Tube and core solutions provider Sonoco-Alcore has decided to increase prices of paper-based tubes and cores by 8.0%.
The increment, which is subject to product category, will be effective in Europe starting on 15 May.
SonocoEurope Tubes and Cores Sales and Marketing director Karsten Kemmerling said: “The increase follows a rapid escalation in core board cost across Europe.
“This has been driven by weaker economic conditions severely affecting the supply and subsequent cost of OCC. Securing supply of recovered wastepaper has proved challenging for coreboard mills.
“To date, we have absorbed these costs, as our primary goal is always to maintain supplies to our customers when we are needed.
“As this current trend seems set, certainly for the medium term, we now have little choice but to act so we can maintain the strong supply chain our customers value from Sonoco.”
In a separate development, Sonoco-Alcore decided to introduce a price surcharge of €50 per tonne on all recycled paperboard grades sold in Central European regions.
The surcharge will be levied with shipments on or after the 15 May.
Sonoco Alcore Europe paper director Phil Woolley said: “The increase is in direct response to the rapidly escalating cost and limited availability of wastepaper currently seen across Europe due to the current economic weakness. The surcharge mechanism will be used to recover these unprecedented spikes in cost and will be adjusted as the situation evolves.”
Sonoco Alcore, which is a wholly owned subsidiary of consumer packaging company Sonoco. It operates 29 tubes and cores plants and five paperboard mills in Europe.