The Stationery, Office and School Supplies Market in the EU

CBI MARKET SURVEY:

THE STATIONERY, OFFICE AND SCHOOL SUPPLIES MARKET IN THE EU

Source: CBI Market Information Database • URL: www.cbi.eu • Contact: [email protected] • www.cbi.eu/disclaimer

of 51

CBI MARKET SURVEY

THE STATIONERY, OFFICE AND SCHOOL SUPPLIES MARKET IN

THE EU

Publication date: December, 2009

CONTENTS

REPORT SUMMARY ..................................................................................................... 2

INTRODUCTION .......................................................................................................... 4

1 CONSUMPTION ..................................................................................................... 5

2 PRODUCTION ..................................................................................................... 12

3 TRADE CHANNELS FOR MARKET ENTRY .............................................................. 16

4 TRADE: IMPORTS AND EXPORTS ........................................................................ 26

5 PRICE DEVELOPMENTS ....................................................................................... 36

6 MARKET ACCESS REQUIREMENTS ....................................................................... 40

7 OPPORTUNITY OR THREAT ? .............................................................................. 41

APPENDICES

A PRODUCT CHARACTERISTICS ............................................................................. 43

B INTRODUCTION TO THE EU MARKET ................................................................... 48

C LIST OF DEVELOPING COUNTRIES...................................................................... 49

D REFERENCES ....................................................................................................... 51

This survey was compiled for CBI by DCT B.V. in collaboration with Ms. Yolanda Netto

Disclaimer CBI market information tools: http://www.cbi.eu/disclaimer

CBI MARKET SURVEY:



of 51

Report summary This survey profiles the EU market for stationery items, office and school supplies, referred to throughout this report as stationery. The product groups discussed in this survey include: paper-based items, filing products, storage products, writing and drawing instruments, presentation and planning materials, office and desk accessories, greeting cards, cases and satchels, and office furniture.

Consumption

Total EU stationery consumption amounted to € 17.8 billion in 2007. In 2008, it was € 13.5 billion for the countries with figures available for 2008. During the period 2004–2007, EU consumption grew by only 1.6% in total. In the past, the market for stationery in Europe used to be considered a mature and saturated market, with a high level of replacement purchases. Forecasts for the total market size of the stationery sector in the coming years indicate that the market will increase slightly, by 1 - 1.5% per year. This is going to be mainly due to growth in the new EU member countries, and also Ireland, which will, however, be insufficient to cause a larger change in the total EU market. NB: Currently, there is still a recession in the EU due to the global financial crisis. Trends in consumption

• New, start-up companies • Increasing importance of European service industry • Stable office and school supplies market (in value)

• Growth of some specific product categories

• Increasing demand for trendy and seasonal hobby products

• Increasing demand for licensed products

• Growing popularity of environmentally friendly products (eco, tree–free, FSC certified etc) • Price trends • Single-sourcing

• Innovations • Fashion trends • Office Hygiene

• Growing pressure on people’s time and workforce mobility • Increasing number of automated work stations • Increasing usage of e-mail and Internet • Increasing use of e-commerce • Improved multimedia • Growing digital photography market. • Greying population • Decreasing number of pupils/students • Unfavourable economic developments

Opportunities and threats deriving from the above-mentioned trends in consumption

The stationery, office and school supplies market offers ample opportunities. Companies in developing countries with strengths in efficiency and low cost production can take advantage of such opportunities, as the demand for low cost products is ongoing. However, those who are stronger in innovating, designing, concept development, and marketing will have better opportunities. This survey provides an in-depth analysis of opportunities and threats in this market. Production

In 2007, EU production totalled € 27.5 billion, an overall increase of 8% since 2003. Italy was the country with largest production in the EU, accounting for 24,9% of EU production, followed by Germany, the United Kingdom, France and Spain. Compared to 2003, Italy, Germany,

CBI MARKET SURVEY:



of 51

France and Spain have seen a growth in production. Only the UK has seen an overall decrease, of 1.8%, between 2003 and 2007.

Imports

Total EU imports amounted to € 12 billion in value in 2008. In comparison to 2004, imports have increased by 17.9%. Total EU imports increased by 4.2% on average annually in terms of value in the period 2004-2008. Imports from developing countries have grown by 10.3% (average) annually since 2004. The share of imports from developing countries grew from

10.4% in 2004 to 20.1% in 2008. This indicates a significantly larger growth in imports from developing countries than imports from Intra-EU and Extra-EU (excl DC) countries. The largest exporter to other EU countries is Germany, accounting for 19.5% of total imports. Germany is followed by China (15%), Italy (7.7%), France (7.6%), the Netherlands (6.6%), and the United Kingdom (5.6%). The share of developing countries in EU imports is steadily increasing. In 2008, imports deriving from developing countries accounted for 20.1% of total imports compared with 16% in 2004, € 2.4 billion and € 1.6 billion in value respectively. China (15%) accounted for the major share of the EU’s total imports from developing countries in 2008, followed by Turkey (1.2%), India (0.9%), Malaysia (0.5%) and Indonesia (0.4%). Between 2004 and 2008, total imports from developing countries increased by 48% in value.

Exports

The EU countries are the leading exporters of stationery in the world, with Germany, Italy and France being among the world’s largest exporting countries. In 2008, total exports from EU countries were valued at € 12.4 billion. Between 2004 and 2008, EU exports grew by 18% and this trend will continue, probably not at the same pace and at the same levels but external demand is recovering and neighbouring countries will engage in more intensive trade after the present economic crisis is over. Opportunities and threats

EU manufacturers are moving production facilities to low cost countries and outsourcing (part of) their production; office and school supplies / stationery are no longer sold solely through the traditional supply chains; and the market share of private-label products at all levels of the sector continues to grow considerably. The home and small offices segment is growing rapidly and offers opportunities to those manufacturers able to develop, create and manufacture products which meet the specific, growing demand for high-end and trendy products. Growing numbers of hobbyists offer opportunities to manufacturers with the flexibility to adapt their production output to changing hobby trends. Reducing risk and lowering stock levels have led wholesalers and retailers to place orders for relatively smaller quantities, and, furthermore, the overall EU market can be described as mature and static, as growth figures up to the end of the decade are small. Still, imports from developing countries are growing and, despite the general definition as a stagnant and slow-moving market, Europe can be a place where exporters can achieve success, as this market could offer them good prospects for business development.

