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German company Saertex to increase price due to raw material shortage

25
Mar '21
Pic: SAERTEX
Pic: SAERTEX
Saertex, a manufacturer of technical textiles, is going for price increase due to a greatly changed, tense supply situation in the commodity markets. A variety of external factors, intensified by the indirect effects of the pandemic, and a significant increase in demand have led to this scenario. The increase in prices will be between 10 and 20 per cent.

Price increase will help the company maintain stability in delivery performance in the long run. During the difficult Corona pandemic period, Saertex had succeeded in meeting the high demand for products without interruption and with a high level of performance.

The manufacturer of technical textiles is now experiencing a greatly changed, tense supply situation in the commodity markets. This is due to a variety of external factors, intensified by the indirect effects of the pandemic. It is accompanied by a significant increase in product demand.

“We see a drastic shortage of raw materials like glass fibres, cost increases for all process and operating materials. And there is also a massive rise in freight costs,” said Sebastian Dohnke, global head of purchasing at Saertex.

Saertex will therefore adjust its prices to this dynamic development in the coming weeks. Depending on the product range, the increase will be 10-20 per cent. While existing contracts are generally respected, a review cannot be ruled out in view of the extraordinary current developments.

Through a global production network on five continents and long-term partnerships with suppliers, Saertex has a proven, stable supply chain. The company has a confident outlook on the challenges ahead.

“We will keep our customers informed with absolute clarity about the dynamic developments in the commodity markets” said Christoph Geyer, CEO of the Saertex group, “and we are confident to manage these extraordinary times together with our partners.”

Fibre2Fashion News Desk (SV)

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