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Raw material prices rise

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Raw material prices rise

by:UNIHOPE 32960 browse Time required for reading:2 MINUTES


The world's largest pulp producer warns that stocks are running low.

 

On May 6, 2022, Suzano SA, the world's largest pulp producer, said that pulp stocks have been gradually dwindling, and supply disruptions are likely to occur in the future, or lead to higher prices for essentials such as tissue and toilet paper.

 

Brazil-based Suzano SA is the world's largest pulp producer. Its CEO Skaha said in an interview with the media on the 6th that Russia is an important source of wood in Europe. Due to the escalation of the conflict between Russia and Ukraine, wood between Russia and Europe Trade has been completely blocked.

 

Even before the outbreak of the Russian-Ukrainian conflict, the raw pulp market was already tight. After the outbreak of the Russian-Ukrainian conflict, the price of food and energy soared, which not only increased the transportation cost of Brazilian pulp, but also squeezed the transportation capacity of pulp by food. The price of wrapping paper, diapers and toilet paper will rise, causing a new blow to consumers.

 

A number of paper product companies said that since last year, the prices of raw materials such as wood pulp used in the production of paper products have risen, which in turn has led to an increase in production costs for companies. Since the beginning of this year, the rebound of the epidemic has occurred in many places in China, which has led to the obstruction of logistics and the increase of transportation costs. The comprehensive reasons have led to paper products companies raising prices.

 

The rise in the price of paper products is also related to the lives of ordinary people. Household paper is a necessities of life, such as baby diapers and sanitary napkins, even if the price increases.

 

From the observation of market changes, domestically, the upstream raw material pulp is at a high level, and the paper mill maintains a price attitude. However, market orders continued to be weak, and weak demand suppressed pulp prices. Downstream paper mills have always been in a state of just-in-demand procurement, combined with poor logistics and transportation in many parts of the country, and the current price is still on the rise.


In this case, baby diaper manufacturer and sanitary napkins suppliers are under enormous pressure to stabilize prices. As a supplier of diapers and sanitary napkins, we have always adhered to sustainable development, and maintaining stable prices will help achieve common development with customers.

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