As Paper Supply Falls, Prices Rise.

The article reports on the increase in paper prices in the U.S. in January 2006. Paper prices rose an average of about 5% in January, and another 5% increase is set for April. While paper demand has risen slightly, the most important reason for the ability of paper companies to increase prices has to do with a sharp drop in supply. Several printers expressed concern that if paper and production costs in general became too high, smaller publishers will decide not to publish marginal books.