Monday 02 march 2009

Increase in the raw cost of materials has lead to a shortage and increases in prices for commercial cleaning paper products.

Is the era of relatively cheap commercial paper products coming to an end?

Huge increases in the cost of raw materials and transport and energy costs are driving up the prices of commercial cleaning paper products.

In the UK we consume over 1 million tonnes of paper products but produce 300'000 tonnes less, this shortfall combined with huge demands from growing economies such as China and India have led to increase demands and less supply which is driving prices up.

Further a number of mills have chosen simply not to supply the UK any more due to currency and distribution reasons, all leading to a massive raw material shortage.

Energy costs are also affecting prices and supply, the increases in oil prices make freighting and transporting much more expensive than they previously were, leading to a number of Asian mills to stop shipping long distances as it's no longer cost effective.

Chemical prices have also been affected due to the rise in oil, affecting paper products and cleaning chemicals.

Arguably commercial cleaning paper product prices have been held down at an unrealistic level due to the buying power of large UK companies.

It seems the power has shifted with demand outstripping supply due emerging economies also requiring these products, combine this with hikes in transport and energy costs and and this is leading to price increases.

ICS Cleaning are an eco friendly office cleaning company in the UK; we invest a great deal in selecting the right staff, ensuring they have excellent ongoing training and support, so we can be sure we deliver excellent cleaning standards day in day out.

Find out more by getting an online quote now!

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