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As Growth slows, How can the printing industry achieve profit growth

Aug 16, 2022

Our printing industry has a long history and many internal subdivisions, involving the publishing industry, packaging industry, paper product, plastic industry, electronics industry, etc., and its products all over people's production and life field. At present, printing and packaging enterprises have entered a critical period of transformation and upgrading.

Since 2015, the number of enterprises above the scale of printing industry in China has gradually increased, and the market competition is becoming intense. On a longitudinal basis, margins in print are falling. In 2020, the total output value of printing rose to 1.29 trillion yuan, the total profit rose to 72.702 billion yuan, and the profit margin of output value was 5.62%. In 2021, the operating income margin of the printing industry was 5.76%.xianhuabingbaozhuangmoban-24374183_3

In the revenue to maintain growth at the same time, the printing industry part of the total profit has continued to pressure, continuous negative growth. The divergence between revenue growth and profit decline of printing companies is partly related to the pressure on the cost side caused by rising raw material prices and higher labor costs.

How to break the cycle of low profits

The national industrial policy promotes the high-quality development of the printing industry. The printing industry has distinct ideological and market attributes, bearing the important responsibilities of consolidating the position, inheriting the culture and serving the people. Therefore, the state attaches particular importance to the development of the printing industry and has issued the "Special Development Plan of the Printing Industry during the 14th Five-Year Plan Period".

The "difference" printing industry development planning ", put forward to increase high quality printing products and services supply, pushing the key core technology innovation, steadily enhance the level of modernization of industry chain supply chain, to accelerate regional coordinated development, comprehensively improve the level of opening to the outside world cooperation, strengthening the construction of talents, strengthening the planning and deployment.

We will expand the supply of quality printing products and services

The development of the printing industry is closely related to the content quality. To achieve profit growth, it is necessary to start from the source, optimize the supply structure, improve the supply quality, and improve the adaptation of the printing supply system to domestic demand. Promote financial capital to support the printing real economy. We will improve policy and institutional support to create a dynamic balance at a higher level in which demand leads supply and supply creates demand.

We will promote innovation in core technologies in the industry

At present, digital printing technology has become a new trend, which also represents the development direction of printing industry to a certain extent. So to actively carry out with high precision microelectromechanical system, laser technology, such as integrated circuit chip technology inkjet digital key core technology and high-speed inkjet printing nozzle control technology, digital front-end, ink printing system and digital control technology, the digital book core molding technology of digital printing related core technologies such as research.

In addition to strong policy support, the printing industry itself needs to change. In general, printing enterprises need to increase investment in information technology and intelligence, build a "digital factory", promote technological progress and improve production efficiency.

First of all, the industry and enterprises should fully realize the application of digital technology in printing technology, improve the degree of digitalization of the whole process of printing production, including the digital management and control of the production process, the digital decision-making of the production process, the introduction of digital printing, especially the application of inkjet digital printing.

Secondly, to solve the green environmental problems in the printing production process, focusing on the VOC emission and treatment of gravure printing inks, the recovery and treatment of waste liquid in plate making/printing, and reducing energy consumption.

Third, expand the application field. Printing technology has been applied in many fields. Through the research and development of new technologies, the application field of printing technology is expanded.

To achieve profit growth in the printing industry, we need to improve the intelligent level of factories, reduce operating costs while improving quality and efficiency, and enhance our market competitiveness. For the majority of printing and packaging enterprises, we should follow the policy to seize the opportunity, use advanced information means to optimize enterprise management, integrate and transform the supply chain system, constantly expand new profit space, promote the benign development and industrial upgrading of the industry.


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