The global availability of raw materials for printing inks continues to be a major concern. Following the economic downturn in 2008, many raw material suppliers reduced operating capacity and personnel. In some instances, suppliers permanently shut down plants to accommodate the economic downturn. Inventories were reduced dramatically over 2009.
In spite of continued efforts to minimize the effects these supply chain challenges have placed on the ink industry, Siegwerk is forced to announce a 5% to 7% price increase on all energy curable inks sold in the U.S. and Canada effective Sept. 1, 2010.
The prices of many types of raw materials have been increased – ranging from 10 to 40% for pigments, 10 to 150% for resins, 5 to 10% for additives and 15 to 30% for solvents. While Siegwerk has worked to mitigate the effects of such large price increases on its customer base by focusing on cost reductions and process improvements, Siegwerk is no longer able to withhold the effects from its customers.