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SunSirs: Shortage of Raw Materials, Waste Paper Market Soared 12.38% in February

March 05 2020 09:41:01     SunSirs (Selena)

Prrice Data

According to the data monitoring of SunSirs:

Waste paper market: at present, the price of waste paper is running at a high level. The average purchase price of waste yellow paper market is 2,431 RMB/ ton, up 141 RMB/ ton compared with the average purchase price of 2,290 RMB/ ton in the market a week ago (February 24), up 6.18%. Compared with the beginning of the month (February 1), it increased 284 RMB/ ton, up 12.38%.

Corrugated paper market: at present, the average ex-factory price of 140g corrugated paper is 3,603 RMB/ ton, up 100 RMB/ ton, up 2.85% compared with a week ago (February 24), up 233 RMB/ ton compared with the beginning of the month (February 1), up 6.92%.

Market Analysis

Waste paper: in the first ten days of February, most of the paper enterprises did not start their work, and the logistics in all regions was suspended, and the overall market was light. At that time, the market price was mostly the same as that of the year before. Since the middle of February 17, due to the influence of the general environment and logistics control and other factors, the supply of paper raw materials is still in short supply, the operation of packaging station is slow to resume, and the operating rate of paper enterprises is generally low. Major paper factories including Jiulong, Shanying, Liwen, etc. have started to raise the purchase price of waste paper, and the increase range is 30-150 RMB. Since then, the major paper mills have started the rising tide of the paper industry circle in February, with the rising voice. According to the data monitoring results of the business agency, on February 17, the average purchase price of the waste paper market was 2,147.14 RMB, 1.33% higher than that on February 1; On February 24, the average purchase price of waste paper market was 2,290 RMB, up 5.25% in 7 days; on February 29, the average purchase price of waste paper market was 2,412.86 RMB, up 5.36% in 5 days. Waste paper rose 12.38% in the whole February.

In terms of corrugated paper: in the middle and late February, upstream and downstream enterprises in the corrugated paper market returned to work one after another, and the market turnover gradually recovered. The corrugated base paper market is in short supply due to the shortage of raw materials and waste paper, Due to the influence of price rise and favorable stimulation of downstream demand, the overall price of the market is rising rapidly. Paper companies have successively issued price rise letters. Corrugated and box board paper enterprises increased 100-150 RMB/ ton. Most of the small and medium-sized paper enterprises increased price by a large margin, with an increase of 100-400 RMB/ ton. The price adjustment areas are mainly in Dongguan, Yunnan, Chongqing, Fujian, Jiangsu, Shandong, Hebei and other regions. On February 25 at the beginning of last week, the price of corrugated paper market rose again, and the paper enterprises of scale level increased 200-250 RMB/ ton again. Most of the small and medium-sized paper enterprises increased price by 200 RMB/ ton. The price adjustment areas are mainly in Dongguan, Jiangsu, Shandong, Hebei and other regions. At present, the highest price of 120g high-strength corrugated paper ex-factory including tax in some regions has exceeded 4,000 RMB/ ton. Compared with 3,300-3,500 RMB/ ton of mainstream price before the Spring festival, it has increased by 500-700 RMB/ ton, with a maximum increase of 14%.

According to the paper analysts of SunSirs, at present, in Anhui, Jiangsu, Zhejiang and Guangdong, the resumption of work is in good condition, the arrival of waste paper has improved, and the pressure on raw materials has slowed down. It is expected that the overall high level of the waste paper market will be stable in recent days, but most of the paper enterprises still have insufficient start-up, which may cause some paper enterprises to raise the purchase price of waste paper again, and the corrugated base paper market also has room to keep up again.

 

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