Newsprint manufacturer Abitibi-Consolidated has informed publishers it plans to raise its newsprint prices by 34 ($50) per metric ton on 1 March 2001.


The 8% rise will lift the price per ton from 422 to 456.
We feel its in the long-term interests of our shareholders, said Abitibis manager of public affairs, Denis Le Clerc.


The rise had been expected because of the strength of the newsprint market, the limitations in newsprint production and the growth in demand.


Over the past year, newsprint producers have been able to raise their prices from around 332 per metric ton to 422, a 25% increase.


A spokesman for Bowater would not be drawn on whether it planned to follow suit and impose a similar increase.


Two meetings have been held between Abitibi-Consolidated and representatives of Quebecor to try and resolve the problems between the parties (PrintWeek, 10 November).


Following the resignation of Michel Desbiens, Quebecor an 11% shareholder in Abitibi claimed a change of corporate culture was needed.


Representatives of Quebecor and the Special Committee of Abitibis board have had open and frank discussions to try and resolve the disagreements.


Quebecor said it hopedto reach an agreement quickly in the interests of all shareholders.


Story by Andy Scott