The cost of paperboard storage box raw material is up 28% this year!

Paperboard used to make our boxes and related itemsare seeing unprecedented price increases.

Below is a notice of price increase we received from one of our main suppliers:

Dear Valued Customer

We are continuing to see rapid, and unprecedented increases in the cost of chipboard. Within the last week we received notification of our 3rd price increase in chipboard this year. For reference, I cannot recall the last time that we had two increases in any one year, let alone 3.

This brings the total year to date cost increase to:

Plain Chipboard 28.2 %

White Chipboard 24.6 %

These increases were announced by the board mills in March, July (effective August), and last week.

And, while chipboard is the single largest increase, we are also seeing large jumps in the cost of paper, cartons, tapes and glues.

We are also seeing unprecedented production lead times. Boards ordered today are taking 6-8 weeks to deliver, more for thicker and colored chipboard. Therefore, if your needs are not routine and predictable, your order lead times will stretch.

These increases will flow thru to the pricing of orders in the next 2-4 weeks. We will limit increases as much as possible, and on a “product by product” basis.

The intent of this letter is to give you advance notice that increases are in the works.