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Blog

Forest2Market Adds Mixed Paper Grade to Market2Mill Reports

April 17, 2012
Author: Suz-Anne Kinney

Market2Mill, Forest2Market’s recovered fiber price and mill benchmark reports, will begin reporting Mixed Paper prices and market trends.

The impact of this addition is significant. “There is very little transparency in Mixed Paper pricing at present due to the lack of market reporting, and it seems quite possible that there are gross and unjustified discrepancies in prices of what are essentially commodity products,” said attorney James R. McGibbon, who paved the way for this product expansion with a favorable anti-trust opinion. “Improved pricing data to both sides in a competitive market should lead to more accurate pricing based on economic factors of supply and demand, thus improving market efficiency.”

Launched in April 2011, Market2Mill was the first transaction-based market pricing service for recovered fiber, offering both monthly reports and quarterly mill benchmarks to buyers and sellers of high value recovered fiber grades. It remains the only product on the market that reports volume weighted average prices derived from actual transactions submitted by subscribers.

Market2Mill has evolved over the course of its first year. Initial Market2Mill reports contained market data about OCC and DLK. Since then, it has split OCC reporting to include both spot market and contract prices. Perhaps as soon as June 2012, Market2Mill will begin reporting prices and market trends for the Mixed Paper grade.

According to Barbara Hudson, manager of Forest2Market’s recovered fiber practice, this milestone will benefit the entire industry. “Market2Mill provides a broad view of what is happening out there in the market. Buyers and sellers of recovered fiber using price and market trend data from actual transactions occurring in the market make better informed decisions. It’s as simple as that. With high quality market data on pricing and volume provided by Market2Mill, buyers and sellers of OCC, DLK and now MP can assess their performance against the market and develop forward-looking pricing strategies.

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