CBI MARKET SURVEY:



of 51

Introduction This CBI market survey profiles the stationery, office and school supplies market in the EU. The emphasis of this survey lies on those products which are of importance to developing country suppliers. The role of and opportunities for developing countries are highlighted. This market survey focuses on stationery, office and school supplies and discusses the following product groups: • paper-based items • filing products • storage products • writing and drawing instruments • presentation and planning materials • office and desk accessories • greeting cards • cases and satchels • office furniture. For detailed information on the selected product groups please consult Appendix A. More information about the EU can be found in Appendix B. CBI market surveys covering the market in specific EU member states, specific product (group)s or surveys on market access requirements can be downloaded from the CBI website. For information on how to make optimal use of the CBI market surveys and other CBI market information, please consult ‘From survey to success - export guidelines’. All information can be downloaded from http://www.cbi.eu/marketinfo. Go to ‘Search CBI database’ and select your market sector and the EU.

N.B. Throughout this survey, the word “stationery” is used as a synonym for “stationery, office and school supplies “.

CBI MARKET SURVEY:



of 51

1 Consumption This chapter presents a general overview of the stationery market. The most important sources used are reports from MPA International, a research agency specialized in conducting research in the stationery market. It is important to mention that research agencies use differing market definitions and research methods and often they do not consider all of the product groups reviewed in this survey or they include items which are beyond its scope. Next to these sources, various other articles published by different institutes are used, especially OPI (Office Products International) Magazine which is the most contemporary source for information concerning this specific sector. Furthermore, data from the Prodcom (production) database and CN (imports and exports) database, as supplied by Eurostat, are used to calculate apparent consumption. Apparent consumption is the sum of production and imports minus exports. Variations in inventory are not taken into account. Two problems arise: sometimes the calculation gives a negative consumption figure, this is the case when exports are higher than production and imports combined, in that case figures are treated as not available: the figures sometimes show a discrepancy between years, e.g., a large fall or extraordinary growth. For decision–making, these figures are therefore not accurate enough and they should be used in conjunction with further market research. 1.1 Market size

The European stationery, office and school supplies market is stable and total consumption is expected to increase slightly during the observed period. Some EU countries, mainly in Central and Eastern Europe, are growing faster than others but the biggest markets such as Germany, the UK, France and Italy will achieve only small increase. Table 1.1 shows consumption of stationery, office and school supplies1 in the EU and the individual countries.

Table 1.1 Consumption of stationery, office and school supplies sector in the

European Union 2003-2007, € million

2004 2005 2006 2007 2008

Average annual %

change

(2004-2007)

Share of total

EU (2007)

Total EU 16,958 16,971 17,232 17,808 13,467 1,6%

Germany 3,354 3,245 3,275 3,335 2,789 -0,2% 18,7%

United Kingdom 2,759 2,817 2,906 2,967 1,645 2,5% 16,7%

France 2,431 2,414 2,490 2,517 2,268 1,2% 14,1%

Italy 2,212 2,214 2,191 2,249 1,770 0,6% 12,6%

Spain 1,239 1,277 1,326 1,348 1,090 2,9% 7,6%

Netherlands 829 830 823 836 665 0,3% 4,7%

Sweden 531 543 554 572 530 2,5% 3,2%

Poland 469 479 502 525 479 3,8% 2,9%

Belgium 446 443 456 472 416 1,9% 2,6%

Austria 379 395 414 427 372 4,0% 2,4%

Denmark 328 341 345 351 322 2,3% 2,0%

Greece 344 300 304 349 0 0,5% 2,0%

Finland 321 328 332 338 307 1,7% 1,9%

Portugal 313 314 315 332 253 2,0% 1,9%

Ireland 218 214 203 248 173 4,4% 1,4%

Hungary 193 193 180 187 182 -1,1% 1,1%

Czech Republic 125 119 118 137 120 3,2% 0,8%

Romania 71 86 107 118 33 18,4% 0,7%

Lithuania 64 80 70 110 0 19,8% 0,6%

Bulgaria 55 70 75 88 34 16,7% 0,5%

1 The countries are arranged according to their 2007 numbers since this is the year when fullest information is available.

CBI MARKET SURVEY:



of 51

2004 2005 2006 2007 2008 Average Share

Slovakia 71 79 43 74 0 1,6% 0,4%

Latvia 53 67 59 71 0 9,7% 0,4%

Estonia 39 34 49 48 0 7,0% 0,3%

Cyprus 32 32 35 38 0 6,2% 0,2%

Luxemburg 27 28 27 29 20 1,8% 0,2%

Slovenia 40 18 21 27 0 -11,9% 0,2%

Malta 12 11 12 15 0 5,9% 0,1%

Source: Eurostat (2009), MPA International

Total stationery consumption amounted to € 17.8 billion in 2007. In 2008, it was € 13.5 billion for the countries with figures available for 2008. During the period 2004–2007, EU consumption grew by only 1.6% in total. In the past, the market for stationery in Europe used to be considered as a mature and saturated market with a high level of replacement purchases. However, the annual growth of stationery consumption in the newly admitted countries, Romania and Bulgaria, is much faster than in the rest of Europe. The reason for this growth is considered to be the positive economy developments in these countries as a result of their integration within the European Union, which offers facilitation of stock flows, free movement of people, goods and services and general business improvements. The countries with gradually increasing markets include Romania, Lithuania, Bulgaria, Latvia and Estonia. Forecasts of the total market size of the EU stationery sector in the coming years indicate that the market will increase slightly, by 1 - 1.5% per year. This is going to be mainly due to growth in the new member country markets, and also Ireland, which will, however, be insufficient to cause a larger change in the total EU market. Most of the largest markets such as the UK, France, Spain will see increases in consumption but at much lower rates compared to the above mentioned countries. Only in Germany is consumption predicted to decline. NB: Currently, there is a recession in the EU due to the global financial crisis. The analysis above covers the years before the real crisis started and shows how the market developed during more normal times. The above growth percentages are not relevant and realistic at a time of recession. However, the market is predicted to recover at the end of 2010. 1.2 Market segmentation

