GHP Newsletter | September 2022
James Cropper announces price increases
Last month we reported new paper price increases of up to 12%.
We have now received notice of a further 15-20% price increase from one of our longest-serving suppliers, James Cropper. This increase is effective from 03 October 2022, giving us just 5 working days’ notice, and will apply to all our on-order goods.
Earlier this month the UK-based manufacturer also increased its ongoing energy surcharge to £485 per tonne, which translates to an additional 17% average price increase per order.
These are substantial increases which will immediately impact our business and require a significant amount of work to implement.
We, therefore, ask for your patience whilst we review all affected products and hope you appreciate that it is absolutely essential to pass these increases on to guarantee the health of our business and the market.
Liverpool and Felixstowe strikes
Workers at The Port of Liverpool are in the midst of a two-week strike, following a dispute over pay. The strike has brought the port’s operations to a standstill and is planned to last until 03 October 2022.
Staff at the Port of Felixstowe will also hold a strike from 27 September 2022 to 05 October 2022, after no agreement was reached following last months’ strike.
Some of our key suppliers move goods through Liverpool and Felixstowe, and we have already been notified of some delays in the coming weeks.
We will keep you updated as and when we hear from the supply chain; however, please be aware that our usual delivery times may be extended.
Arjowiggins subsidiaries enter administration
Our CHARTA\\ tracing paper supplier, Arjowiggins Group UK, has entered administration, with news articles reporting that the Group has been overwhelmed by skyrocketing energy and raw materials costs.
The historic manufacturer owns two UK paper mills: Stoneywood in Aberdeen and Chartham in Kent, and has sadly made 368 staff redundant.
We are monitoring the situation closely and exploring alternative tracing paper suppliers.
FAQs about price validity in today's market
Some of the most common questions we have received in recent weeks are regarding price validity. To help clarify some of these queries, we have conducted the following brief FAQ.
How long are my prices valid for?
Unless clearly stated or agreed upon, all our prices are subject to increase at any time.
Can you commit to any prices for 2023 ?
Unfortunately not. We understand many of our customers produce annual catalogues; however, any prices submitted now for 2023 would be inaccurate given the unpredictability of the market.
Why can’t you hold my prices?
The price increases we incur from our suppliers are applicable to all goods delivered and invoiced. Many of these increases are communicated to us with little or no notice, which immediately impacts our on-order goods and sales margins.
When will you inform me of new price increases?
Our monthly newsletter will communicate all major price increases and include any catalogue updates. If you source non-catalogue or bespoke products from us we will contact you directly or confirm prices upon receipt of order.
Please note that if your goods are made-to-order, the final delivered price may vary if we subsequently incur any major price increases. If this happens we will contact you directly.
