While producers of uncoated woodfree papers are reporting
growing downward pressure on prices, coated fine papers have become more
expensive in April and May. Stressing absolute necessity, manufacturers of coated
woodfree paper have being calling for price increases in France, and have been
successful in many cases. There were different price trends seen for sheets and
reels in May, with coated reel papers seeing a somewhat lower price hike than
coated sheets, EUWID sources say. Given high pulp prices and other cost factors, manufacturers
are under a lot of pressure to raise their sales prices. However, a few
producers consider it just as important to have enough orders to maintain
satisfactory capacity utilisation rates. Some paper makers are accusing their
competitors of having made too many compromises on price increases in order to
keep their machines running. The general market condition in France is still shaped by a
shrinking demand and overcapacity. In April, shipments of coated woodfree
sheets were down by a high single-digit percentage against the same month last
year, while the decline for coated woodfree reels was well into the double-digit
range, it is learnt.