Catalogue printers hit with paper rises

Prices for catalogue papers are set to rise as Norkse Skog Australasia plans to raise its prices, effective July 1, days after Sappi announced its plans to raise its paper prices. Paper manufacturer Norske Skog blames the cost of raw materials and the weakening dollar for its decision to increase its Vantage LWC range of products by $30 as tonne.

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David Quinn, spokesperson for Norke Skog, says “The main driver for a price increase is based on the increasing costs of imported raw materials used in the production of LWC. “The increased prices will also better align Australian prices with LWC prices in other global markets.” The manufacturer has already increased its paper prices by 3-5 per cent in January 2015, less than a year after launching its locally produced Vantage brand. Sappi will raise its prices by eight per cent on its woodfree coated sheets, which the European company imports to Australian merchants including KW Doggett and Direct Paper Suppliers. The manufacturer will also increase prices by eight per cent for its coated and coated mechanical reels to its European customers from July 1, citing rising costs and falling margins, which it says has made the business ‘unsustainable’ at current prices. John Walker, Sappi Australia managing director, says: “The decision to implement a price increase outside of Europe will be assessed market by market during the second half of the calendar year 2015.” According to recent data by Roy Morgan, more than 10 million Australians read one or more catalogues in an average week in the year to September 2014. And 5.8 million readers purchase a product as a result of seeing it in a catalogue.

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