13 October 2022
Due to ongoing cost pressures, Bira Direct supplier HG Hagesan has announced an unavoidable price increase on their unblocker products from 1st November 2022.
In a letter to their business partners and customers, they have said:
Surcharge unblocker portfolio (containing caustic soda)
Dear Customer,
As you will know, the world faces significant changes in the raw material market, causing unprecedented shortages and price increases. HG is confronted with this phenomenon as well, in particular with respect to ‘caustic soda’, one of the key components of the majority of our unblocker portfolio. Due to accelerating shortages of raw materials and components, the availability of caustic soda is very low and prices have increased massively.
As a result, HG is forced to limit the production of unblocker products and may have to limit the available quantities per customer accordingly.
The extraordinary situation of shortages of caustic soda comes along with massive price increases, not foreseen in previous projections. Despite all efforts to balance and mitigate the effect, we are forced to partially pass on the price development. As of 1 November 2022, a surcharge will be applicable on the following unblocker products:
Although this surcharge is applicable for an unlimited period of time, please be assured that the surcharge will be withdrawn or lowered as the situation eases. This will be reviewed on a quarterly basis.
Please note, that payment of the surcharge will be a condition for the continued supply of these products by HG. We highly appreciate your understanding for the exceptional actions taken.
Many thanks in advance for your cooperation and support.
Best regards,
Rob Uytdewillegen – CEO HG International
For more information, visit HG Hagesan supplier's page.
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