The German packaging paper market: Kraftliner supply fails to improve

"Scarce, scarcer, kraftliner”, quipped a producer of brown kraftliner describing the current situation on the German market.

The summer season, which is traditionally considered a period of weaker demand, has not yet brought any relief in the market. Market sources still report allocation of deliveries and cuts to orders. Several converters again report postponements in paper deliveries, even in the case of already reduced order volumes. They had hoped for more balanced market conditions in July due to seasonal factors and are now hoping that August will bring more calm to the market and allow them to re-build their inventories. New kraftliner volumes from Stora Enso’s Oulu mill which have been available since the second quarter have reportedly been fully absorbed by the market. Overseas imports are still limited.

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