Recycled containerboard hikes on the cards

The prices of recycled containerboard are set to increase again due to the recent hikes of &euro20-30/tonne in most of continental Europe and £25/tonne in the UK. This increase could be used for profits, resulting in strong demand, low stocks, and rising recovered paper costs. With the start up of Modern Karton's new 400000 tonne/yr machine at its mill in Corlu, Turkey, the supply of recycled containerboard is set to increase. Many big companies in this sector are planning for large scale expansions. Stora Enso is planning to invest in a new recycled containerboard PM to secure supply for its corrugated packaging facilities with its Ostroleka plant in Poland as the location. Analysts believe that if recycled containerboard prices climb, it might stabilize unbleached kraftliner in the short term. The Semi Chemical (SC) fluting prices look to be on an upward trend. Many producers have also been planning to raise prices of semi-chemical (SC) fluting by &euro50/tonne.