The German papermaker will increase prices for all deliveries from 1 January. The amount of the price increase will be individually discussed depending on the individual product, the respective market and the customer, the company said.

“Prices for chemicals, energy and pulp have seemingly stabilised, but remain at an historical all-time high,” said Zanders sales director John Tucker.

“The cost explosion that has happened over the past one-and-a-half years was not fully covered by previous price increases, and the buying market is still in a very tight situation for certain critical ingredients.

“As we near the conclusion of the investor process, the price increase is also part of the strategic considerations for 2019 to ensure a sustainable future for the company.”

Zanders said its sales team will be in contact with customers to provide them with details about the new pricing.

Zanders began insolvency proceedings over the summer. Earlier this month insolvency administrator Marc d’Avoine said the ongoing process with potential buyers had entered a “decisive phase” and that the sale of the business is expected to be finalised in November.

In recent months the business has invested around €7m (£6.23m) in converting its on-site power plant from hard coal to natural gas and launched new products Zanbarrier NGR, a natural barrier paper, and Zangrass, a new uncoated paper made from grass.

Zanders was founded by Johann Wilhelm Zanders in Bergisch Gladbach, near Cologne, in 1829. The business still operates the Gohrsmu¨hle paper mill there today and its two paper machines have an annual production capacity of 325,000 tonnes.

Until the end of the 1980s the company exclusively supplied special papers but, since 2012, it has also offered graphic mass papers. Its UK merchants are Antalis and Fenner Paper while it also sells some of its products direct.