HOME | EDITORIAL CALENDAR | SUBSCRIPTION SERVICES | EVENTS CALENDAR | PAPER INDUSTRY LINKS | CONTACT US

Market Pulp Headed for New High

June 2, 2010 - Major producers of market pulp have announced a $20-30 per metric ton price increase for NBSK and BEK, effective June 1. If implemented, NBSK will rise to $1,020/mton in North America, $980/mton in Europe, and $890-900/mton in China, according to Deutsche Bank analysts covering the Paper & Forest Products sector.

"The latest price hike is driven by a decline in pulp producer inventories by one day of supply to 25 days," said Mark Wilde, Senior Analyst at Deutsche Bank.

“In North America, market conditions are still fairly tight driven by strong demand, reduced supply from Chile and spring maintenance downtime,” noted Wilde. “U.S. NBSK spot prices rose to $900-940/mton in the U.S. East and Midwest.

“However, falling Chinese resale prices, a weaker Euro, and pending restart of close to 2 million tons per year of market pulp capacity in Canada and China suggest that pulp prices may be reaching a new-term peak,” Wilde added.

SOURCE: Deutsche Bank




PaperAge. Copyright © O'Brien Publications, Inc. All rights reserved.