The printing industry’s services are indispensable. Banners, advertisements and business cards are some of their products used by both business and laymen.
One of the sub-sectors of the printing industry, which is closely integrated with the packaging industry and enjoys even deeper interaction with other businesses, is after-printing services. Due to the wide reach of such services, including letter pressing, gold engraving and ultraviolet printing, these cater to a broad group of consumers.
Hence, establishing an after-printing services unit can be a highly profitable business.
The Persian daily Forsat-e Emrooz has published a report on establishing an after-printing services unit in Iran and the sector’s investment potential.
Investment Requirements
Setting up an after-printing services unit is largely tied to the quality of the machinery used. Therefore, the better the equipment, the more successful the unit will be.
The overall capital required ranges from $1.4 million to $2 million. The very first piece of equipment needed is a silk screen printing machine, the Japanese, the high-tech version of which costs about $352,941. One can also opt for the cheaper Chinese versions at an average price of $176,470.
Other equipment needed include cutting, folding and engraving machines, a folder gluer and a cellophane overwrapping machine, all of which cost about $735,294.
Furthermore, close to 20% of the initial investment must be set aside as working capital. The total workforce required is about 20.
Finally, the relevant permits can be acquired from the Silk Screen Printers Association and the Ministry of Culture and Islamic Guidance which is a nearly six-month-long process.
Industrial Potential
According to an industrial expert, the growth of printing industry has led to a surge in demand for after-printing services.
Hossein Dastouri added that after-printing services play a very effective role in adding a touch of beauty to printed materials and businesses are highly interested in utilizing them to improve the packaging of their products.
The particular characteristic of the after-printing services, according to Dastouri, is that it performs better with the improvement of the overall economic condition of other sectors.
“The better other businesses do, the more they are willing to pay for higher quality and better looking printing and packaging. This will give rise to higher demand for after-printing services,” he added.
The industrial player emphasized that entering the printing industry and the after-printing services sector takes more than adequate capital.
“Experience and expertise in the field are needed to be successful. For instance, some of the required permits can only be obtained by those who have experience in this field,” he said.
Dastouri noted that in contrast with most sectors that mostly rely on competitive pricing as the driving factor in attracting customers, the after-printing services market relies solely on quality for beating competition.