Customers for stationery can be separated into different segments: professional users, (including large offices), schools and universities, SoHo2 users and private users. The professional user segment includes (private) and governmental enterprises which range from over 10 employees to more than 100 or even thousands of employees. The schools and universities segment, while it may seem similar to the professional users, presents some distinct characteristics as discussed later. The SoHo segment generally includes small offices with 1 to 10 employees and home offices of 1 to 3 people. The segment includes teleworkers working for an employer and freelancers operating from home. The private segment includes customers who buy stationery for domestic use and includes sub-segments like children, teens, students, etc. The line between the different segments is coming increasingly blurred as the distinction between work and personal life begins to fade. This view is also expressed in market research done by Esselte, which indicated that 60 percent of the people surveyed have some sort of home office and 40 percent of the people take work home on a regular basis. Professional users

Professional users, together with the SoHo users, account for the major share of stationery expenditure. The number of companies active and the number of office workers are clear indications of the importance of this segment. The professional user generally considers stationery to be a commodity; and in principle puts cost and economic considerations before fashion appeal. A prime requirement next to product

2 Soho: small office and home office

CBI MARKET SURVEY:



of 51

pricing and quality is reliable (next-day) delivery. There are some notable differences between medium-sized and large companies, especially when it comes to purchasing stationery. Medium sized companies tend to buy their stationery from regional office-products dealers, or mail order suppliers, whereas the large multinational enterprises are likely to source from pan-national contract stationers who can offer a more individually tailored logistics service. Schools & Universities

As more than 100 million people in the EU follow some sort of education, schools & universities are an important market segment. Unfortunately, there is no information available concerning the number of schools in the EU. Schools and universities account for approximately 7 percent of EU stationery expenditure. However, this does not include private user expenditure for school purposes. Most schools and universities (with the exception of private schools) are subsidised by the government, and they receive a yearly budget per pupil/student. According to Office Product International, pupil/student enrolment is therefore a major determinant of the budget the school or university receives. The school-going population in Europe is expected to decline in the future due to low birth rates. The numbers of babies born obviously impacts the size and numbers of scholars in later years and private expenditure developments in the back to school period. Furthermore, school enrolments generally do not correlate with economic conditions. This is why the school stationery market is generally less sensitive to economic cycles than the other market segments. The school market is therefore often seen as a non-cyclical market. While enrolments tend not to be linked to business cycles, school budgets often are, and price is therefore an important criterion for schools and universities when purchasing stationery. SoHo users

In a marketing sense, SoHo users lie somewhere between the professional and the private users and it is rather difficult to quantify them. As noted before, the SoHo segment includes small businesses with fewer than 10 employees, teleworkers working for an employer and people working on a freelance basis from home. The SoHo users, like the professional users, value quality and functionality. The SoHo users, however, are also sensitive to design and colour. In this respect they are more like Private users. SoHo users are more likely to buy bright, fashionable coloured stationery. SoHo users, however, do not want to spend too much time or money purchasing commodity stationery. They regard it as a necessary evil, which distracts them from running their day-to-day business. This makes service quality and convenience important purchase criteria. SoHo users, however, spend more time on the specialty products that are placed “in sight”, such as desk accessories and filing products on open shelves and desks. According to Paperworld, stationery targeted at SoHo users is becoming increasingly design-orientated and ever more functional. Private users The private user segment accounts for 32.5 percent of EU stationery consumption, excluding Greeting Cards. Stationery bought by Private users is often referred to as personal stationery. Largely due to the individualization trend, the stationery needs and preferences of the private users have changed and diversified over the recent years. There is, however, still a distinct difference between commodity and speciality stationery. For commodities, price is generally the main purchase criterion. In the specialty segment, product quality, branding and design are important purchase criteria. Stationery in this segment must be able to satisfy consumer status expectations.

CBI MARKET SURVEY:



of 51

1.3 Trends

The following patterns in consumption are general trends in the majority of the reviewed countries: • Unfavourable economic developments The global crisis is affecting the economy of all European countries. Most governments are focused on taking measures with regards to inflation, tightened labour markets, rising interest rates and depressed household consumption. Most economies are in decline and a contraction of GDP is expected. Recovery is predicted to come after the end of 2010. These unfavourable economic trends will inevitably lead to a decrease in the total consumption. • Greying population Patterns of stationery consumption will in the future be influenced by the fact that a growing percentage of the population will be over 65 years old. This offers opportunities among this growing target group; for example for manufacturers of hobby related stationery. At the same time this will reflect in lower use of general stationery products by this population group. • Decreasing number of pupils/students As of January 2009 the average woman in the EU was only having 1,5 children. Many European countries are expected to experience a decline in population over the coming decades which will result in relatively slow demand for school supplies. The fact that the share of population between 0-14 is decreasing will negatively affect stationery consumption especially in schools. However, this effect is alleviated by immigration (which is one of the general issues in the EU) of families with children in some of the countries. • New, start-up companies In most European countries new, start-up companies are increasing in number but most of them are small firms with a couple of employees or self-employed entrepreneurs. Still, more than half of all businesses are occupied in the service sector, which should positively affect the market for stationery consumption. • Single-sourcing The single-sourcing trend is creating a market with strong competition between different stationery players. All customers are looking for one supplier who can offer them a full range of stationery and a wide assortment of office supplies. • Innovations Consumers, home and small businesses increasingly want to be able to express their individuality. This opens doors to demand for innovative products; for example ring binders and photo albums that have features such as transparent pockets, so that they can be personalized. New products / innovations are available in this field, especially in the private end user market. For example: school bags, pencil bags, school agendas which students/scholars can buy with the print of a picture they send to the supplier. Products can be bought per piece and even at reasonable prices. There are some recent innovations, such as memo pads for left-handers – with the spiral on the right and the perforation on the left hand side. Additional product supplements, such as zips, clips etc. are becoming more and more important for the customer. An example is the Leitz 180° Active Pro and Plus with pocket for sheets, curved spine, made to be convenient to carry. • Fashion trends The market needs added value products, which has led to changes in the fashionable and aesthetic look of products. Customers are looking for attractive appearance for the products they buy. This trend brings developments in the product features - functional and visual changes with regard to the materials, colours, designs and patterns. • Growing pressure on people’s time and workforce mobility The desire to achieve more in less time and the desire to free up more time for personal life increases consumers’ demand for products that can improve their efficiency at work. Growing mobility has created additional office needs. It has also led to a growing number of notebook computers, and accordingly to a growing need for notebook cases, files and folders that can be used and carried easily when travelling. Such items are part of the modern filing and organising product categories. Also the market for innovative products to facilitate the use of laptop computers has increased. Here one should think of products such as: laptop

