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Supermarkets are restricted, coffee shops have no paper cups, printers have no paper to print...

Views:4     Author:YDF     Publish Time: 2021-10-15      Origin:Site

The new crown epidemic has caused varying degrees of damage to the supply chains of all walks of life. In addition to the “core shortage” crisis that has attracted much attention from the market, there has also been a “paper shortage” in various parts of the United States. American retailers.


During the epidemic, the demand for packaging boxes and packaging materials soared, resulting in a sharp drop in paper production across North America. Since the beginning of last year, more than 2.5 million tons of printing and writing paper production capacity in North America (close to one-fifth of the 2019 level) has been discontinued. Polly Wong, president of Belardi Wong, a direct selling company in San Francisco, said: "We are starting to hear the voice of'we are out of paper.'"




She pointed out that some of her clients have missed the autumn advertising campaign due to problems with the printer. Wong estimates that during this year's peak consumption season, 100 million product catalogs will not be printed, nor will they be delivered to American households in time. She said, "This has caused our industry to panic."


Kevin Mason, managing director of ERA Forest Products Research, a financial research company, pointed out that printers usually seek supplies from abroad, but soaring logistics costs and the booming packaging demand in other markets themselves limit this option. U.S. paper and cardboard imports fell by 9.7% last year.


The retailer’s dilemma on the catalog is nothing but the latest impact on the industry triggered by the epidemic. Household paper (toilet paper and paper towels) is also in short supply in some places again, and some grocery stores have resumed purchase restrictions to combat hoarding.


Richard Galanti, chief financial officer of Costco, a well-known American warehouse chain store, said that it is restricting the purchase of key products including bottled water and toilet paper (toilet paper). There are also netizens on Twitter who complain about not being able to buy toilet paper.


In addition, the "paper shortage" has also affected other paper products. A coffee shop said that they had a shortage of paper cups, and booksellers warned that they might encounter difficulties in printing and publishing books due to paper shortages. Supply chain issues have also affected overseas markets. For example, British supermarkets are also facing sporadic shortages of daily necessities such as toilet paper.


On the other hand, due to the shortage of factory capacity and labor, the North American paper crisis also pushed up paper prices. London-based packaging manufacturer DS Smith Plc operates 9 paper mills in Europe and 2 paper mills in North America. In its earnings conference call earlier this month, the company said that "paper prices have risen sharply."


"I wouldn't be surprised if prices rose further, because the market is too tight," CEO Miles Roberts said on a conference call. He pointed out that his company was able to obtain enough paper because of its "deep long-term relationship."


Nahan is a catalog printing company based in Minnesota. The company said, "This affects all of our printing business, and also affects our customers. This summer, the average price of paper increased by 16%." Nahan expects this tightening will continue until 2023


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