Price Increases Due To Steel & Energy Costs
Price changes reflecting volatile steel and energy prices
Updated March 2022.
The price of steel had stabilised during late 2021/early ‘22, but with what’s happening in Ukraine, steel prices are once again on the increase. During the last month (as of 30/3/2022) steel prices have increased by 30-40%.
Many basic commodities are sourced from Russia, and the West’s sanctions against Russia are already affecting steel prices.
Our steel suppliers are only able to honour prices quoted for a period of 1 working day so please bear with us when requesting quotations for customised products and bulk orders.
Pallet Delivery Network has increased its Fuel Surcharge from 5% to 7%.
We are now hearing about diesel shortages, with one supplier increasing their delivery charges by 27%.
This, along with our own increase in electricity charges means that we will have to increase our prices.
We will do everything we can to keep these increases to a minimum – ensuring that we will continue to be the lowest priced manufacturer and retailer of stillages and heavy-duty handling products.
Melvyn & Paul Clarke
Several large increases in global steel prices during 2021 have been well documented. These price increases are continuing to affect UK manufacturers like us. The price of cut raw steel along with most components (such as welding wire and castor wheels) continue to increase by the month.
Trading for any business using steel is currently difficult, and MC&P is no different. Following some considerable increases and volatility in the price of steel over recent months, we have therefore made the decision to increase prices of a number of key products.
We are fully committed to offering our stillages, pallets and other products at the most competitive prices on the market, and we’re proud to have kept our prices low since we launched our website. However, in order to maintain quality and production, an increase at this time is necessary.
Why are steel prices rising?The UK’s market is now getting much busier, with increasing demand as businesses and sectors come out of trading restrictions and lockdowns, but steel supply is struggling to keep up at the moment.
Will product prices reduce again if steel prices fall?
The industry expects that steel prices will remain high for some time as the world’s economy recovers from the Covid pandemic.
We will continue to monitor our supply costs, and as prices settle down we aim to reduce the prices of products recently increased wherever we can.
Melvyn and the team.