Price increases and supply chain disruptions cripple corrugated box industry
Corrugated boxes (also known as carton boxes) are a key packaging material for pharma, FMCG, food products, automobiles, electrical appliances and the like. Kraft paper is the main raw material for the industry and its prices have shot up almost 90-100% since 2020 and almost 25% in the last couple of months alone.
In order to tackle the challenges, the industry said that there is no way out except to increase the costs. Vikash Goyal, a box manufacturer said that the cost impact is to the extent of 35% in the last one month and that paper costs have almost doubled since the pandemic
The corrugated box industry is reeling under pressure owing to the sharp increase in costs of commodities as well as raw material supply disruptions. The severe shortage coupled with an unprecedented price rise has pushed manufacturers to the brink of closure, industry sources told ET.
Corrugated boxes (also known as carton boxes) are a key packaging