September 2026 review
OCC recorded another month of increases through September, despite the PERN falling and shipping costs to India and the Far East continuing to rise. Fruit Box prices also maintained their upward momentum, increasing week on week throughout the month.
As expected, we saw continued stability across the Graphic sector. Folding Box Board increased modestly, alongside some upward movement in Tissue grades.
Fuel surcharges continued to put pressure on road freight costs throughout the month.
October 2026
Packaging
1.04.00 / 1.05.00 (OCC)
October demand for 1.04.00 and 1.05.00 remains strong into the deep-sea market. Export prices across Europe have been higher than those in the UK in recent months; however, UK pricing is now beginning to catch up, with reports of OCC reaching £130/t.
Demand into India is also increasing, although the market has been impacted by shipping cost increases of around $200 per container. In contrast, Southeast Asia has yet to see any significant change in shipping costs.
4.02.00 (Fruitbox)
October has seen further upward movement for 4.02.00, with Turkey and France leading the increases. Mills in Germany, however, remains resistant to following the October price increases, despite demand continuing to be strong.
4.01.00 & 4.03.00 (NKLS & 98/2 OCC)
Demand across Europe remains subdued for these grades. Deep Sea export pricing is unchanged in September and is now at the same level as 1.05.00, following the recent increases in that grade.
Newsprint & Graphic Papers
As expected, pricing for Newsprint and Graphic papers remains stable for October with no changes announced by either UK or European mills.
Folding Box Board 1.03.00 (grey board), 3.11.00 (HP Scan), 3.11.01 (Mixed Scan), 3.12.00 (LP Scan)
The market for Folding Board remains stable for October. Outlets for UP Scan continue to be slow, which in turn is keeping pricing stable throughout the month. Coloured Card and Box Board Cuttings also remain unchanged for October.
Tissues 3.10.00 (Multigrade), 2.05.00(SOW), 2.06(Coloured letters)
October sees small increases across SOW and CHL, primarily to cover the rising FSC. UK mill demand remains steady and stable, with this trend expected to continue for the remainder of the year.
Multigrade pricing remains unchanged in October. The increases introduced by UK mills in September remain above European export pricing, so there is currently no justification for any further increase.
Europe continues to lag behind on Multigrade. Year-to-date, we have seen no significant uplift in European demand, with volumes remaining subdued.
Pulp Substitutes
October has shown no change in pricing for pulp substitutes. However, virgin pulp prices in both the US and China have increased, which may put upward pressure on pulp substitute pricing later in October.
Pricing Predictions
With Palm committed to maintaining offtake through to the end of the year, newsprint and graphic paper markets are expected to remain stable. There is currently no additional demand emerging from Europe, with buyers holding their positions ahead of the anticipated change in UK market dynamics from Q1.
As we move into Q4, packaging grades continue to strengthen. However, uncertainty remains around transitional tonnes and their eligibility for PERNs. This is likely to influence deep-sea markets as the quarter progresses.
Tissue grades appear to be reaching the top end of the market and are not expected to increase further as we move through the final quarter of the year. Stock levels remain moderate, and with Prudhoe still operating below full capacity, the generation currently available is sufficient to meet mill demand.