The paper market continues in a state of confusion. After a period of price decreases - many of the major producers have announced price INCREASES. Leading the industry include Weyerhaeuser, Domtar and Boise (International Paper - the largest supplier of uncoated paper is conspicuously absent). The increase included both cut size (office copy and printer paper) and offset. The increase was announced for $40/ton effective with shipments September 19. Reasons for this increase were
-Capacity closure
-Seasonal upturn of demand
-Raising raw material cost pressure
-Reduced finished inventory
-Quality improvement (brightness now 92 vs. 84)
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