The hottest waste paper price increases, downtime

2022-08-23
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Waste paper price increases, downtime and big discounts from the combination of paper mills to see the trend of paper price in 2021

release date: Source: Packaging Industry Alliance Views: 1465 copyright and disclaimer

core tip: as the first small long holiday after the spring Festival, the price increases around the Qingming Festival every year have almost become a traditional "program". On April 4, the Tomb Sweeping Day, vigorously implement the high-end strategy, small and medium-sized paper mills across the country have

as the first small and long holiday after the Spring Festival, the annual price rise around the Tomb Sweeping Day has almost become a traditional "program". On April 4, during the Tomb Sweeping Day, small and medium-sized paper mills across the country have recalled the price of waste paper. Then, on April 5 and 6, nine dragons in Quanzhou rose by 30 yuan for two consecutive days, and nine dragons in Dongguan increased by 50 yuan on April 6. Nine Dragons led the rise, and the waste paper market can be said to rise completely. Combined with the "coincident" preferential large-scale paper mills before the Qingming Festival, it can be predicted that after cleaning up a wave of base paper inventory, the owners of the packaging station will no longer have to worry about the decline in paper prices in the short term

on the other hand, from March to April, the excellence of the upstream combination boxing, its remarkable effect, and the problems reflected behind it are also worth pondering

the first punch of the combination: the price of waste paper has been reduced. Since the Spring Festival, the paper price has continued the rising trend before the festival, rising for several consecutive waves, and overdrawn the terminal purchase order prematurely - even the carton factory has abnormally reserved inventory, which shows the great impact of this price increase

however, in March, the consequences of overdraft orders soon emerged. Whether it is a cardboard factory or a carton factory, its new orders are difficult to drive the increase of base paper sales. Throughout March, the inventory of the paper mill was accumulating at a weekly growth rate of nearly 10 points

at this time, the paper mill began to cut the price of waste paper

the second punch of the combined Fist: finished paper price reduction and destocking

paper mills and waste paper merchants have been dealing with each other for so many years, and they all know each other

price reduction is due to high inventory and weak initiative of paper mills in active production. On the other hand, the paper mills are also very clear about the inventory capacity of the packaging creep experimental machine station: even if the price is reduced, waste paper must be sold; Even if it is not sold for the time being, the limited inventory of the packaging station and the continuous financial pressure, these waste papers will still have to be sold in the end

this has been verified by the price reduction lasting for one month and the arrival of waste paper in various places. The paper mill obtained abundant raw material inventory with low waste paper prices, which is also ready for the second punch

from April 1, nine dragons began to offer rebates for six consecutive days, while in other regions, the de facto price reduction action is also basically carried out. Quite a clear inventory means. On the whole, thanks to the low price of waste paper in the early stage, the paper mill will basically not have large losses under the given external stress conditions

combined fist, the third fist? Downtime, waste paper price rise

this destocking operation is said to have had a significant effect. All nine dragons bases have queued up to grab paper, and the base paper position has declined rapidly

under normal circumstances, after destocking, it should be full horsepower production and restocking. But the reality is that after a wave of concessions, Longtou paper mill began to shut down again

from April 6, five paper machines (corrugated paper and recycled paper) in Tianjin Nine Dragons will be shut down for different days; From April 5, Anhui Shanying 1 paper machine (production box paperboard) will be shut down for 6 days; South China Shanying 4 paper machines (producing corrugated paper and box board paper) will be shut down for days. Just after the end of the preferential price

but on the other hand, the rise in the price of waste paper also returns to the rising channel at this time. The shutdown and the rise in the price of waste paper, the "continuous fist" of the paper mill, undoubtedly released great sincerity to protect the price

the traditional off-season begins in April every year, and there is a great risk of price reduction of finished paper due to poor terminal demand. "Everything is for the sake of price protection". As long as we can keep April and may, the most difficult period when a specimen breaks outside the marking line, the whole paper packaging industry will benefit from this in 2021. Since March, we have seen the strong overall control and admirable detail operation ability of the paper mill

in the era of no external waste and insufficient supply of waste paper, there is a difficult game around the competition for upstream raw materials and price control, whether between paper mills and upstream suppliers, between paper mills, or between domestic paper and imported paper

however, in this game, the spiraling rise in paper prices may become the main theme of the 2021 paper packaging industry

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