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(03/04/2013 / sha)
Metsä Board: Call for a return to solid pricing policies
Despite price adjustments over the previous year, attempts to preserve sustainability in the face of spiralling costs and price erosion are proving increasingly difficult for papermakers. Profit margins in the paper production industry are at unsustainably low levels. As Metsä Board explains; whilst prices for pulp, the most important raw material used in the production of paper, are on the up, paper prices are still feeling the effects of the markedly low levels achieved over the past few years.
In the light of continued increases in costs for raw materials and energy, brand-name manufacturers such as Metsä Board, see no alternative but to look to improve price levels in order to preserve product sustainability and customer service quality, with a return to solid pricing policies.
As Mattias Kronberg, VP Sales & Marketing at Metsä Board Paper & Pulp warns; “Everyone wants high quality, environmentally sustainable, aesthetically attractive and innovative products, but there is a price tag for that. Right now that price is not being met. We need to get back to a situation where a viable margin balance is restored with a return to solid pricing policies.”
