Norske Skog will raise prices on its catalogue paper for the second time in six months as raw material costs skyrocket.

The paper manufacturer will hike prices on its Vantage range of lightweight coated paper, produced from its new Boyer mill in Tasmania, by three per cent from July 1.

Spokesman David Quinn says prices of imported specialist chemicals, clay, latex, and kraft pulp have jumped 30 per cent in the past year.

“The main driver for a price increase is based on the increasing costs of imported US dollar-denominated raw materials used in the production of LWC,” he says.

“The increased prices will also better align Australian prices with LWC prices in other global markets.”

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Quinn says newsprint price changes are yet to be announced but the trend suggests an upward movement in price, with LWC prices announced earlier due to the longer order and delivery cycle.

The manufacturer, which sells to merchants and direct to big Australian printers and both Fairfax and News Corp, increased prices on all its paper by 3-5 per cent January 1, along with the rest of Australia’s major paper suppliers.

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