Sotipapier Records Decline in Activity in First Half of 2026
The Tunisian company Sotipapier has reported a decline in its activity for the first half of 2026. Its turnover stood at 44.19 million dinars, a 20% decrease compared to the same period in 2025, in a context marked by low demand for Kraft paper and persistent pressure on production costs.
Key Activity Indicators
The activity indicators published by the company also show a slowdown in production. Between January and June 2026, Sotipapier produced 23,947 tons of paper, compared to 26,798 tons the previous year, a decrease of 11%. This decline affects both corrugated paper, with a production decrease of 1,081 tons, and Kraft paper, which decreased by 1,770 tons.
Reasons for Decline
The decline in turnover is mainly attributed to the poor performance of the Kraft paper segment, whose revenues fell by 30%. Corrugated paper, on the other hand, is more resilient with a limited decline of 5%, but the volumes sold remain lower than the previous year.
Market Challenges
Sotipapier notes that the Tunisian Kraft paper market is still struggling to recover to its pre-2025 level. Although demand has stabilized over the first six months of the year, it remains insufficient to support the growth of activity. At the same time, the continuous increase in pulp prices maintains strong pressure on manufacturing costs.
Packaging Market
In contrast, the packaging paper market remains better oriented thanks to sustained demand from industries. However, the company warns that the evolution of raw material prices and increased competition could weigh on selling prices in the second half of 2026.
Investments and Financing
In terms of investments, Sotipapier has committed 3.14 million dinars in the first half, compared to 4.9 million dinars the previous year, a decrease of 36%, reflecting a more cautious investment pace.
Financial Structure
On the financing side, the company shows a slight improvement in its financial structure. Its net debt stands at 47.19 million dinars as of June 30, 2026, compared to 48.44 million dinars the previous year, a reduction of 1.26 million dinars. This development is mainly due to the repayment of part of the medium-term loans, despite an increase in management credits and a lower cash level.
