Graphic Packaging Holding Co. said Tuesday it will increase prices on unbleached paperboard used in food packaging, in a move to pass higher energy costs down to customers.

Graphic said its Pearl-Kote, Omni-Kote and Aqua-Kote branded paperboard will cost $40 more per ton, starting Aug. 1.

"Given the rapidly rising price of crude oil and resulting higher costs for key manufacturing inputs like fiber, energy and chemicals, we are responding quickly to offset the imbalance," the company said in a statement.

The company said it will also implement new freight allowances, a change from the business' history of bearing the full cost of shipping to customers. It did not detail the amount of the freight allowances.