Chemical raw material prices going up
Because of the rising costs of energy and raw materials, titanium dioxide, paper manufacturers are brewing a new round of paper price increases, which makes the printing business very alarmed. BarryPearson, managing director of a Doncaster-based UK professional business printing company, said: “I heard the paper price is rising, it is frustrating.” “We have a lot of work doing with paper, therefore paper consists most of the cost of production, further price increases means smaller profit margins.” He said that in order to reduce the cost of paper, he had consulted the Chinese container through the purchase of paper, but was adminrmed, 39.1% of the price was to be levied for anti-dumping duties. “This basically means that there is almost no other way to fight rising price of paper. I think we can only wait for some European manufacturers to control the price.” Sappi Paper Europe coated fine paper prices will increase at least 8%, the policy will be put into effect among buyers without previous commercial contract from March 1 and among those with from April 1. It will also increase in March the non-coating fine paper prices by 5-8%. Sappi spokesman explained: “Sappi needs to raise the price of paper to deal with rising input costs.” “Because of the new prices, particularly energy, timber and pulp, we are also confronted with declining profit margins.” In March 14th,M-real will increase their non-coating fine paper prices by 6-8%. SimonGuffogg, director of marketing for M-real’s business added: “We must do something now, we have no other choice than trying to make up the costs of production. It is associated with the profit, the situation is very serious.” Lauri Peltola, Stora Enso’s public relations manager, said the company is discussing on this matter. UPM paper mills declined to comment.