Bobst announces 2% price increase across all countries

Spare parts excluded from 2% price increase

67
Bobst announces 2% price increase across all countries
Bobst announces 2% price increase across all countries

Post-COVID, global economic GDP is expected to rebound by +5.1% in 2021. This growth drives high demand for raw materials across various industries. In addition, bottlenecks in the global supply chain remain as high as during the pandemic peak, say a Bobst release addressed to its customers.

“In these circumstances, raw materials for the packaging industry and some key materials required for the production and maintenance of equipment, including standard components across electronics, electrical bearings, and consumables, are in short supply generating longer lead times and price increases.

“The hot-rolled steel plate price hit record prices across all exchange markets, increasing by more than 120% over the last three quarters (2).

“So far, we have been able to maximize our production capabilities reflecting the orders we received. We managed our parts inventories to avoid shortages. The new stock replenishments are, however, for the foreseeable future, going to be made at much higher costs. 

“We need to ensure business continuity and consider these new and unexpected market fluctuations. As of 1 July 2021, a price increase of 2% on machines and related peripherals will be rolled out across all countries. Spare parts and services are excluded from this general increase.”

Bobst statement on shaping the future of packaging

“Given the current circumstances and the market volatility, when a crisis turns into such a recovery, we must toggle between managing for the present and the future. We are planning for the long term with new forecasting and planning methodologies, but at the same time, we need to cope with immediate global market constraints,” commented Jean-Pascal Bobst, CEO of Bobst Group.

“Our local sales representatives will ensure that all customers will be informed individually to provide transparency, as we are all impacted by this special situation.

“The global recovery is positive, and it requires adjustments for the packaging industry. We will continue to shape the future of packaging together.”

(1) www.eulerhermes.com

(2) Bobst procurement data

 

The Covid-19 pandemic led to the country-wide lockdown on 25 March 2020. It will be two years tomorrow as I write this. What have we learned in this time? Maybe the meaning of resilience since small companies like us have had to rely on our resources and the forbearance of our employees as we have struggled to produce our trade platforms.

The print and packaging industries have been fortunate, although the commercial printing industry is still to recover. We have learned more about the digital transformation that affects commercial printing and packaging. Ultimately digital will help print grow in a country where we are still far behind in our paper and print consumption and where digital is a leapfrog technology that will only increase the demand for print in the foreseeable future.

Web analytics show that we now have readership in North America and Europe amongst the 90 countries where our five platforms reach. Our traffic which more than doubled in 2020, has at times gone up by another 50% in 2021. And advertising which had fallen to pieces in 2020 and 2021, has started its return since January 2022.

As the economy approaches real growth with unevenness and shortages a given, we are looking forward to the PrintPack India exhibition in Greater Noida. We are again appointed to produce the Show Daily on all five days of the show from 26 to 30 May 2022.

It is the right time to support our high-impact reporting and authoritative and technical information with some of the best correspondents in the industry. Readers can power Packaging South Asia’s balanced industry journalism and help sustain us by subscribing.

– Naresh Khanna

Subscribe Now

LEAVE A REPLY

Please enter your comment!
Please enter your name here