At present, the French paper industry is facing serious pressure. The shortage of pulp raw materials leads to the continuous rise of production costs. Some paper products enterprises sound the alarm and call for the increase of product prices. The prices of toilet paper and other daily necessities may rise.
According to French BFM television, in the United States and Canada, some supermarket chains have announced restrictions on the purchase of several commodities with tight supply, including toilet paper. Although France has not reached this level, the tension in the paper industry makes the whole paper product market face the risk of price rise, and even some products may be in shortage.
Essity group, a leading enterprise in the European toilet paper industry, owns lotus, okay, Tena and other brands. Arnold laffler, vice president of the French, Belgian and Italian markets of the group, said in an interview with the echo that the production cost has increased by 30% in the past year. Although measures have been taken to limit its impact, including simplifying packaging, we do not know how to avoid a large increase in product prices, “The impact is so great that we can’t bear it alone. Retailers must share the impact.”
Paul Antoine lacur, general representative of copacel, a professional trade union of pulp, paper and paperboard manufacturers in France, also pointed out that since the beginning of this year, the rise in pulp costs has been unprecedented. Within eight months, the price of cork pulp raw materials has increased by 44% and that of hardwood pulp raw materials has increased by 47%, which must be passed on to consumers.
Moreover, the current soaring prices of electricity and gas in France have also pushed up the production costs of enterprises.
Eric Qiong, CEO of European office stationery giant Hamelin group, said that the cost increase in 2022 will have to be reflected in the price, and the price increase of different paper stationery products will be between 15% and 25%.
The prospect of rising prices of a variety of paper products is obvious, and consumers are worried about the possible shortage of toilet paper, books, magazines and newspapers. Benois duxner, President of the French national printing and communication industry alliance, said, “sometimes there are supply difficulties for some types of paper, but we are not at an impasse.” Paul Antoine lacur believes that printing paper has encountered serious difficulties, especially in the press and publishing industry, but toilet paper and other products will depend on the company’s business operation mode, and it is not ruled out that there will be delivery delays.
Before the COVID-19 crisis, many pulp mills closed because of overproduction and structural demand. After the outbreak, especially during the blockade, a large number of French consumers hoarded toilet paper, which once led to a shortage of supply. Due to the continuing restrictions and the long distance office operation, the waste paper recycling in Europe also declined significantly. , could have eased the tight supply situation.
If the price of toilet paper and other paper products rises, it will further hit the purchasing power of French households. According to the latest report released by the French National Institute of statistics and economics, the consumer price index rose 0.6% month on month and 1.9% year-on-year in August this year.
Post time: Oct-13-2021