GHP Newsletter | October 2021
Following a significant price increase, Grosvenor House Papers will be implementing an increase of approximately 10.5% across its Exercise Books, Papers & Pads ranges, effective 01 November 2021.
We have already experienced 3 major price increases this year in March, June and September, and further increase notices have also been received for November 2021 and Q1 2022 of up to 15%.
Furthermore, we would like to bring to your attention the ongoing and developing market challenges which have driven these price increases.
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Rising Gas Prices
European gas prices have tripled this year and continue to rise. This has been caused by a number of factors which have contributed to low gas reserves and production levels throughout 2021.
As energy is a crucial component in the papermaking industry—for many of our suppliers it is the second biggest cost of production after pulp fibre—we are now incurring substantial order surcharges and price increases as a direct result.
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Supply Chain Disruptions
As the market recovers from COVID-19 and adapts to new Brexit regulations, delivery has become extremely stretched, limited and in some cases unavailable.
The situation has been further compounded by ongoing driver shortages and inflated shipping costs, which has resulted in extended supplier lead times and raised question marks over product availability.
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Price Volatility
In addition to price increases, the volatility of the market has also contributed to shorter price validity periods, as manufacturers are unable to accurately forecast the rising costs of production and delivery. Due to this, we expect to receive further price increase notifications before the end of the year.
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Although these challenges are not welcome news, we appreciate the strain our suppliers are under as they recover from COVID-19, adapt to new Brexit processes, and react to other market challenges that are beyond their control.
Grosvenor House Papers is committed to ensuring schools are fully-stocked all-year-round, and has robust contingencies in place to ensure this, including a 40,000 square foot stockholding capacity, its own transport division and excellent relationships with reputable supply chain partners.
If you would like to guarantee availability and delivery at your current prices, we encourage you to place any forthcoming orders at your earliest convenience by emailing info@ghpkendal.co.uk or calling 01539 726 161.
From all at Grosvenor House Papers, we would like to take this opportunity to thank you for your continued business and support. |
