Print Matters for the Future is the annual conference of Intergraf, the European association representing the national printing associations in Europe. After two years of interruptions, the event resumed live in Stockholm on May 20, 2022. The conference focus on discussing the actual issues in the European printing industry and policies shaping up for the market. With over 90 attendees from 18 countries, the event was fully booked. As diverse as the printing industry were the topics touched upon by a range of presenters.

Ulrich Stetter, president of Intergraf and Managing Director of Druckhaus Mainfranken, laid out the most recent trend in the printing industry. After a steep drop in 2020, print production rebounded somewhat, with most products remaining somewhat below pre-pandemic level. The notable exceptions are packaging and books. He highlighted the paper shortages and price increases, as in 2022 about half of the 2006 graphic paper capacity remained. He also assured that sustainability gains in importance and recycling becomes a necessity.

Continuing on the most pressing topic in the print industry, Alejandro Mata Lopez, Director at Fastmarkets Risi, reported on the paper market. In his view, European paper demand has recovered stronger than anticipated. He does caution, however, that this might be a bubble, about to burst as the result of panic buying. When the pandemic hit, the demand initially declined faster than mill capacity. In 2020, prices collapsed and mills reviewed operations, resulting in a massive reduction in graphic paper capacity. Logistics problems and strikes exacerbated the problems. Short-term solutions or mills reopening are not expected. Instead, Alejandro expects a demand decrease for paper in 2023, which might even be stronger than anticipated as an effect of high paper prices. Mills are in a “margin recovery mode” now, but the strong increases in production costs (energy, pulp, logistics, CO₂ taxes) will squeeze margins again. In addition, legislation is making paper production in Europe less competitive. Overall, there is little interest in investing in paper mills by established vendors or outside investors. In an upcoming article, I will cover a graphic paper outlook based on Risi’s findings in more detail.