The advantages of label printing in Australia are many. The biggest one is reliability. When you import your product labels, there are just so many things that can go wrong. This is because the process becomes longer and more detailed and the more steps you have, the greater the chances of something going wrong.
When you think about label printing processes, you probably think about how the labels are manufactured and what machinery is used. However, when you outsource your label printing to an overseas supplier, there are many more steps involved. Here is a quick check list below.
- Order is placed.
- Proof is signed off.
- Full payment or a deposit is made in US$ or the preferred currency of your supplier.
- The labels are printed, finished and packaged.
- Your labels are taken to the airport or more likely a seaport.
- Paperwork is prepared for exporting and a freight company is usually engaged by the importer.
- Your labels join the queue to get on a ship or aeroplane.
- Your labels travel by ship or aeroplane.
- Your labels clear customs.
- Your labels are delivered to your selected location.
When label printing is done in Australia, then steps 1,2, 4 and 10 are often the only ones needed. A lot more can wrong when there are more steps involved. For importers, their current concern is not transportation or customs, it is actually Step 4, the manufacturing process.
The preferred destination of many companies that import their product labels is China. That means these companies are directly affected by the coronavirus because many Chinese factories are currently closed in an effort to contain the coronavirus.
It is not just universities and the tourism sector that are affected by the coronavirus, there are widespread implications for businesses around the world. There are less conferences, seminars, exhibitions and events as exhibitors struggle to get attendees.
You have to get your products to market whether you export, sell locally or do both. You can’t wait for your manufacturer to open its doors again. There is nothing wrong with importing. It makes the global economy the success that it is today. It is just you need a backup plan so that vital label printing is getting done.
The Case For Getting Label Printing Done Overseas
As I explained above, there are big risks in importing your product labels but there is still a case for getting label printing done overseas.
It is not the equipment. Australian label printing manufacturers use the most up-to-date and effect equipment in the world. Mostly, there is not a capital advantage for printing your labels overseas. The main reason to print your labels overseas is to take advantage of lower wages and this in turn can be passed onto you in lower prices. The cost of stock and ink may also be lower overseas as some manufacturers will receive greater volume discounts than those in Australia.
No doubt it is possible to save money on your product labels by getting them printed overseas. However, that saving is lower today than in previous years due to the falling Australian dollar. Today, one Australian dollar will get you just US$0.65. The US$ is the preferred currency of most overseas label printing companies. Back in 2011, you could have received US$1.10 for one Australian dollar. Unless you hedged your currency, you would be paying nearly 70% more now than in 2011.
Hence, the price advantage for importers is less than what it used to be. The coronavirus has also highlighted the additional risk of printing labels overseas. It means you need a reputable Australian company to print your product labels if not as your first choice, then certainly as your second choice.