10.12.2021 – 11:00
Association of the corrugated board industry e. V.
The corrugated cardboard industry is still producing at full speed towards the end of the year and can report growth in sales and revenues for 2021 in an interim balance sheet. In doing so, it has once again proven itself to be a reliable partner to its customers, although it is still affected by drastic developments in raw material and energy prices. The greatest impact of this cost explosion continues to land with the corrugated cardboard manufacturers. The growth in revenues is disproportionate to this, according to the Association of the Corrugated Cardboard Industry. V. (VDW) based on the current industry data that can be communicated.
“The good news is: VDW members achieved a 7.6 percent increase in corrugated cardboard sales on working days in the first quarter of 2021 compared to the first quarter of 2020. In the second quarter of 2021, compared to the same period in the previous year, growth of 10 percent was recorded. Our industry has thus once again demonstrated its efficiency under extremely challenging overall conditions, “explains VDW Managing Director Dr. Oliver Wolfrum. However, the positive trend in sales is overshadowed by bad news: an unprecedented cost explosion on the raw materials side would put an entire industry in distress. “The price for recycled paper-based corrugated board base paper, which is particularly important for our industry, rose by 62.3 percent between September 2020 and October 2021,” said Wolfrum. The total price level for corrugated cardboard base paper, in the calculation of which the VDW includes weighted grades, rose by 56.3 percent from September 2020 to October 2021. For some of the paper grades that are relevant to the industry, the curve is pointing even steeper upwards. According to data from EUWID (European Economic Service GmbH), for example, Wellenstoff increased in price by a whopping 83.3 percent from September 2020 to November 2021.
The growing energy costs also proved to be a considerable additional burden, according to Wolfrum. According to the Federal Statistical Office, there was a price increase of 233.5 percent for natural gas and 116.6 percent for light heating oil from September 2020 to October 2021. “If you take a look at the revenue side in comparison to these ever-increasing prices, it becomes more than clear: the corrugated cardboard manufacturers are only benefiting to a limited extent from the sustained high demand Percent increased, “emphasizes Wolfrum. “The force of the cost explosion, which is largely due to the rise in raw material prices, affects the corrugated cardboard manufacturers in particular, who cannot convey this to their customers to the extent actually necessary. How long our industry can still absorb this massive pressure is questionable – especially since 2022 there is no sign of any easing in the market “, concludes the VDW managing director.
You will find a graphic showing the development of the price indices for corrugated cardboard and corrugated cardboard base paper here.
Original content from: Verband der Wellpappen-Industrie e. V., transmitted by news aktuell