Magazine paper producers would like to see prices in Germany
rise in the second half of the year. They are trying to pave the way for hikes
by taking downtime. Market players on the German magazine paper market have
their eyes set on the second half of the year and producers are thinking about
raising prices. Paper mills feel that mark-ups are unavoidable due to
inadequate prices for uncoated and, above all, coated magazine paper and
catalogue paper at present. The question was not whether but only when prices
would edge higher, they say. Preparations appear to be widely under way. Paper mills are
reacting to the slump in demand by taking downtime, an unusually large number
of such actions are in the works for May and June. Paper industry
representatives are not tiring of emphasising that mill and machine closures
were having an impact on the market. Insiders are also wildly speculating about additional
downtime in the LWC sector. Further shutdowns appear inevitable amid the
prevailing supply surplus and forecasts of another decline in demand, above all
for LWC. "We have to sort out capacity," market experts remarked.
