Paper-graphics: slowdown in the recovery

In the paper-graphics sector market study, during the first six months of 2014 the aspects of stability prevail over those of growth. And the Federation calls on Politics: no to new taxes on energy efficiency; yes to anti-cyclical maneuvers in favour of investment in advertising.

The quarterly study, carried out by the paper-graphics sector Confindustria member Federation (made up of Acimga, Assocarta and Assografici) provides data that helps understand the market dynamics of the sectors represented: Graphics, paper&board manufacturing and converting machines; paper&board production and converting, and naturally print-graphics.
On the basis of the results surveyed by the companies in the first two quarters of the current year, Alessandro Nova, lecturer at Milan’s Bocconi University, underlines the adherence of the dynamics of the Italian economic system seen as a whole and comments: «[...] The sensation is the return to a phase of expansion has in fact in some way drawn to a halt. Hence, if it is true that the macroeconomic variables have improved, it is also true that the expectations for growth  in the coming months have once again revealed themselves to be excessively optimistic. Indeed, the  sector’s different segments seem more inclined towards stabilisation of levels and not a true and proper recovery of production variables».

General inclinations. Looking at the data expressed by the companies, in the first quarter of 2014 one sees a stabilisation of turnover levels. In this case though, even more so than in the preceding quarter, this is an average figure, the performance of the different sectors varying to some degree (see table for results of the report, divided per period and production area). «The converting and print-graphics machine sector, show the best overall growth indications, followed by the paper industry that at any rate put in good results. Once again print-graphics features disappointing growth figures, aboveall as regards the Italian domestic market, and the paltry opening to international trade, makes this result even more disappointing».

As far as the second quarter is concerned, as regards machines the expectations are fairly positive, while in the other segments – graphics first and foremost, paper&board making and converting to a lesser extent – expectations are a lot lower. Growth expectations on foreign markets are only just that little bit better, while all the same the figures for the various segments are markedly dis-homogenous.

Relaunch: focus on energy. Paolo Culicchi, President of the Paper-Graphics sector Federation, denounces the  criticalities of the current economic policy of the Italian government and indicates the measures that should be most concentrated. Like that on energy for example, where the government has announced it may be applying new taxes.
«[...] Article 24 of DL n. 91 inappropriately affects and penalizes the discipline regarding the self-production of energy in that it demands the payment of network charges, even though self-producers do not use the same», denounces on the count Culicchi, who once again remembers how In Italy energy costs (that include added value on the paper industry from 35% to 50%), are three-times those of Germany and double French costs. What with these huge price differences [...] many entrepreneurs have fitted themselves out with high performance co-generation systems that also have a lesser environmental impact: the very ones hit by DL n. 91, with a new tax, flying in the face of sustainable developments».
Similarly disappointing the relaunch of the Italian domestic market where the announcement of the abolition of taxation on incremental advertising on papers and periodicals has still not taken off (at the moment of writing, August 2014 Ed.).