June 2026 review
With the exception of some small increases on packaging grades, June remained a fairly stable month across all other grades.
Oil prices dropped further in June reaching around $73 per barrel which in turn saw haulier fuel surcharges drop from 8.5% to around 5% easing some pressure on the overall costs.
Towards the end of June it was reported that Folbbs’ two Cartonboard manufacturing subsidiaries filed for insolvency, Baiersbronn Frischfaserkarton GmbH (Germany) & Folding Boxboard Eerbeek B.V. (Netherlands) adding pressure to the Unprinted Scan market with some suppliers taking the decision to cancel orders.
July 2026
July 1st will see the introduction of the Dutch road tax which will affect road shipments that travel to and through the Netherlands. This impact will affect the recovered paper industry as the costs to and through the Netherlands will increase.
More information regarding digital waste tracking and article 18’s is becoming apparent, it appears that this legislation could also affect the cost of shipments in the coming weeks. We will keep you informed.
Packaging
1.04.00 / 1.05.00 (OCC) 1.04.00 & 1.05.00 have seen increases in price for July between £5 & £7/t deep sea. The factors contributing to this is the exchange rate and the drop in oil prices. Mills across Europe are relatively well stocked and demand across Europe is stable pricing has followed a similar increase to deep sea export.
4.02.00 (Fruit box) Strong demand from a major French mill has driven price increases of more than £5/t across the UK. At the same time, suppliers are reporting a decline 4.02.00 generation.
4.01.00 & 4.03.00 (NKLS & 98/2 OCC) Appetite for 4.01.00 and 4.03.00 remains weak across Europe, but steady deep sea. Order volumes and overall demand continue to be low into Europe, resulting in no changes to pricing. Deep sea price increases in line with the OCC grades
Newsprint & Graphic Papers
Market conditions for Newsprint and Graphic Paper grades remain stable, with supply and demand continuing to be well balanced. Activity across both domestic and export markets has remained consistent, and fibre availability is sufficient to meet current demand. Interestingly, demand has appeared for 1.06.00 ( Over Issue Pam’s) from the tissue sector, we are following this development with interest.
Folding Box Board 1.03.00 (grey board), 3.11.00 (HP Scan), 3.11.01 (Mixed Scan), 3.12.00 (LP Scan)
July has seen folding box board prices into tissue mills increase. It is reported that certain tissue mills are adding more mechanical based fibre to their mix and we have seen an increase in demand for these grades.
Tissues 3.10.00 (Multigrade), 2.05.00(SOW), 2.06(Coloured letters)
With Essity Prudhoe mill back in production, we’re beginning to see a return in demand for SOW and CHL. As we move into July the usual upturn we see across the tissue sector during the summer months is coming into play and early market indications are suggesting increases from £5 – £8/t.
Multigrade remains in high demand with fluctuating prices between UK, Europe and Deep Sea outlets. The price looks to have shown a small increase for July.
Pulp Substitutes
July has seen increases in the mechanical pulp subs upward of £10/t. This price increase is a result of increased demand for plasterboard liner in Germany.
The woodfree pulp sector remains stable with these grades still difficult to move in some circumstances.
Pricing Predications
Newsprint shows stability in price and demand over the coming months with reasonable levels of generation in these grades meeting production requirements.
We expect to see small increases across the tissue sector we estimate around €5/t as we move into the summer period and mills look to stock up before taking the usual summer downtime.
Packaging grades – we expect stability. The price increases seen, have not been led by mill demand but driven by logical cost savings and currency fluctuations. However depending on the summer period collection rates of these grades price may start to change in September.