BIR World Mirror on Recovered Paper / Quarterly Report - January 2012

PRESIDENT’S REPORT featuring Asia
by Ranjit Baxi, J&H Sales International Ltd

The financial pressures that have plagued the Euro-zone for over 18 months are exerting themselves with increased force.

Germany, Europe’s largest economy, posted its biggest fall in exports in October, showing that it is also not immune to this crisis. Overseas shipments fell by 3.6% compared to September and imports also shrank. However, the good news is that domestic demand among the largest Euro economies has remained stable to firm.

China’s export growth noticeably slowed in the final quarter of last year, primarily affected by the European debt crisis and weak consumer spending both in the USA and Europe, along with increasing domestic costs and inflation.

All of the above have had an effect on recovered fibre demand, supply and prices. Asian paper mills have been experiencing weakening demand for board and packaging paper, and as a result prices for new paper have been lower. This in turn has impacted upon the price of exported recovered fibre from Europe and elsewhere (...)

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