The reason why the original paper could not be sold and could not be moved was found!

by:CAI YI JIE     2019-01-16

 Recently, paper prices have ushered in a wave of gains, but according to market reactions, they have not been implemented. The reason is related to the weak downstream demand. This year's peak season is finally over in the cold winter. So, why is the demand for packaging paper so hard to boost?

 After struggling, the price increases:

 On the occasion of the double 12, the wrapping paper began to rebound after a long period of silence. Several dozen paper companies across the country raised the price of paper. 56 paper mills in Zhejiang, Jilin, Shandong, Henan, Jiangsu and other places have issued price increases.

 However, according to the reaction of the market, this wave of paper prices has risen, and it has not brought about the trend of the original. As many industry analysts have analyzed, the demand will not move and the price increase will not be implemented.

 Indeed, the paper market has returned to calm after struggling for a few days. The country’s waste has fallen, the original paper is eager to move and there is no strong price support factor, and the fire of price increases is gradually disappearing. 2018, it seems destined to have a bad harvest year. So why is the downstream demand for wrapping paper so cool? Let's take a look at some data on terminals such as food and beverages.

 Demand side: the number of terminal enterprises such as food and beverage increased, but the number of loss-making enterprises also increased

 In 2018, China's consumption structure ratio has changed little. The downstream consumption of corrugated paper and cardboard paper is still mainly reflected in food, beverage, clothing and footwear, daily chemical products, electrical appliances, medicine and other packaging, accounting for more than 80%. It is expected that the proportion of China's industrial consumption structure will be stable and small in 2019. Due to the high cost of raw materials, the role of substitute packaging materials (especially plastic packaging) will become more and more prominent, and the proportion of packaging for daily necessities and beverages will be reduced, especially The demand for corrugated and boxboard packaging in the express logistics industry will be reduced to some extent.

 According to the statistics of the National Bureau of Statistics, the number of customers in the downstream food, beverage, footwear, clothing, medicine, furniture and other industries of corrugated paper and cardboard floor display is more than 5,000, and it is increasing year by year from 2014 to 2018 (as of October). trend.

 Table 2014-2018 Statistics on the number of downstream customers of corrugated and cardboard floor display paper:

 Affected by overcapacity, environmental protection and other factors, the loss of major industries in the downstream of paper packaging in 2018 showed an increasing trend year-on-year. Among them, the number of losses in the food industry was 1,366, an increase of 1.4% year-on-year; the loss of the wine and beverage industry was 931. Home, increased by 14.5% year-on-year; the number of losses in the apparel manufacturing industry was 2,425, an increase of 11.3%; the number of losses in the footwear manufacturing industry was 1,161, an increase of 7.9%; the number of losses in the furniture manufacturing industry was 919, an increase over the same period of last year. 10.7%; the number of losses in the pharmaceutical industry was 1,223, an increase of 10.0% year-on-year; the number of losses in the automobile manufacturing industry was 3,005, an increase of 15.0% year-on-year.

 The demand for packaging paper is diversified, and the carton factory faces new challenges.

 In 2018, the number of loss-making enterprises in various industries increased, and the demand for diversification and specialization became more and more obvious. Especially for medium and high-grade packaging papers, the technical and technological requirements for carton factories are getting higher and higher.

 With the change of national policy orientation and downstream consumption habits, in the new manufacturing era, paper packaging must be green and environmentally friendly. At the same time, it needs to be suitable for small batches and personalized customization, and pay more attention to highlighting product functionality and enhancing user experience. In the future, the demand for paper packaging in the downstream industry is not only a combination of protective casing and promotional decoration, but also has the following characteristics:

 1. Green low carbon environmental protection

 2, the amount can be recycled

 3, personalized customization

 4, intelligent printing and packaging

 The next thing the carton factory needs to do is to move closer to the above aspects to meet the needs of downstream users for the transformation of packaging forms.

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