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Paper prices in Europe have been continuously witnessing a plunging movement. European companies dealing with high grades of paper are increasingly experiencing weak demand and falling prices, a trend that has become a routine aspect of their operations.

The recovered fibre market in Europe has continued to face similar challenges as were encountered in 2023, with recyclers reporting low demand from mills and weaker collection rates. Despite the reduced volume of collections, the presence of strong competition from pulp has made it challenging to sell substitutes.

In Germany, the situation has led to enforced price reductions on lower-grade papers following longer shutdowns over the holiday period, despite resistance from sellers. Over in the UK, the market for old corrugated cardboard (OCC) has seen a decline, attributed to inflated ocean freight rates and logistical adjustments, such as rerouted ships, which have resulted in keeping more supply within domestic markets. This scenario highlights the broader challenges faced by the paper recycling industry across Europe, emphasizing the impacts of logistical complexities and shifting market dynamics.

According to the article by Procurement Resource, paper prices in Europe are plummeting. Suppliers are grappling with a lulled paper demand and falling prices for high-grade paper, continuing the trend from the previous year. The recovered fibre market sees low demand and reduced collections, while competition from pulp makes selling alternatives difficult.

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In Germany, forced price reductions on lower-grade papers have been enacted post-holiday shutdowns. The UK's old corrugated cardboard market declines due to high ocean freight rates and rerouted ships, highlighting logistical and market challenges across the European paper recycling sector.