Postage and Paper Price Increases for Fall 2021
The further we advance into 2021, the more we are challenged by increasing prices in the postage and paper industries. Starting next week on Sunday, August 29, these postage and paper price increases will go into effect again. As most consumers will know, this is not the first time this year.
The most notable of these price increases is that of the postage stamp. This is increasing in cost by three cents, going up to an all-time high of 58 cents per stamp. The USPS claims this is due to reduced mail volume and thus lower revenue. While price changes are traditionally announced in October and implemented in January, the USPS chose to move these dates up to try and restore financial stability to the postal service at a quicker rate.
To summarize, see other new postage rates below, taken directly from Pitney Bowes’ website.
Postage Rates
| January 2021 | August 2021 | Change | |
|---|---|---|---|
| Letters 1 oz. | $0.55 | $0.58 | $0.03 |
| Metered Mail Letters 1 oz. (SendPro rate) | $0.51 | $0.53 | $0.02 |
| Letters Single-Piece Additional Ounce | $0.20 | $0.20 | $0.00 |
| Flats/Large Envelope 1 oz. | $1.00 | $1.16 | $0.16 |
| Flats/Large Envelope Additional Ounce | $0.20 | $0.20 | $0.00 |
| Single-Piece Cards | $0.36 | $0.40 | $0.04 |
| January 2021 | August 2021 | Change | |
|---|---|---|---|
| Certified Mail™ | $3.60 | $3.75 | $0.15 |
| Return Receipt - retail | $2.85 | $3.05 | $0.20 |
| Return Receipt - electronic | $1.75 | $1.85 | $0.10 |
| Media Mail® - 1 lb. Single-piece | $2.89 | $3.19 | $0.30 |
| Library Mail | $2.75 | $3.03 | $0.28 |
Another price increase we are seeing in our industry is printing and manufacturing costs. As a whole, supply is low while demand is at an all-time high. Bang Printing offers a decent summary of why prices for consumers are increasing, including the following:
- Lumber prices increasing over 400%
- Manufacturers pay up to 22% more for boxes
- Workforce shortages
Paper mill order books are completely full. Manufacturers have given paper purchasers such as Colortech limits on how much they can purchase. There is lower stock availability and less flexibility with paper purchases, and this is causing an onset of delays in the printing and manufacturing processes.
Colortech has received emails from paper suppliers confirming increases in costs starting Wednesday, September 1. Some private label products will increase by about 7% while others will vary. Because of the many varieties of specialty stocks we offer, please check with us about any significant price changes for your jobs. We will do our best to advise you of any of these major changes before proceeding with your print jobs.
If you would like to discuss your options on stocks, please do not hesitate to contact us at 717-273-8107, or email our estimator at estimating@colortechinc.com.