In his keynote speech at last Thursday’s NAPM annual dinner, Kevin Lyden, managing director of UPM-Kymmene UK, told members that consolidation “will achieve little”.
He said: “We are hopelessly inhibited by our past. Many believed, and some still do, that our salvation lies in consolidation. But that alone will achieve little.
“An increasing speed of change is required, largely because most of our industry’s capacity is today in the wrong place. He who changes fastest will have the wherewithal to manage the change.
“Our customers are under the same profit pressures as ourselves. No one can afford to pay a premium.”
His comments echo those made by Communisis chief executive Steve Vaughan in an interview in today’s PrintWeek, in which he argues that consolidation will not restore profits for struggling printers.
Consolidation not the answer, says UPM MD
Consolidation is not the solution to poor performance in the paper industry, members of the National Association of Paper Merchants were told last week.
