Pulp prices continue to move lower this month

The disarray in the market pulp prices in the month of May has created uncertainty for the producers. The producers have opted to wait till the end of the month to estimate the extent of discounts and rebates. Though the list of NBSK and southern pine remains unchanged the transactions in the U.S. and some Asian markets dropped below expected levels. The prices of hardwood also decreased and hardwood downtime is widespread particularly in North America, Europe and Brazil. The prices of Southern mixed grade wood appeared to be consistent while that of eucalyptus reduced grossly. The closing of papermills amd reduced consumption of paper in the U.S. is responsible for cut in the pulp demand.