World-leading refractory producer, Vesuvius, increased prices by at least 5% as of January 2005. G Cozzani, CEO of the Group said: "For months now, we have been facing continuous price increases in raw materials. As an example, the cost of bauxite refractory has doubled in the past few months, and that of graphite by more than 50%. The beginning of 2004 saw the setting up of a chinese magnesia cartel, and as a result, the cost of magnesia has risen by nearly 100%. More recently, raw materials of Western origin, such as alumina and zirconia products have more than doubled in price. In addition, we have been facing price moves in oil, energy and transportation. We can no longer bear these increases without passing on to our customers the part we cannot compensate with improved manufacturing efficiencies."
