Paints will become more expensive by 15% to 20%: manufacturers

The Mexican paint industry estimates that these products will become between 15 and 20 percent more expensive due to the increase in international oil prices. This adds to the impact caused by the importation of aerosols manufactured in Asian countries.

Marcelo Herrera Díaz, president of the National Association of Paint and Ink Manufacturers (Anafapyt), commented at a conference that petroleum products, particularly solvents, have an immediate reaction to the war conflict in the Middle East. “All the materials used outside the packaging are chemicals,” he said.

He added that the increase in the price of oil, which this month has exceeded $100 per barrel, is being transferred to products such as resins and other crude oil derivatives.

However, he stressed that solvents are the first to become more expensive. “In other raw materials the impact time may vary a little, but in solvents it is immediate,” he said.

“At the end of the day, all of this has to be passed on; we are talking about increases of 15, 18, 20 percent, which does not give (companies) the opportunity to absorb it. Each one will make their decision, they will know what percentage and at what moment it will impact the market,” he indicated.

According to Anafapyt, the value of this industry amounts to 102,800 million pesos annually, it generates 17,000 jobs and has 228 economic units. Mexico consumes 1,300 million liters of paint per year and 117,821 tons of inks. Additionally, this sector contributes 14.7 percent of the GDP of the chemical industry in Mexico. It is estimated that the per capita consumption of paint in the country is 1.98 kilograms.

Flor de María González Mariblanca, director of the industrial organization, commented that the entry of Asian aerosols continues to be a problem of unequal competition, since these products are sold in the market for 40 or 45 pesos, while one manufactured in the country costs 90 pesos, and they are entering the country without paying taxes, under the protection of tariff item 3208.90.99.