January 6, 2022 By PrintAction Staff
Miraclon has announced a price increase of six per cent on all products, effective February 7, 2022, and the introduction of temporary freight surcharges. Placing the highest priority on maintaining uninterrupted supply of flexographic plate material to customers, and faced with the rapid inflation of raw material, energy, labour and distribution costs impacting the entire package printing value chain, Miraclon is taking the necessary actions to pass the increased costs along in a manner that is as fair and equitable as possible to customers.
Chris Payne, Miraclon CEO, comments, “Securing supply for our customers is our overriding priority. After weighing a combination of factors, we are taking two separate actions because there are two different market forces at work. First, we’re raising the price of all our products to address the higher costs for raw materials, labour, utilities, and business services we are now paying. Second, we’re implementing temporary surcharges in response to the current higher costs as a result of the significantly extended supply chain and raised prices for distribution and freight services. We believe that increased costs are a temporary situation that will moderate, and as soon as we are able to, we will reduce, or remove, the surcharges. We are confident this strategy is in the best interests of our customers, the supply chain and Miraclon.”
Miraclon’s actions mirror those being taken throughout the packaging industry. Securing supply is the overriding priority throughout the package printing value chain, and so trade shops, converters, brands, retailers, and even consumers are prioritizing security of supply over price. This means paying the prices for goods and services that the market demands. Ensuring all players in the value chain get a fair return is the only way to guarantee a healthy and resilient supply chain.
Payne concludes, “Miraclon has been absorbing the standard inflation and costs since the introduction of the Flexcel NX System. Throughout this pandemic period, despite our costs rising continuously, we have taken all measures within our control to absorb price rises without passing them on to our customers. Unfortunately, this is no longer possible. We have taken this decision with great reluctance and careful thought about how best to implement the increase in a balanced and proportionate manner. Because transparency is important to us, and we want our customers to understand the economic and commercial background to the increase, and the factors that we considered, we’ve created an online resource page to provide more information and help them navigate the current industry challenges.”
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