The investment enables Graphic Inline to produce an extra 15m duplex packs a month. Full-colour printing and enclosing is planned later this year.
Job cuts will be a result of the restructure from mass mailings to targeted DM.
While overall DM volumes are up, the trend is to target and produce more versions, said Graphic Inline managing director Robin Welch.
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"It's wrong to assume the Chinese are behind the curve on automation - it used to be the case that manual processes were kept becuase it was cheaper to use them than buy the automated equipment,..."
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