High Grades May Dip in March

High grades could see some significant downward pressure this month. There are indications that several mills are looking to roll back prices for sorted white ledger, sorted colored ledger and, possibly, coated book stock. The move follows a market that had continually pushed up prices for these grades.

Although only preliminary, several vendors say prices for these grades may drop as much as $20 a ton in March. The decline stands a fairly decent chance of occurring, especially with Korean buying easing back. At the same time, the conclusion of Chinese New Year may result in a modest slowing of overall fiber to the South Pacific.

Despite the possibility of prices declining, the overall market for the grade continues to be good. Prices have been riding up, and there is no problem moving material. Prices for the grade have moved past the $200 a ton level at the mill for sorted colored ledger and a variety of grades of office pack. For sorted white ledger prices have been pushing the $300-a-ton level.