The Hindu Business Line : West Coast Paper: One more price hike

In line with the prevailing market mood on Wednesday, the West Coast Paper counter, a component of the BSE Small Cap Index, declined by over five per cent to close at Rs 426.50. But it did not see a sell-off as investors appeared to be unwilling to part with the stock in view of positives. On the BSE, only 3,909 shares changed hands.

Market sources said that from Wednesday, the company has given effect to yet another product price hike after one round of price escalation in July. This time round, the price hike is Rs 750 per tonne. In July, it had raised the price by Rs 1,000 per tonne.

Since April this year, the company has raised product prices three times, largely to match the rise in cost of production, which has gone up by around 2 per cent from March this year onwards.

A company official confirmed to Business Line that the price has indeed been jacked up from August 1. According to analysts, as the demand for paper products continues to outstrip supply, this price rise would help the company to ma intain the profit margin level.

Jayanta Mallick

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