CBI MARKET SURVEY:



of 51

protectors/holders, screen filters to enable the use of the laptop outside in the sunshine, decorative items for laptops (e.g. stickers to paste onto laptops) and security devices. • Increasing importance of the service industry In Europe, the relative importance of the service industry is growing and the percentage of office workers in the service industry is increasing. Service industry consumers have developed their own habits and specific product demands, offering opportunities especially in the field of filing & storage supplies, presentation & planning materials, and computer / laptop related supplies etc. • Increasing number of automated work stations The number of personal computers and printers in companies has more than doubled in almost a decade, which has led to increasing computer supplies consumption, not only paper, ink cartridges and toners but also computer cleaning supplies, mouse pads, screen filters and ergonomic products that in Europe have become essential, due to governmental Health and Safety regulations. Some product categories, such as classic filing products (e.g. lever arch files and ring binders), have suffered slightly from the trend of increased PC penetration and digital data storage. However, the development of modern and innovative alternatives for those classic products has led to new product categories, which have grown in importance in the meantime and offer considerable opportunities. i.e. the recent invention of memo pads for left-handers (with the spiral binding on the right) and the introduction of wire-bound pads with washable covers. • Growing digital photography market This has had a negative impact on the traditional photo album business in the short term, but is expected to turn around as printing becomes easier. In the (recent) past, it was not always easy to arrange for digital pictures to be printed professionally. However, an increasing number of shops are installing machines where the consumer can print their pictures directly from the camera or memory device. As the printing of photos at home is also becoming more affordable, volumes in the photo album market are expected to pick up again. Digital photography has also led to opportunities in new products for storing photo CDs, or CDs and photos in one album. The options to have a full album printed and book bound have increased in the meantime. This again has lead to a decrease in sales of standard photo albums. However, there appears still to be a big market for albums where consumers prefer to paste their own pictures in combination with other mementoes. However, due to these developments the niche markets such as wedding albums have become increasingly important for those suppliers still active in the album market. Another niche in this industry that has grown fast recently is the funeral market. Increasingly people want to have pictures of a funeral and they want them to be nicely presented in an album. • Increasing usage of e-mail and Internet This trend has led to an increasing need for data storage, leading to growing sales in products such as external hard disks and USB memory sticks. The market for CDs and DVDs is decreasing considerably, leading to decreasing markets for storage products for CD’s and DVD’s. • Increasing use of e-commerce Using the Internet makes it much easier to organise auctions or tenders, which was one of the reasons why such buying methods have grown in popularity. Put simply, more and more customers insist on buying their office supplies and many other products online. However, new buying systems have complemented, not replaced, the more traditional ways of buying. Such systems may make it easier for manufacturers who are not based in Europe to participate in the market without having to travel too much. However, face-to-face contact is still important, especially when establishing relationships. The internet has provided companies that only used to sell through high-street retailers, offices or printed catalogues with an additional channel which end users value highly for its efficiency when buying their office supplies. It has also revived the fortunes of the traditional mail order companies, who have developed good distribution systems to support their web-based shops. At the same time, these companies also have suffered from increasing competition through the web-shops of e.g. retailers and office products dealers who have added this to their marketing strategy as well as of newcomers who can easily start a shop on the web, without needing to invest heavily in

CBI MARKET SURVEY:



of 51

stock. Many wholesalers and buying groups nowadays are able to provide these online shops or dealers with drop shipment services, meaning the shop never sees the products which go straight from the wholesaler/buying group to the end user. The (web) shop only takes care of the marketing and (financial) transaction. Contract stationers have also been able to expand business through the web. It should be noted that personal computer penetration in the Nordic Countries, the United Kingdom and the Benelux countries is higher than in other EU countries. Computerisation has led to new demands for filing and storage solutions. • Improved multimedia The penetration of improved multimedia at lower prices and more sophisticated software packages such as Powerpoint in this market has led to expanding demand for and usage of presentation and planning materials and consequently an increase in the sales of this product group. • Price trends Prices have been affected by market changes. Consumers have become more price conscious and look for real value for money. At the same time, buyer and purchasing concentrations have put a downward pressure on prices. Chapter 5 describes these trends. • Stable office and school supplies market (in value) As the number of manufacturers in Europe is decreasing this basically leads to opportunities for potential exporters from outside the EU, especially for those based in low-wage countries. • Growth of some specific product categories This applies, among other things, to computer related products & electronics, desk accessories, presentation (meetings) materials and writing instruments. Paper-based products also seem to be growing but only slightly. The size of some product categories, such as envelopes, is decreasing (due to the increasing use of e-mail). E-mail and the internet, with the ability to order digital greeting cards, have put a pressure on the growth in the greeting cards market. The market for laptop cases however has increased considerably thanks to the increasing use of laptops. Innovations such as iPods, Blackberries and related items have lead to the development of a huge market for protective accessories. • Increasing demand for trendy and seasonal hobby products Some market players have been able to create new seasonal or temporary, trendy hobbies, enabling manufacturers to continuously develop new products that fit the new hobby trend (examples from the past: folding tea bags, quilts, and scrap books). Scrapbooking has had its best years already; although this market still exists it has decreased considerably. Pergamano has become one of the new trends. And making greeting cards has remained a stable but interesting niche among the greying population. • Increasing demand for licensed products Especially in the back–to-school season, large volumes of licensed products are sold to students and scholars. License holders are often creative / marketing organisations, with important creative or branded material, who outsource their production. While this may represent a good opportunity for DC exporters, the quality standards required are high, deadlines demanding, and requirements are sometimes special; this is why communication between the license holder and the producer is very important and requirements have to be met with reliability. • Growing popularity of environmentally friendly products (eco / tree-free / FSC certified) More and more customers look for an environmentally friendly indication or label (e.g. FSC, PECF) on product packaging. This increases the requirements for DC producers and exporters considerably. Germans consumers tend to be the most environmentally conscious in Europe, and special legislation has been developed in order to increase the number of production facilities of that kind. More and more consumers prefer products with a low carbon footprint and manufactured in a way that does not harm the environment. In Germany, recent Brandmark research from Burda Community Network and Roland Berger Strategy Consultants revealed that 75 percent of the population agrees with this ideal. About 63 percent of consumers even consider refusing to buy products from companies that are suspected of harming the environment. Other highly regarded market research firms also indicate that 16 percent of consumers in Germany and the US and a phenomenal 30 percent in Japan today belong to what is regarded as an environmentally-conscious target group. With this group expected to grow to a minimum of 25 percent of the population in all developed countries, the

