 | Between August and December 2004 the price of isopropanol jumped by almost 100 per cent. Initially, Wolff Cellulosics absorbed this price increase, but from January 2005 it had to pass it on to its customers in the form of a surcharge, as no short-term return to the previous price level could be predicted.
The isopropanol surcharge was linked to the ICIS LOR index and adjusted monthly so that customers were guaranteed transparency at all times. The updated rate was published at Wolff Cellulosics' website accordingly.
Contrary to all forecasts, however, the market listings for isopropanol steadily dropped again in the course of the year 2005. This was also reflected in the falling isopropanol surcharge.
In the second half of 2005 the price of isopropanol is expected to remain relatively steady, although it will be above the average of the period prior to August 2004. Therefore, Dow Wolff Cellulosics is now discontinuing the surcharge and will, as per arrangement with its customers, integrate the higher costs in relation to 2004 into its prices for nitrocellulose damped with 30% isopropanol.
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