Siegwerk will increase prices for all packaging inks and varnishes in the EMEA region, effective starting February 1, 2019.
The company noted how costs for raw material categories, such as photoinitiators, UV monomers, acrylic resins, pigments, isocyanates and specialty additives have continued to rise throughout the year, with further increases experienced in the last quarter of 2018. In addition colored pigments and photoinitiators are expected to remain highly affected by drastic supply disruptions amid stricter environmental regulations in key supply markets. In addition, the entire European supply chain remains exposed to substantially increasing energy costs and freight rates soaring on rising tolls, inflated fuel surcharges and infrastructure bottlenecks.
Siegwerk said it has already worked closely with the overall supply chain to leverage its buying power and minimize costs whenever possible.
However, despite the company’s best efforts to reduce costs, there is a clear indication that prices will both start and remain at noticeably higher levels through 2019.
Dr Jan Breitkopf, president, packaging, EMEA at Siegwerk, commented, "In order to ensure that customers benefit from continued high levels of quality, service and consistency, Siegwerk now needs to pass on these higher costs."
Specific increases and segments affected will be communicated individually to customers in the coming weeks.