Unprecedented rise in paper price hurts stakeholders

Watch out, the papers are getting costly. From the usual official purpose papers (Copier) to the paper meant for packaging (Kraft), 8 types of papers have witnessed an alarming increase in their cost. The Paper and Allied Merchants Association, Coimbatore issued a press release on Thursday, and conveyed that the prices of papers are increased quite often, and this causes severe hardship to contractors who buy and sell paper on fixed rates.

C. Balasubramanian, President of the association also shared several reasons for the hike in price of paper. He said that the manufacturers/paper mills have said that the price of raw materials and chemicals used in paper manufacturing have gone very high, and the overhead costs have also shot up much, resulting in these hikes.

Balasubramanian said that in the past, papers’ price would increase one or two rupees per kg, and one thousand rupees per ton.But now it has increased to Rs. 8 to Rs. 11 per kg. That is Rs. 8000 – Rs. 11,000 per ton. He said this kind of increase is abnormal and unprecedented.

He also said that while there is demand for paper now, there is not enough materials to supply. He requested the paper manufacturers to announce about the increase well in advance so that the Contractors could convey the matter to their consumers.

“If the trend continues, the paper industry in the country will face severe consequences and lot of problems. It may also lead to unemployment and thousands of workers will lose jobs…”  On behalf of the Association, he appealed to the Central Government to control the price of papers to the minimum level.