WINSOR & NEWTON CANVAS PRICE INCREASE
Dear Valued Partner,
We recently shared with you the significant cost challenges we face as an industry ranging from raw materials to transportation and the need to implement a cost price increase effective from July 1st based on the costs as we knew them at that time.
Since this communication we have seen a far greater and most unprecedented level of increases in container costs and other maritime related shipping costs. We are also seeing that through global supply pressures resulting from Covid, key port closures and the Suez blockage that there is now an increasing lack of availability of space in relation to containers. Consequently, it is becoming increasingly difficult to secure space which in turn is increasing the costs associated with maritime transportation and then by consequence all other transportation methods.
These costs have been and continue to increase at such a rate that this is materially impacting our Canvas supply. We are making all efforts to secure container bookings in order to be able to continue supply however whilst we continue to absorb many of the cost increases that we are seeing, the current situation is now unsustainable and in order to continue supply we will need to be implementing a further price increase circa 23% on our Canvas products across the market effective August 1st 2021.
We will continue to monitor the situation and review this on a quarterly basis. During this period it is even more critical that we have a clear view of forward forecasts so we can ensure that the containers we manage to secure are carrying the canvas lines that are in greatest demand and would request that you liaise closely with your Colart Account Manager in providing these forecasts so that collectively we can provide the best service and continued supply to you that we can during this period.
Thank you for your continued support.
Best regards,
Anthony Taylor
UK General Manager