Ribbon manufacturers finding volatile market for thermal transfer ribbons

Ribbon manufacturers are experiencing unprecedented market conditions for thermal transfer ribbons. Thin PET film, representing the largest percentage of the raw material costs, is in short supply and has been subject to multiple price increases implemented by all film producers during the past several months. This has been a result of a world-wide reduction in production capacity for 4.5 micron polyester. This capacity reduction stems from the consolidation of several key film suppliers as well as a recent shift from thin-film polyester production to other more profitable and higher growth market segments, such as solar panels and flat-screen TV’s.

In addition, other product components, including carnauba wax, resins, and solvents have also escalated in cost. As a result of these increases, we will implement a price increase applicable to all Adbarcode product formulations, to be effective on April 18, 2011.

With a strong Canadian dollar and tighter internal controls, we have managed to reduce the impact as much as possible to you and your customers. Although we do not anticipate any further price increases in the near future, factors such as currency rates and material costs may result in future price increases.

At Adbarcode Inc., we remain strongly committed to the ‘Thermal Transfer Ribbon’market and will continue to support our strategic partners with excellent products, competitive pricing, and industry leading customer service.

Adbarcode Inc. appreciates your business and continues to work towards opportunities to better serve our new and existing customers.

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