Price Increases in Label Industry
Why are label prices going up?
For the first time in twenty years, the label industry has been experiencing significant price increases, and rates are expected to rise again in 2019 starting in January. Why are rates going up? Well for one reason, the digital era has caught-up with paper producers. Digital receipts, statements, invoices, estimates, magazines, newspapers, books, etc., have caused paper sales to decline forcing some paper producers out of business. Less competition creates an opportunity for the remaining producers to increase rates.
Other factors contributing to the increase cost in paper goods are:
- China buying more pulp, reducing supply for other paper mfgs
- Reduction in paper mills
- Shift from (P&W, print & write) paper to PSA (pressure sensitive adhesive)
- Shortage of silicone & adhesives
(Read more about increases in paper here)
Contact us today to place an order before label prices increase in January 2019!