List prices for coated unbleached kraft board (20-pt folding carton) were flat in August after the $40/ton price increase in June/July (first increase since August 2008), Wilde says. At current levels of $865 - $925/ton, prices are up 4.7% y/y. The recent price increase was driven by strong beverage demand and a pick-up in back-to-school activity. This increase will help restore the spread with coated recycled board prices, which rose in September 2009, January 2010, April 2010, and August 2010. Based on strong demand and reduced supply (Graphic Packaging’s closure of Golden, Colo., beverage packaging plant and six folding carton plants), Graphic Packaging (No. 1 North American producer) recently announced a $50/ton price increase, effective at the end of this month).
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