Following the continued sharp rise in the cost of raw materials and surcharges levied by suppliers, XSYS is forced to increase the prices for its nyloprint® letterpress plates.The company has sent a formal notice to customers informing them that effective on 1 January 2023, an increase of between 8% and 16% will be applied on the base prices of nyloprint® products.
While XSYS has been able to offset a proportion of the recent and ongoing increases in costs against various efficiency measures and optimization of processes, it has now become necessary to share some of the financial burden. This decision will support the ongoing growth of the market and secure the reliable supply of nyloprint® letterpress printing plates.
“XSYS is committed to delivering best-in-class products to all customers despite the unprecedented cost pressures and the challenging supply chain situation,” said Global Commercial VP at XSYS, Friedrich von Rechteren. “However, when securing contract terms for 2023, we have again seen significant base price increases from our suppliers, which are especially impacting the XSYS nyloprint® portfolio. Raw materials used in the production of this particular range have a higher proportion of specially sourced components, and with only very limited alternative suppliers, we’ve had no other choice than to accept these costs, along with extended and increased surcharges.”
In addition to the above-mentioned price increases, it has proven to be a continuous challenge to secure the transportation of these special materials with delays negatively affecting production schedules and lead times. Furthermore, the cost of energy across the board remains at a consistently inflated level impacting not only transport, but also storage and other warehousing activities.
Mr. von Rechteren concluded, “This is an incredibly difficult time for the industry, as suppliers and converters alike struggle to source materials and deliver their products, which of course affects the entire value chain. Unfortunately, we’ve had to take this course of action, but it really is a last resort and I want to reassure our customers that we will do our utmost to lessen the impact through close cooperation and support.”