PPA hits out at OFT proposals for magazines

The OFTs proposals for magazine distribution has re-ignited fears that many titles could go under.

Members of the PPA have expressed "strong and continuing concerns" over the OFT's provisional opinion on the current system.
It is feared that up to 1,000 titles could suffer along
with 12,000 independent retailers.

The OFT said that distribution agreements for magazines are "likely to need amendment" and that retailers "should be free to seek better deals than those offered by the appointed wholesaler for their territory". A deadline of 17 June has been set for replies to the draft ruling.

"Magazine publishers look forward to discussing their concerns with the OFT," said PPA chief executive Ian Locks. "We are still optimistic that the OFT will accept that unravelling the current retail supply chain would only benefit the giant supermarkets."

Publications are currently distributed on an exclusive territories basis where wholesalers compete to supply a region of the country.