Printing companies that produce and utilize printing paper have reported that paper prices are currently increasing due to a shortage of supply from China, ranging from raw materials to finished paper products.
China’s paper collection has led to paper price hikes.
Prices for different types of paper have surged over the past few months, affecting the revenues of printing presses and publishers.
The price of printing paper is around 17.5-18.5 million Vietnamese dong (768-812 USD) per ton, an increase of 1.5-2.5 million dong (65-110 USD) compared to the end of last year.
Writing pad paper has increased in price from VND 19.5 million ($856) since mid-February to 23.5-24 million dong ($1,032-1,054) per ton.
Duong Chi Thanh, Deputy General Director of Vinh Tien Joint Stock Company, stated that paper prices have risen due to high-priced imported raw materials.
Many Chinese companies are purchasing large quantities of paper raw materials and paper products, leading to shortages and high prices.
“Some paper importers have indicated that prices will continue to rise, especially during the harvesting season,” Mr. Thanh said.
Packaging manufacturers believe that the price increase has also affected the cost of paper rolls since the end of last year.
Rapidly rising paper prices are causing difficulties for printing businesses.
Experts believe that prices have risen in many countries because several nations have restricted paper production for environmental reasons. A paper industry expert added that the trend of paper pulp price increases is due to many countries limiting production to minimize environmental impact.
Meanwhile, in Vietnam, the number of paper pulp factories can be counted on one hand, so premium paper types in Vietnam largely depend on global raw materials. Therefore, when global raw material prices rise, the production costs of Vietnamese businesses will also increase accordingly.
About 10 years ago, the Chinese government shut down several paper and paper pulp mills, resulting in an annual paper shortage of 10 million tons, according to Han Vinh Quang, former chairman of the Vietnam Paper and Pulp Association.
In the first 4 months of the year, Vietnam imported about 465,000 tons of paper, a 5% increase compared to the same period last year. The main imported paper products are high-quality packaging paper, tissue paper, and printing paper.
At the same time, domestic businesses exported 187,000 tons of paper, approximately 400% more than the same period last year.
Last year, Vietnam imported paper and paper products worth $2.5 billion, including $600 million from China.