Vic’s Market Report
July 2018 – Victor Horton
Paper prices remain steady from last month.
Newspaper started January 2018 at $65/ton, but from May to July we are at $30/ton.
Cardboard was paying $105/ton in January, but June and July pricing is $75/ton.
Some of our New England buyers had bought little in June with an occasional load only. They did start taking mixed paper again in late June and we had been shipping all the occ we wanted but late in the month their scheduling changed.
Very few mills accept tonnage on live floor trainers as they are trying to streamline the unloading process.
Appointments got a little tricky with no date changes allowed. Since this time we are seeing a little more flexibility. They are not buying mixed paper for the domestic mill but a few loads are being set aside for export. Pricing is zero delivered to Mass so with the freight it can cost up to $40/ton to move the material.
Some of the Canadian buyers are looking at offering a delivered price to help combat the trucking issues they are having. Setting up carriers to perform the work had been challenging.
At least one mill offers the Buffalo pricing which is less than the New England price
They are adding $25/ton for freight, but it really needs to be $55/ton. Trucking is too expensive to make this worth the effort. The mill requires a trailer to be dropped for up to three days and not a lot of trucks are interested in that.
Mixed paper was moving at $55/ton in January. July pricing is $15-20 delivered with the exception of Salem which is $0 delivered. The mills in Canada are not taking any. A Vermont mill took a few trial loads, but they don’t like carrier board or soda and
Sorted Office Paper is at $215/ton. We started the year at $175 in January 2018.
Steel Can pricing has not changed from last month but a rumored price decrease might be in the near future. We have been paying about $166/ton delivered in the central Maine region. The price delivered to PA is $243/ton but there freight can be $1,500 – $1,700 depending on stops and where they are.
Light Iron delivered to Bangor is about $125/ton and it has been there since March 16, 2018. There was talk of a slight decrease but not so far. Price remains at $125/ton.