Paper mills are reducing capacity in response to falling demand because of the Covid-19 pandemic, while demand for corrugated packaging is rocketing, putting strain on sources of recycled fibres.
Among those reducing capacity around Europe include Mondi which is taking down time at the Neusiedler mill in Austria. SCA is implementing temprorary closures at the Ortviken mill which produces 775,000 tonnes of publication papers a year, and Soraenso, which is preparing to suspend production at its Oulu and Veitsiluoto mills.
Added to already announced stoppages at Caledonian Paper and elsewhere, along with the increasing challenges of distribution, this is increasing the variability of supply. Julian Townsend, sales director of Denmaur Paper Medias, says: “We appreciate it is not easy to plan ahead in such difficult times, but it will certainly assist the security of supply.”
But it is not all about reductions in capacity. Burgo has restarted production at its Ardennes mill after a week long deep clean, while Lecta has reopened its Cartiere del Garda mill, if only for label papers.
According to Cepi, the European paper industry, the great majority of mills are running across the continent. As well as printing papers, Cepi members are producing masks and filters for respiratory devices, board, labelstocks and corrugated for food packaging.
However, the latter finds that supply chains for recovered paper are under strain as local authorities close recycling facilities and businesses that are usually generating large amounts of materials for recycling are closed. UK collection volumes are down significantly according to the Recycling Association.
It has not yet affected production of corrugated packaging, at least according to DS Smith and Smurfit Kappa, the behemoths of the sector. Both have pan European networks to gather used materials and are working closely with collectors of the raw materials and encouraging them to maintain supply.
Both are also turning their product design skills to coming up with corrugated based products to ease problems. In this way, DS Smith has developed a new style of box which can be used for home delivery of food.
“Our design teams are working flat out to develop bespoke packaging to allow retailers to support vulnerable citizens and give them access to everyday essentials through drop and go packages. We are also working with customers that are adapting their production to develop much needed protective equipment like facemasks so they can be shipped to those on the front line,” says CEO Miles Roberts.
The boxes can be stacked inside vans and dropped off on door steps while maintaining social distancing measures.
Smurfit Kappa has developed a series of workplace dividers to separate workers from each other to prevent infection, including at hospitals in Spain. It has also used corrugated boards for beds in temporary hospitals, face masks and other styles of temporary furniture.
Corrugated has enjoyed strong demand as going out to the shops has been replaced by online shopping, including food shopping. As a consequence new styles of box have been developed to enable food boxes to be left on the doorstep without delivery driver and householder coming into contact.
