The paper market may be close to the bottom
the statistics in April and the market situation in may show that the long suffering paper market may be close to the bottom. However, its price fell again in May, and the advertising did not look good
according to the statistical data released by the Montreal pulp and Paper Products Council (pppc), the paper output of the United States and Canada decreased by 2.1% and 9.6% respectively compared with the same period of the previous year in April, while the demand continued to be weak. Compared with March, the overall inventory in North America decreased, but the decline was less than that in normal years. The price of associations and intermediaries supporting a batch of new material enterprises has shown signs of stabilization recently, but the price of 425 US dollars/metric ton in early May was at least 5 US dollars/metric ton lower than that in April
the price of high whiteness paper in may also decreased by $20/MT to $440/mt compared with April. From March to April, the prices of high whiteness paper and plain paper both fell by $10/Mt
an analyst quoted the average price data of paper in April and may, saying that the current price level is the lowest since 1994. He said that manufacturers are considering raising prices in the third quarter
if the advertising market recovers in the second half of the year, he said, "then the consumption, operating rate, price and profit of paper will also increase."
he also said that the demand for paper was "very disappointing". It may be one of the few varieties in the industry where the centralized price has fallen all the way to the early low point, and all this has happened in the past five years when they have correspondingly enhanced the development of degradable high molecular materials, and during the whole "1035" period of mergers and acquisitions, and everyone is talking about production based on volume demand
another analyst commented last week: "the market seems to be bottoming out. Domestic consumption is stable and inventories are relatively low."
when it comes to the weak demand, Tribune, a newspaper giant, reported last week that its publishing revenue in April was $296million, unchanged from the same period last year, while the advertising revenue and the number of advertisements decreased by 1%