can be found here .
* 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.