CBI MARKET SURVEY:



of 51

Zukunftsinstitut, a German-based think tank for future research, has even identified the environment as one of the future megatrends. • Office Hygiene Research carried out by the University of Arizona in 2007 showed that on a standard office desk, up to 400 times more bacteria could be found than in the building's toilet facilities, and that bacteria could be spread simply by touching contaminated objects. According to a senior manager from Smead Europe BV, office products can be a real source of microbial contamination. And this is motivating more manufacturers to market specially produced anti-microbial products. For example, some suppliers have developed ball pens made of special plastics, such as sanitized ABS, which have anti-bacterial properties. Such products can be certified to strengthen the functional added value! Opportunities and threats

+ Companies which are stronger in innovation, design, concept development, marketing and managing low to medium sized production volumes have better opportunities. For example, computerization and ergonomic requirements in the European work environment, the increased mobility of workers and the desire for individualization all provide niches for innovative products,.

+ The opportunities deriving from computerization can be found beyond products directly related to computers, such as data storage products. Products for filing and organizing can benefit considerably from the positive developments in computerisation.

+ EU stationery consumption is fairly stable, but is forecast to grow relatively more strongly in Central and Eastern European countries which will open more market space and give opportunity for the DC exporters.

+ The increasing SoHo market and new, start-up companies, and the increasing importance of service industry employment, will lead to higher demand for office supplies and give more market opportunity for DC exporters.

± The increasing attention to environmentally friendly products can offer a good opportunity for the DC exporters who can match the requirements, or be a threat for them if they cannot.

± The increasing number of older people is a trend opening new opportunities for hobby-related stationery. At the same time this can be a threat because of lower use of general stationery products by this population group.

± The increasing demand for licensed products represent a good opportunity for exporters from developing countries but the quality standards and requirements are demanding.

- The unfavourable economic climate in the EU has led to a reduction in total demand in the European market in general and to a decrease in the consumption of stationery items as well.

- Apart from the opportunities mentioned, the overall EU market can be described as mature, as forecast growth figures are low for the coming years.

- In many countries, the back-to-school period is the most important for school supplies sales. The student population is decreasing in most parts of Europe which will lead to lower demand for school supplies.

- Tncreasing attention to hygiene is a trend which brings new requirements for office products. This is considered as a threat because, for instance, producing stationery from sanitised plastics could be hard task for DC exporters.

- Trendy, innovative and fashionable products are increasingly entering the market. Customers` expectations are higher, which brings more demanding requirements for DC exporters.

1.4 Useful sources

• MPA International – http://www.mpainternational.com - Research agency • Iplusc – http://www.iplusc.com - Research agency • OPI magazine - http://www.opi.net - Press • Euromonitor - http://www.euromonitor.com - Research agency

CBI MARKET SURVEY:



of 51

2 Production 2.1 Size of production

In 2007, EU production totalled € 27.5 billion, an overall increase of 8% since 2003. Italy was the country with largest production in the EU, accounting for 24,9% of EU production, followed by Germany, the United Kingdom, France and Spain. Compared to 2003, Italy, Germany, France and Spain have seen a growth in production. Only the UK has seen a total decrease, of 1.8%, between 2003 and 2007. Table 2.1 Production of stationery, office and school supplies sector in the

European Union 2003-2007, € million

2003 2004 2005 2006 2007

Average annual % change (2003-

2007)

Share from total EU

(2007)

EU-total* 25,536 25,330 24,784 26,665 27,584 1,9% 100%

Italy 6,397 6,481 6,388 6,788 6,875 1,8% 24,9%

Germany 5,042 4,950 4,841 4,986 5,292 1,2% 19,2%

United Kingdom 4,195 3,726 4,183 4,126 4,118 -0,5% 14,9%

France 3,477 3,713 2,763 3,499 3,520 0,3% 12,8%

Spain 2,012 2,035 2,102 2,246 2,293 3,3% 8,3%

Netherlands 984 982 1,013 1,045 1,002 0,5% 3,6%

Belgium 529 504 506 640 746 9,0% 2,7%

Poland 296 310 328 558 613 20,0% 2,2%

Denmark 514 522 491 485 495 -0,9% 1,8%

Portugal 299 318 335 329 374 5,8% 1,4%

Finland 323 321 304 309 327 0,3% 1,2%

Sweden 379 315 308 319 305 -5,3% 1,1%

Czech Republic 121 105 124 118 303 25,8% 1,1%

Austria 260 246 295 322 282 2,0% 1,0%

Hungary 141 161 148 125 191 7,9% 0,7%

Ireland 188 156 150 178 168 -2,8% 0,6%

Greece 127 141 131 140 153 4,8% 0,6%

Romania 57 82 98 119 125 21,4% 0,5%

Lithuania 28 59 71 78 112 41,2% 0,4%

Bulgaria 12 56 67 84 92 67,7% 0,3%

Estonia 43 41 38 71 64 10,3% 0,2%

Slovakia 48 32 37 33 58 4,7% 0,2%

Latvia 35 29 43 34 38 2,4% 0,1%

Slovenia 27 43 20 35 37 7,6% 0,1%

Source: Eurostat (2009) * Data for Luxemburg, Malta and Cyprus are not available.

