WEXHAM SPRINGS, UK – 30 June 2010 − Sun Chemical Europe has announced a 5–8% price increase for its Liquid Ink Packaging products effective 1 August 2010. Ongoing raw material supply shortages are continuing to have a serious effect on printing ink production and this has now extended to liquid inks.
With key raw materials such as Titanium Dioxide and Acrylic Acid now on restricted supply, the printing ink industry is under enormous strain and pricing pressure. In addition to these raw material shortages, the industry is also faced with destocking within the chemical industry.
Felipe Mellado, Chief Marketing Officer for Sun Chemical, commented: “the declining Euro against other major currencies is having a significant impact on raw material prices. With several materials now also available on allocation only, these challenges have necessitated a price increase for our packaging products.”
In spite of recent price changes, oil is not the main driver of current pricing pressure. A shortage of materials such as nitro cellulose, titanium dioxide and isocyanates, which is a key cost contributor for polyurethane resins, is driving the pricing pressure. Unexpected plant closures at raw material manufacturers are also having a significant impact on supply.
Mr Mellado added: “Sun Chemical is working very hard to offset the effect of these significant raw materials shortages and cost increases, but we are now in a position where price changes have to be implemented in order for Sun Chemical to maintain supply and its commitment towards world-class service, quality and innovation.”