Since the middle of 2010 raw material and energy costs have grown considerably—with some materials witnessing growth rates of up to 100 percent. Despite Flint Group continuously pushing productivity and cost savings initiatives, the raw material cost increases placed on the market have not been able to be absorbed and will have to be passed on. Subsequently Flint Group Flexographic Products is forced to increase prices for nyloflex and nyloprint printing plates in 2012.
"While the exaggerated cost situation is projected to stabilise at a high level for single raw material components, costs for key material to manufacture printing plates will continue to increase further while energy costs are forecasted to grow significantly in the near future," said Thomas Zwez, Vice President Operations, Flint Group Flexographic Products. "This situation is compounded further with the fact that the markets are still driven by capacity shortages, which stems back to the economic crisis in 2008, and by an increased global demand, in particular from emerging countries, which have escalated the competition for limited resources."
"We have now begun the process of contacting customers directly to inform them about the respective price increases and will continue to work with them to minimise the impact on their business and find the best solution in order to meet their needs," said Eberhard Huter, Vice President Sales, Flint Group Flexographic Products.