Page 45 from: December 2015

43December 2015

Textile
Closed: November 24, 2015

into the final month of the year. Export
demand in November has remained
slow despite historically low ocean
shipping rates, and export prices have
continued to fall.
US recovered paper exports in the first
nine months of 2015 were 4% higher
than in the same period last year but
dropped every month from July through
to September. Meanwhile, prices con-
tinued to lag around 5% behind year-
earlier numbers, based on trade data
from the US Commerce Department.
October and November stats, when
they become available, will undoubtedly

reflect the further price declines traders
have reported during those months.
Adding to the already weak export mar-
ket, one broker noted, Chinese orders
in November were impacted by the
maximising of quantities allowable by
import licences.
The paper stock industries chapter
of the US Institute of Scrap Recycling
Industries (ISRI) has proposed changes
to its recovered paper trading specifica-
tions. Reconfiguring mixed paper and
old newspaper grades and setting an
industry standard for moisture readings,
these proposals will be reviewed at the

ISRI winter board meeting in January
and at a specifications summit in Feb-
ruary.

Asia
No longer able to delay
Interestingly in November, export prices
have been falling whereas order posi-
tions have improved.
Most Asian countries have been buy-
ing small volumes since the summer
because they expected prices to drop.
In November, however, some mills
have not been able to delay their pur-
chases any longer – even though they

knew prices might go down further
– because they would simply run out
of fibre. The FAS price for European
packers has remained reasonably
stable owing to the strength of the
US dollar in relation to the Euro and
to ocean freight rates that have been
falling by the month.
Indonesia remains a weak market with
only a limited number of mills buying
material, while South Korea has offered
reasonably good demand for news &
pams. In China, it is mostly the big three
buyers that have been active whereas
smaller mills appear to be obtaining
sufficient volume from the domestic
market. India is buying decent volumes,
especially the low, middle and specialty
grades.
Prices are expected to fall a little further
owing to an increase in collections. Also,
a small drop in freight rates is antici-
pated for December.

Paper

By Mehdi Zerroug,
Framimex, France (president of

the BIR textiles division)

Persistent payment problems
[platte tekst]Autumn collections of originals were productive enough to satisfy
demand and sorters have been able to start building stock for the winter
period. The winter season starts at the end of November and volumes collected
have fallen dramatically. This will be the time for collectors to incorporate
appropriate changes into their organisations in favour of improving quality.
Demand for sorted items of used clothing has remained stable but fewer orders
have been received for wipers and wool materials, with no particular signs of
an imminent improvement.
Sorters are confronted by payment problems in several used clothing markets
and prices are coming under pressure. Meanwhile, prices for wipers and wool
materials are continuing to decline.

Contributing to the
Recovered Paper Market
Analysis:
• Melvin de Groot (Van Gelder

Recycling, the Netherlands)
• Mariëlle Gommans (Bel Fibres,

Belgium)
• Ken McEntee (Publisher of

The Paper Stock Report, USA)