CBI MARKET SURVEY:



of 51

European production of stationery is expected to remain stagnant overall in the coming future. Nevertheless, Eastern Europe and other lower-cost EU members such as Poland are to expect increase in the manufactured levels. Austria, Hungary, Ireland, Greece, Romania, Lithuania, Bulgaria, Estonia, Slovakia, Latvia and Slovenia together accounted for less than 5% of the EU’s total production in 2007. However, production in most of these countries is increasing. Production statistics are discussed in more detail in the CBI sector surveys covering the market in individual EU countries. Looking forward, Western European producers will have difficulty competing with the lower unit costs of their rivals in the Far East and Eastern Europe. The cost of wages, materials, utilities, and fixed costs such as land, rent, and facilities are much higher in Western Europe than in developing countries. As a result, there is a clear trend to outsourcing to lower-cost countries, off-shoring, and direct investment in manufacturing in lower-cost countries. Production by product group

Paper-based items (39%) accounted for the largest share of production by value in the EU in 2007, followed by office furniture (30%) and office and desk accessories (16%). The production figures for paper-based items, office furniture, office and desk accessories, filing products and greeting cards grew marginally during 2003-2007, whereas the other product groups saw a decline or remained static, with the largest fall in production in this period occurring in the cases and satchels product group. Table 2.2 Total EU production of stationery, office and school supplies sector by

product group 2003-2007, € million

2003 2004 2005 2006 2007

Average annual %

change (2003-2007)

Share of total EU 2007

Paper-based items 9,694 10,135 9,120 10,514 10,768 2,7% 39,0%

Office furniture 7,980 7,882 7,828 7,808 8,272 0,9% 30,0%

Office and desk accessories 3,780 3,390 4,006 4,392 4,410 3,9% 16,0%

Writing and drawing instruments 1,463 1,315 1,288 1,297 1,448 -0,3% 5,2%

Filing products 1,048 1,014 998 1,097 1,099 1,2% 4,0%

Greeting cards 891 912 933 946 964 2,0% 3,5%

Storage products 285 328 263 277 286 0,0% 1,0%

Cases and satchels 306 259 257 253 252 -4,7% 0,9%

Presentation and planning materials 89 95 92 82 84 -1,4% 0,3%

Source: Eurostat (2009)

2.2 Trends

• Because of increasing competition, manufacturers are searching for ways to differentiate

their products from their competitors’, in order to drive growth in the mature stationery market. Product and design innovations are important means for manufacturers to extend

CBI MARKET SURVEY:



of 51

their market. For smaller manufacturers, innovation is vital because they do not benefit from the same economies-of-scale. Innovation also offers chances for manufacturers in developing countries to tap into the market with new creative designs, but may also be a threat to them if they are not creative enough.

• In pursuit of greater efficiency, many manufacturers moved their facilities out of Europe. Many Western European manufacturers are seeking to establish or buy manufacturing bases in low-cost countries, often in China, Taiwan and Thailand, and also closer to home, in Eastern Europe. In November 2005, BIC started its own operations in China for cost reasons. In low-cost countries, producers can combine their state-of-the-art technology with a low cost-base. In this way, they can maintain an efficient, high-quality production system but at low cost. Outsourcing was/is also a popular means for Western European manufacturers to remain competitive. Outsourcing a part of their production to cheap(er) contract producers offers the European manufacturers the chance to focus their attention on marketing their products. This migration of European manufacturers to low-cost countries has allowed local manufacturers to pick up new (production) technologies and systems. As a result, the quality of products made in these countries has increased. Note that many European manufacturers also produce private-label products. An example is the Dutch Manufacturer Lutkie Cranenburg, which is specialized in private-label products.

• Increasing competitiveness in other links of the supply chain has also affected the position of the stationery manufacturers. The increasing power of wholesalers, buying groups and large retailers puts them in a position to bargain for more competitive pricing. The increasing popularity of private and white-label products, often imported from low-cost countries, has undermined the position of the manufacturers. Despite the increasing competition, there are no clear signs of demarcation in the distribution chain. Manufacturers today sometimes take on the role of wholesaler, when they complement their own ranges of products with additional lines to widen their product ranges. Besides, as every link in the supply chain tries to avoid holding stock, in order to minimise their inventory risk and costs, the manufacturers are more or less forced to hold stock and take on the role of a wholesaler.

2.3 Opportunities and threats

+ Like Chinese companies, companies in other developing countries with strengths in

efficiency and low cost production can take advantage of the continuing demand for low cost products.

± Non-labelled and non-branded products have now a bigger share of the total market, which will give exporters more opportunity to supply such products, but also will threaten them with local competition. In other words, when a certain niche becomes lucrative in a market, new-comers are easily attracted, especially when the entry requirements are low. The result is higher competition and saturated market in the long run. Still, there are countries where this niche is not saturated yet. For more information, please, refer to the CBI sector surveys covering the market in individual EU countries.

± The demand for better quality and, at the same time, cheaper products will further challenge DC exporters.

+ Developing countries are a destination favoured by many Western European manufacturers for partial or complete outsourcing of their production.

- European manufacturers who manage to find cheaper land and labour by off-shoring their production facilities will be more competitive. As a result, DC exporters will have to compete with more robust EU manufacturers.

± There is also a trend of consolidation in the European market. This development is considered as a threat because consolidation leads to fewer players and more power on the buying side (higher volumes and more pressure on prices). On the other hand the consolidation trend can be an opportunity for those exporters who dare to take risks and focus on niches, specialty markets and the opportunity to exploit economies of scale.

