Manufacturers of timber products are facing an increase steel staple and nail prices, warns the Power Fastenings Association (PFA).

It says the price of raw material wire rod, levied by world steel producers, escalated by as much as 10% each quarter during 2000, bringing to an end a long period characterised by oversupply and stable prices.

Reasons for the rising prices include soaring scrap metal prices; a shortage of raw materials; closures of steel making plants, ASW in the UK being a prime example; demand outweighing supply; and consolidation of major mills.

&#8220Manufacturers of wood and timber products should prepare themselves as the unit cost of steel fasteners will inevitably increase. ”

Kevin Stephen, Power Fastenings Association chairman

Kevin Stephen, PFA chairman, said: “With the situation unlikely to change in the near future, the impact will be felt throughout all industries and manufacturers of wood and timber products should prepare themselves as the unit cost of steel fasteners will inevitably increase.”