Sean Milmo, European Editor03.09.18
A buoyant Europe economy, with growth in much of the region at its highest since the financial crash of 2008, has been raising confidence in the European printing sector and its inks and other suppliers.
However, ink producers are still contending with continued downward pressure on margins from intense competition in high-volume printing segments and, above all, persistently increasing raw material costs.
Ink makers have recently been responding to these higher raw material prices by announcing a series of increases in the prices of their own products, in the hope that at a time of stronger print demand the rises will be accepted by their customers.
The most reluctant to assent to the price rises will be large trade printers, who have been investing in high-speed presses to provide a low-cost 24/7, next-day delivery service. They are operating on low margins and expect their suppliers to tolerate low margins as well.
However, ink producers are still contending with continued downward pressure on margins from intense competition in high-volume printing segments and, above all, persistently increasing raw material costs.
Ink makers have recently been responding to these higher raw material prices by announcing a series of increases in the prices of their own products, in the hope that at a time of stronger print demand the rises will be accepted by their customers.
The most reluctant to assent to the price rises will be large trade printers, who have been investing in high-speed presses to provide a low-cost 24/7, next-day delivery service. They are operating on low margins and expect their suppliers to tolerate low margins as well.
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