“The global raw material market continues to suffer from an imbalance in supply and demand,” explained Doug Labertew, vice president, sheetfed. “This is continuing to drive up costs of key raw materials and oils used to manufacture and deliver inks and pressroom chemicals.”
In 2011, raw material costs were greater than their peak in 2008. This upward trend has continued in
2012, with crude’s rising and volatile cost a key factor.
“The cumulative effect of all this cost pressure,” noted Michael Kellen, business director, pressroom chemicals, “has had a tremendous impact. In addition to the increases on the feedstocks used to make pressroom consumables, the pressure is adversely affecting costs on product containers, utilities and freight.”