SHFE to Push Ahead with Listing of Corrugated Base Paper and Other Futures Contracts

Published:2021-09-26 · Industry News

On September 23, the papermaking sector in the A-share market rose across the board and set off a wave of limit-up moves. So what are the future development trends of the global paper industry?

Li Wei, general manager of Fastmarkets RISI China, believes that entering 2021 and beyond, demand for paper and paperboard will accelerate, but considering the market's decline in recent years, it will in effect only maintain low-level, stable development; developing countries are the main source of future demand growth, and packaging paper and paperboard and household paper will continue to lead demand growth.

For the real enterprises along the papermaking industry chain, more and more enterprises are beginning to use pulp futures prices as the benchmark for purchase and sale contract prices, gradually forming an integrated spot-futures trading model for price management and inventory management.

At the pulp sub-forum of the 18th Shanghai Derivatives Market Forum held on September 23, Li Hui, deputy general manager of the Shanghai Futures Exchange (SHFE), said that affected by multiple factors such as repeated outbreaks of the pandemic and rising global inflation risks, bulk commodity prices have fluctuated considerably, bringing great uncertainty to the stability of global industrial and supply chains and to enterprise production and operations, and greatly increasing enterprises' demand for hedging.

On the next steps, Li Hui said that SHFE will comprehensively and thoroughly implement the new development philosophy, launch standard warehouse receipt trading for pulp, further enrich delivery resources, optimize the layout of delivery warehouses, continue to explore the path of internationalization, and actively study and advance the listing of paper futures varieties such as corrugated base paper, so as to provide more high-quality, more efficient and more comprehensive services, empower the papermaking industry precisely, accelerate its green and low-carbon development, and promote the comprehensive green transformation of economic and social development.

——This article is reprinted from China Packaging Network (pack.cn). Original link: http://news.pack.cn/show-378315.html

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