Global – With China implementing 100% control on all recovered fibre imports in July as part of its stepped-up National Sword initiative, exporters have been monitoring developments with concern and ‘looking more aggressively towards new markets for the purposes of diversification’, it is reported in the latest Mirror publication from the BIR world recycling organisation.
On a more positive note, freight rates have fallen sharply from their recent peak around US$ 2000 per 40-foot container to nearer US$ 1200 and vessel space is said to be more easily obtainable in general.
In the Mirror’s review of second quarter price developments, it notes that ‘strong’ OCC demand from European and Asian mills drove prices from US$ 255-plus per tonne at the start of the period to a high of US$ 267-plus, although there was then a retreat to US$ 250-plus by the end of June. On the back of low demand, mixed paper slipped from US$ 160-plus per tonne during the second quarter to around US$ 135 at its close.
As regards recovered paper availability, there was a continuation of the trend among paper mills in Germany towards direct deals, it is also reported. Meanwhile, Italy has been attracting ‘consistent’ fibre demand from Turkey while the UK notes a ‘realignment’ in middle grade prices that has increased the interest shown by Indian buyers.
Many mills in Scandinavia are said to be relatively short of recovered fibre stocks and so ‘a hectic summer’ is predicted. At the same time, exports of paper for recycling have suffered ‘greatly’ of late as a result of the strike at the Gothenburg container port, the biggest in Scandinavia. ‘Some paper for recycling is being ferried by truck to northern European ports,’ it is confirmed.
This article is based on the latest World Mirror on Recovered Paper produced by the BIR world recycling organisation for the benefit of its members.