Paper

 ENDING ON A HIGH NOTE

 The paper stock market, with few exceptions, ended the year as strong as it has been in a long time. Demand for both low and high grades are strong, with even the groundwood grades seeing better market conditions.

Meanwhile, finished product prices are seeing some upward pressure, with linerboard, medium and pulp all looking to see increases early next year. Whether or not the increase sticks, however, is debatable.

Continued demand from North American paper mills has boosted overall demand for many deinking and pulp substitute grades. Prices for SWL have shot past the $200 per ton level at many mills. On the offshore side there also has been some strong gains, led by purchases by South Korean mills. The positive tone could continue through the first few months of next year, especially if an additional pulp price increase is pushed through.

Improved SWL markets are also helping to drive office pack grades. Demand remains good, with prices at many tissue mills topping the $140 per ton level. Deinked pulp producers also are more aggressive with their intake of the grade. With higher pulp prices on the horizon, a number of the deinking pulp mills that had been struggling over the past several years are running better schedules.

(FibreMarketNews.com is an electronic  publication covering the paper stock markets and paper recycling industry.)