- The increasing amount of production in Eastern European countries can be seen as a threat to developing countries, unless the improving living conditions and subsequent inflation in

CBI MARKET SURVEY:



of 51

those countries undermines their competitiveness. The developing countries’ exporters can defend their competitiveness by retaining lower prices and comparable quality.

2.4 Useful sources

• School, Home, & Office Products Association (SHOPA) - http://www.shopa.org/ EUROPE

• European Writing Instruments Manufacturers Association (EWIMA) - http://www.ewima.org/front_content.php

• European envelope manufacturers association - http://www.fepe.org/ • Websites of interesting players are given in the individual country surveys

CBI MARKET SURVEY:



of 51

3 Trade channels for market entry Office & school supplies are distributed through many different trade and retail channels. Figure 3.1 gives a systematic but simplified overview of the current trade structure in the EU market. It shows the basic relationships between the various kinds of intermediaries, such as contract stationers, buying groups, agents, importers/wholesalers and retailers. The diagram shows the links in the market in hierarchical way. However, in reality the position of some of the players can be different and they may fulfil more than one role. Nevertheless, the diagram gives a good overview of the basic market structure. Figure 3.1 Distribution structure

Developments in the distribution structure – the stabilizing impact of superstores and e-

commerce

In the past 15 years, the arrival of superstores and web shops has altered the stationery distribution landscape in Europe considerably. However, developments in the past 5 years in North-western Europe show that the market share of superstores and web shops has remained stagnant and their number has not increased considerably. Their impact on the European playing field for office & school supplies seems to have stabilized, even though they have gained share quickly. Currently, the market shares of the different channels seem to be reasonably stable. Despite this advance, traditional stationery retail shops still have an estimated 20% market share, although shares per product group vary significantly, with some products, for instance, books and specialist hobby materials having relatively high web shop sales shares.

Consolidation

In the past decade, mergers and acquisitions have been a continuing feature of this industry. Consolidation is still occurring, but at slower pace than in the previous years. In 2008 Corporate Express – who had already been involved in a number of mergers/takeovers by the end of the 90s - was taken over by Staples. Last year contract stationer Ahrend Office Products was taken over by Lyreco. Most mergers and acquisitions took place in the supply chains to the SOHO and Professional market. So far, the retail markets have not been greatly affected, although the larger retail chains do already belong to larger market players. Many retail shops have been able to remain independent by becoming members of buying groups. Some large office products dealers have consolidated with contract stationers, while some smaller dealers are co-operating more closely, sharing warehouse and buying facilities, and more.

CBI MARKET SURVEY:



of 51

Besides mergers and acquisitions, partnerships have also become a trend. One sizeable partnership is the European Office Supplies Alliance (EOSA), which is a partnership of European contract stationers, formed in 2002 to meet the growing demand of European customers to be served under pan-European contracts. The alliance consists of over twenty members, with combined sales of over € 1 billion. In Northern Europe, the Nordic Office Alliance (NOA) was established in 2003, with members from the Scandinavian and Baltic countries: Sweden, Norway, Finland, Estonia, Lithuania and Denmark. A similar alliance exists between European wholesalers in the Interaction alliance, initiated in 1997, with estimated combined sales of € 1.5 billion. Despite these consolidation developments, the market structure in Europe is still diverse and quite fragmented. Expectations are that, as in the United States, this consolidation trend will continue in the near future. For exporters in developing countries, the consolidation trend should not only be seen as a threat. While consolidation leads to fewer players and more power on the buying side (higher volumes and more pressure on prices), branch experts consider the trend an opportunity for those players who dare to take risks and focus on niches and specialty markets. Smaller European importers who have followed this strategy have shown they can survive very well. This is where opportunities for exporters in developing countries arise. Distribution of office & school supplies differs per user segment

The distribution structure for office & school supplies differs quite substantially per user segment, largely due to differing needs. The large Professional users put prime importance on low prices, full ranges of good quality products and the need for office products supply contracts. The needs of larger Professional users with more than 100 office workers are primarily met through contract stationers and, to a lesser extent, through direct sales from wholesaling distributors with good logistics. Medium-sized Professional users (10 to 100 office workers) are often supplied by wholesalers, office supply dealers, superstores and mail-order companies. There can, however, be a certain overlap between the distribution channels used to service medium sized and large professional users and, even in relation to larger customers, the big contract stationers can occasionally face a degree of competition from smaller regional dealers. Schools and Universities generally have their own specific suppliers. These so-called school suppliers are under increasing pressure from other suppliers, who are increasingly targeting their marketing efforts at the educational sector. SoHo users primarily rely on suppliers capable of delivering small orders rapidly. SoHo and Private users, including scholars, students and families, typically use a variety of distribution channels, among which superstores, hypermarkets, department stores and mail order. Branch blurring

Traditionally, the distribution between the different user segments was quite distinct (see also Figure 3.1 on the previous page). The borders are however fading. Office Depot and Staples, traditionally serving small and medium-sized companies, have introduced multi channel strategies, thus are steadily shifting towards serving large Professional users through “contract stationing” support with e-commerce. On the other hand, Corporate Express (Buhrmann) a contract stationer is eyeing small and medium-sized companies, by means of their specially designed web shops, Maxwebshop (http://www.maxwebshop.nl/). As distribution companies look for new areas for growth, the webshop trend is forecast to continue, fuelled by e-commerce and the growing SoHo market. As can be seen in Figure 3.1, European stationery distribution is complex, with each intermediary having its distinct characteristics and serving a specific customer group. Some intermediaries purchase an assortment of products from various suppliers and then add value by storing, breaking bulk, and adding services (e.g., credit, delivery, etc.) during the resale process. In some situations, product transformation may take place, especially in packaging and in the image of the product, which may be enhanced by in-store promotion. Note that, next to consumer characteristics, the product, market and country characteristics also partly determine the distribution of stationery to the end user. Exporters in developing countries need to identify which players in the supply chain give them the best access to the end user segment(s) their products are aimed at.

