Germany: Waste Paper Market Suffers from Extremely Limited Transport Capacity
News General news
The German waste paper market is currently characterized by significant logistical bottlenecks. Some market participants have stated that freight capacity is scarcer than ever before.
As a result, waste paper—which is generally available in sufficient quantities to meet the needs of paper mills—often cannot be transported. The resulting shortage and higher transport costs are thus causing waste paper prices to rise slightly in some cases, despite the market otherwise remaining relatively balanced.
According to most of those interviewed, the waste paper market would have remained relatively calm in May had the situation in the logistics sector not become so acute. While freight space shortages are completely normal during periods with many holidays, it has never been this difficult, it was repeatedly noted. The limited logistics capacity is also attributed to a growing number of bankruptcies in the freight forwarding industry and the increasing shortage of drivers. Furthermore, waste paper is not the most attractive cargo in the competition for scarce freight space.