Kraftliner prices increase at SCA

SCA paper mill in Obbola, Sweden © SCA

This increase will be applied as of June 1st.

The Swedish forestry group SCA increases the prices of its packaging papers, white and brown kraftliner, on the European market. This increase of 50 euros per ton will be effective from June 2021, and follows several other increases of 50 euros in recent months by the producer.

"International demand for kraftliner remains high." commented Mikael Frölander, vice president of sales and marketing for SCA's containerboard division, in a statement. "The ability to increase kraftliner deliveries is limited and rising raw material costs are driving up prices."

In fact, to meet the increased demand, SCA is installing a new production line at one of its two kraftliner plants in Obbola, Sweden. Announced for 2019, the facility is expected to increase kraftliner capacity at the Swedish site from 450 to 725,000 tons per year. It will come on stream in the first quarter of 2023.

The price increase for kraftliner unfortunately comes on top of a series of other price increases for printing consumables. Many manufacturers of printing and specialty papers ( Sappi, Lecta, The Navigator Company ), but also ink producers ( Sun Chemical and Flint ) have also announced price adjustments. They cite cost increases and shortages of raw materials as well as increases in international freight costs.

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