Thermal Paper Update

Alliance Paper Logo

Thermal Paper Update – 15 November 2017

As Australia’s leading paper converter, Alliance Paper would like to share with you information regarding the circumstances that surround the current global restraints on supply and demand in the thermal paper market.

In short, there has been disruption to the thermal paper supply chain as a result of the temporary closure of Asian-based dye suppliers to the paper mills. We are advised that this is due to some local environmental issues.  The focus on sustainability has resulted in some paper mills being unable to obtain consistent supply of a core ingredient required in the paper-making process. These events have taken some 40% of the world’s thermal paper supply out of the global market - leaving converters worldwide with paper demand increases and the flow-on of supply shortages.

Alliance Paper benefits from established sourcing options across a mix of global supply groups and in an effort to cover your existing demand, we have investigated securing additional paper from all of our suppliers. However, the reality of the pressure across the total market is such that supply is restricted and may be for some time to come.

Our management team have recently returned from overseas and have been fortunate to secure some additional paper supply through alternate global supply networks. Along with increased demand come increases in paper prices and these have started to flow through at unprecedented levels.  We will keep you informed of these price changes as information becomes available.

We are monitoring the situation on a daily basis and are managing this event in order to maintain supply for you the best way we can under the current circumstances. Just how long this will continue to be a concern is not yet clear, however we believe that the supply chain should see some relief in early 2018.

Alliance Paper will keep you informed with further updates as they come to hand. You can always go to our new website at www.alliancepaper.com.au and click on the News and Information tab for latest update.

We would like to thank you for your valued business and your understanding at this time and look forward to your continued support.

Management Team

Alliance Paper

 

Click on the below link for a PDF copy of this update;

171115 Thermal Paper Update