Printing companies are facing the prospect of double-digit rises in paper prices following announcements of up to 12% increases by UK paper merchants. Printers have been warned that most merchants will make their increases from 6th April, although not all of the increases have been confirmed.
Depending on the grade, Antalis and its sister company James McNaughton Group have announced it would raise its prices by 8-10%, saying it would affect coated and uncoated graphic papers for sheets, reels and cut-size grades.
Howard Smith Paper have made it known that the full extent of the proposed price rises on its pricing strategy was not yet clear, but it is likely to raise prices between 8-12% for coated and uncoated grades for stock and direct mill deliveries.
The increase is expected to be in the region of 8-10% at Robert Horne.
Blaming rises in the cost of raw material and production, most of the paper merchants increased their prices last month and now they are back again, profiteering beyond the price rises introduced by the paper mills.
It would appear that the rationalisation of UK paper merchants over the last decade has resulted in a situation where there is little competition. Maybe it is time for the big boys to be broken up?