Morgan Adhesives Company (MACtac), of Stow, OH, USA, has announced a general price increase ranging from 5 to 6 percent on shipments of its label materials, effective January 6. The announcement was made in a November 21 letter to customers from Tom Lynch, director of marketing for MACtac Printed Products.
“The rising costs of raw materials” is cited as the reason for the increase. “In 2005, we have been aggressively attacking our costs with productivity improvements, waste reduction programs and material substitutions without negatively impacting product performance,” Lynch wrote. “Because of these and other efforts we have been able to postpone increasing prices despite dramatic changes in raw material costs. However, raw material cost increases, particularly in petroleum based components like films, adhesives and other chemicals, have surpassed our aggressive initiatives to contain costs. Our suppliers have continued to pass on price increases to us with very little notice.”
Lynch noted in the letter that MACtac’s “entire organization is actively working on projects to offset the impact of these continual cost increases.”