For the leading global printing ink manufacturers, 2011 was another challenging year. While many of the largest ink companies reported increases in sales during the past year, margins generally suffered as higher raw material costs were not offset by price increases to customers and/or cost reductions by ink companies.
Shrinking margins are a huge concern for the ink industry. The printing industry is facing its own challenges, particularly in the publication and commercial sectors, but ink manufacturers simply need to be able to make money. It seems likely that higher raw material costs are here to stay, and ink industry executives have to find a way to justify their own price increases.
Despite this concern, there was some good news for the ink industry. Digital, packaging and UV printing ink manufacturers fared well during 2011. Companies doing business in the Asia-Pacific and South America generally reported growth in those regions.
Leading ink industry executives say they are watching both the raw material market and their own costs closely, and are working on keeping their customers informed on the present situation. Time will tell if ink manufacturers will be able to get these much-needed price increases through.
The international Top Companies
The Top International Ink Companies
As Recovery Continues, Raw Material Concerns Grow
By Dave Savastano, Editor