Countdown to Brexit – Who’s Ready?

As a supplier of retail gift packaging to many customers in a wide range of sectors we have been concerned about what the Brexit future holds for them – and in the wider ripples – for us too. For example one of our customers makes chocolate products and wondered whether he would still be able to import from Brazil in a cost effective way? Who knows! I was heartened recently to hear Willy Walsh, the CEO of International Airlines Group, say he wasn’t worried about Brexit because he couldn’t influence it. He’s right – however we still need to think about how we might best prepare ourselves for various eventualities. I was really glad therefore to receive this bulletin from the FSB which I found really informative.

https://bit.ly/2P4tiPs

Price Increases

David and I are very sorry to have to finally give in. Given current conditions in the industry we’ve had to increase our prices with immediate effect.

Over recent months our sector has been hit with multiple and significant price increases in our raw materials. We’ve had at least three price increases of between 7% & 8% each time. Furthermore, suppliers are planning to increase the cost of corrugated board even further. This is due to an acute shortage of paper and board, with paper mills struggling to keep pace with demand and the upsurge in online trading during the lock-down.

The situation has been widely reported on and does not seem set to improve significantly any time soon.

By planning ahead and making arrangements with our suppliers we have managed to mitigate the impact on availability and lead-times, and have pretty much traded as usual, with only slight delays in most cases.

Until now we have held our prices and tried to absorb the impact. Unfortunately, this cannot continue.

We thank you for your understanding and for your very valued business.

David and Bernadette