Paper prices are finally increasing, but why?
At Crown Press, we strive to produce high-quality printing products at the best cost for our customers. Unfortunately, due to rising paper costs, we have had to raise prices lately. Here are a few reasons paper costs have been rising.
Over the past 20 years, the paper industry has undergone a dramatic change with the advent of digital media consumption. Now after 20 years those mills that survived are reshaping their industry. A booming specialty market and reduced capacity have balanced the paper marketplace. Now paper mills have the power to increase prices in 2019.
May 2018 Increases
Mactac – 4 to 7% Increase
Green Bay Packaging – 4 to 7% Increase
Avery Dennison – 7% Increase
Prices are rising because of three areas:
- Raw Pulp
- Lack of paper mills
- Release liner shortage
According to the US Bureau of Labor Statistics, the Producer Price Index for pulp, paper, and allied products has risen from 167.4 in February of 2017 to 212.4 in March of 2018. This increase of over 25% is not expected to slow down.
As the paper market tightens, Crown Press continues to look out for our customers by responsibly sourcing our paper products from vendors and paper mills that work with us to provide high-quality paper products and pricing that we can pass on to you our customer.