UK Paper Price Bottoms at $163/Ton After 3 Months of Decline

United Kingdom Recovered Paper Export Price in November 2022

In November 2022, the recovered paper price amounted to $163 per ton (FOB, United Kingdom), reducing by -5.3% against the previous month. Overall, the export price saw a pronounced decline. The most prominent rate of growth was recorded in April 2022 an increase of 13% m-o-m. As a result, the export price reached the peak level of $307 per ton. From May 2022 to November 2022, the the average export prices remained at a somewhat lower figure.

There were significant differences in the average prices for the major overseas markets. In November 2022, the country with the highest price was Germany ($276 per ton), while the average price for exports to Malaysia ($137 per ton) was amongst the lowest.

From November 2021 to November 2022, the most notable rate of growth in terms of prices was recorded for supplies to Germany (+2.8%), while the prices for the other major destinations experienced a decline.

United Kingdom Recovered Paper Export Prices by Type

Prices varied noticeably by the product type; the product with the highest price was paper or paperboard; waste and scrap, of paper or paperboard made mainly of bleached chemical pulp, not coloured in the mass ($338 per ton), while the average price for exports of paper or paperboard; waste and scrap, of paper or paperboard n.e.s. in heading no. 4707 and of unsorted waste and scrap ($153 per ton) was amongst the lowest.

From November 2021 to November 2022, the most notable rate of growth in terms of prices was recorded for the following types: paper or paperboard; waste and scrap, of paper or paperboard made mainly of mechanical pulp (eg newspapers, journals and similar printed matter) (+2.0%), while the prices for the other products experienced a decline.

United Kingdom Recovered Paper Exports

After two months of growth, shipments abroad of recovered paper decreased by -7.1% to 323K tons in November 2022. Over the period under review, exports showed a relatively flat trend pattern. The most prominent rate of growth was recorded in September 2022 when exports increased by 36% month-to-month.

In value terms, recovered paper exports reduced to $53M (IndexBox estimates) in November 2022. In general, exports showed a perceptible shrinkage. The pace of growth was the most pronounced in February 2022 when exports increased by 8.8% against the previous month.

United Kingdom Recovered Paper Exports by Type

Paper or paperboard; waste and scrap, of unbleached kraft paper or paperboard or of corrugated paper or paperboard (185K tons), paper or paperboard; waste and scrap, of paper or paperboard n.e.s. in heading no. 4707 and of unsorted waste and scrap (111K tons) and paper or paperboard; waste and scrap, of paper or paperboard made mainly of mechanical pulp (eg newspapers, journals and similar printed matter) (19K tons) were the main products of recovered paper exports from the UK, with a combined 97% share of total exports. These products were followed by paper or paperboard; waste and scrap, of paper or paperboard made mainly of bleached chemical pulp, not coloured in the mass, which accounted for a further 2.5%.

From November 2021 to November 2022, the biggest increases were in paper or paperboard; waste and scrap, of paper or paperboard made mainly of bleached chemical pulp, not coloured in the mass (with a CAGR of +1.0%), while shipments for the other products experienced mixed trend patterns.

In value terms, paper or paperboard; waste and scrap, of unbleached kraft paper or paperboard or of corrugated paper or paperboard ($29M), paper or paperboard; waste and scrap, of paper or paperboard n.e.s. in heading no. 4707 and of unsorted waste and scrap ($17M) and paper or paperboard; waste and scrap, of paper or paperboard made mainly of mechanical pulp (eg newspapers, journals and similar printed matter) ($4.4M) appeared to be the most exported types of recovered paper from the UK worldwide, together accounting for 95% of total exports. Paper or paperboard; waste and scrap, of paper or paperboard made mainly of bleached chemical pulp, not coloured in the mass lagged somewhat behind, accounting for a further 5.2%.

Paper or paperboard; waste and scrap, of paper or paperboard made mainly of bleached chemical pulp, not coloured in the mass, with a CAGR of +0.9%, saw the highest rates of growth with regard to the value of exports, among the main product categories over the period under review, while shipments for the other products experienced a decline.

United Kingdom Recovered Paper Exports by Country

India (90K tons), Turkey (56K tons) and Vietnam (47K tons) were the main destinations of recovered paper exports from the UK, with a combined 60% share of total exports.

From November 2021 to November 2022, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by Vietnam (with a CAGR of +6.9%), while the other leaders experienced more modest paces of growth.

In value terms, India ($15M), Turkey ($8.4M) and Vietnam ($7.1M) constituted the largest markets for recovered paper exported from the UK worldwide, together comprising 57% of total exports.

In terms of the main countries of destination, Vietnam, with a CAGR of +3.4%, saw the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced a decline.

Source: IndexBox Market Intelligence Platform