Publication prices up due to escalating paper, printing costs
The rising price of printing and printing paper earlier this year has precipitated a pricing domino effect for domestic publications.
A 26 percent increase in world printing paper price since October last year has correspondingly pushed up domestic prices as local paper companies have had to purchase from foreign markets.
“We have never seen such difficulties,” said Quach Thu Nguyet, director of the Youth Publishing House in Ho Chi Minh City.
“The payments for paper and printing make up nearly 30 percent of costs for a book. We have to carefully consider expected sales volumes to fix reasonable prices and avoid losses.”
Several newspapers had to raise their publication prices to cope with the hike in printing and paper prices, which make up nearly 70 percent of the cost of a newspaper.
The price of printing paper for newspapers has increased to VND17 million (US$1,000) per ton from VND12 million ($710) per ton since earlier this year.
Consequently, Thanh Nien newspaper has this month increased its retail price to VND2,700 from VND1,300 in March.
Last year, Tuoi Tre newspaper paid VND107 billion ($6.3 million) for paper and printing and the figure this year is estimated to be VND160 billion ($9.5 million).
Phap Luat newspaper in HCMC also said it had to pay in advance to buy 80 tons of printing paper monthly for its publication this year.
The rise in price of other printing materials has also contributed to higher retail pricing for publications.
“The prices for ink, zincograph, oil and other printing materials have increased up to 10 percent recently,” said Ho Van Nam, chief of the material department at the Military No.1 Printing House.
Nguyen Xuan Tong, Director of Duong Sat Printing House said the company will not provide worker benefits this year due to the increased costs of materials.
Moreover, the firm has even had to slash the salaries of workers to mitigate losses.
According to the latest announcement from Tan Mai Paper Company, the current price of newspaper’s printing paper is VND14.38 million ($853) per ton, but orders must be placed one month in advance to ensure sufficient supplies.
The company also said from July 15 it would hike the price an additional VND1 million ($59) per ton.
“Most of the materials to make paper have increased from 20 – 50 percent since last year,” said the company’s Vice Director Phan Minh Nghia.
General Secretary of the Vietnam Paper Association Vu Ngoc Bao said paper companies have to import 30 percent of materials from other countries.
“The domestic paper price has increased, but it’s still VND1 million cheaper per ton than the world’s price,” he added.
Bao however assured that there wouldn’t be a paper shortage this year.
“Domestic paper-making productivity has increased 18 percent and importing supplies from abroad is not difficult,” he said.
Earlier, Deputy Minister of Industry and Trade Bui Xuan Khu had instructed the General Paper Company and other paper companies to ensure enough paper supplies for newspapers and publications for the new school year.
Thanhnien
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