CBI MARKET SURVEY:



of 51

3.1 Trade channels

There are several different types of trade channels which take stationery products from manufacturers to the end users, each with a slightly different role. Publishers

Besides designing their own stationery, publishers – sometimes also known as marketing companies - are also active in the development and marketing of licensed stationery. They make use of the intellectual property of other companies to help sell their products. Through a licence agreement with the holder of the intellectual property rights of a brand, trademark, patent, character, etc., the company is authorized to make use of the property right under certain defined circumstances. The company has to pay a fee when making use of the intellectual property of another company. One of the largest stationery licensors in the world is Disney. The publishers mostly concentrate on the design and the marketing aspects of the products, outsourcing the production of their stationery to manufacturers in low-wage countries, but manufacturers in Europe are also important sourcing locations, because of the shorter supply lines. European manufacturers, however, are finding it increasingly difficult to compete. Licensing is frequently used in the stationery market, especially for stationery aimed at children, scholars and students. In the back-to-school periods, retailers who sell stationery will offer different stationery ranges with the names of popular brands, for example O’Neill and Coca Cola. Cartoon characters like Winnie the Pooh and Mickey Mouse are also popular. The number of licensed products has increased considerably over the past few years. In 2008, even in a small country like the Netherlands over 200 different licensed products were available to the end users. In a market that is not growing this leads to relatively smaller production volumes per item/licence. This may be considered an opportunity for small and medium sized manufacturers in developing countries. Still, there is a room for larger suppliers of licensed stationery. Another important trend in this business with licensed products is the improvement of materials used by developing countries’ manufacturers. Although most stationery sets in China are made for OEM (original manufacturers, not resellers) and ODM (Original Design Manufacturer) clients, many suppliers are increasing production of models that carry their in-house brands. At some companies in China, OBM (Original Brand Manufacturing) takes up one-third of exports. While suppliers (DC producers and exporters) are working on strengthening their in-house brands, they are also continuing to improve production of licensed designs for companies such as Disney and Sanrio. These buyers require non-toxic materials that can be formed into innovative shapes. To meet this requirement, suppliers are also allocating part of their R&D expenditure to material sourcing. Agents

Agents are intermediaries who have the legal authority to act on behalf of the manufacturer, although they do not take legal title to the product. Their prime function is to bring buyer and seller together and act as an intermediary between them. The agent receives a commission from the manufacturer. The level of commission depends on a number of factors, including the turnover rate of the product concerned. Roughly speaking, an agent’s commission generally ranges between 3 and 10% of turnover. Most agents represent more than one manufacturer, although they usually try to avoid acting for competing companies. Agents usually have a good knowledge of distribution structures and consumer behaviour. However, working with an agent decreases manufacturers’/exporters’ margins and well-developed contractual agreements should be signed to protect each party’s interests. Thus, manufacturers who choose to work with agents are strongly advised to evaluate carefully the pros and cons of agents before choosing this channel! Buying Groups

The role of buying groups is very important in the market for stationery, office & school supplies. Buying groups are individual dealers/wholesalers/retailers who cooperate as a single buying and marketing force. A buying group will have a central buying department and most of them hold inventory so that the group also acts as wholesaler and distributor. Nowadays

CBI MARKET SURVEY:



of 51

buying groups usually also provide the independent shops (members) with marketing facilities. The groups often organise joint promotional activities and develop shop formulas (franchised). The presence of strong buying groups can make life difficult in pricing terms for shops and dealers outside a group, because of the competitive prices these groups are able to secure for their members. Discounts can run to more than 30%. Membership of such a group by an individual company offers the opportunity to source around 70-90% of its stationery requirements, depending on the buying group, at a considerable discount. The original function of the buying groups was to reduce costs by centralising buying, logistics, warehousing, distribution and marketing. One of the largest buying groups in the world is the Business Products Group International (BPGI), an umbrella group which coordinates the buying for other buying groups. In essence it can be considered as a “group of groups”. Today, the group comprises 24 buying groups, combining the buying power of 3692 dealers worldwide, with end-user sales of USD 14 billlion. An organisation like BPGI would, for most exporters in developing countries, not be an interesting party yet, since this player requires considerable production capacity and a well-developed logistics system. Individual buying groups belonging to BPGI however may be of interest, especially for private-label products. Importers/ Wholesalers

Generally the importer/wholesaler distributes stationery to all sorts of retailers, from independent stationery shops to contract stationers. In addition to their primary tasks of buying and selling, managing import and export formalities, and holding stock, they can supply considerable information and guidance to a manufacturer. Developing a successful working relationship with your importer/wholesaler can lead to a high level of teamwork, and provide you with appropriate designs and information on the latest market trends, use of materials and quality requirements. Most importers/wholesalers offer extensive office & school product ranges, which can range up to 20,000 articles. Importers/wholesalers do not normally deal with end-users but mainly with other intermediaries, usually retailers or office supply dealers. The importer/wholesaler purchases from manufacturers and takes legal title to the products, as well as taking physical possession of them. He stocks at his own risk. The wholesaler’s margin – calculated as percentage of the retail selling price exclusive of VAT amounts to 23-30%. Private-label makes up a large share of the turnover of an importer/wholesaler. Besides a better margin, private-label stationery also offers the importer/wholesaler the opportunity to create his own brand loyalty with his customers. Also for the retailers, private-labels tend to fetch a higher margin than selling only branded stationery. Contract stationers

Contract stationers are involved in business-to-business sales of stationery, computer supplies, office furniture, and similar products. Contract stationers usually supply medium and large professional users. The latter however generally account for the lion’s share of their business. Large professional users like multinationals buy large quantities of stationery through a contract purchasing system where the contract stationer gives a very high level of service, like same day delivery, customized delivery and low prices, in return for a large volume of business. In addition to providing competitive prices on high-usage items, contract stationers often agree to provide customers with a stockless inventory system, information about purchase and use patterns on a regular basis, and special services designed to facilitate ordering and payment. Contract stationers source most of their stationery directly from the manufacturers; however agents and importers are also used. Business is generally conducted via salespeople, catalogues, and the internet. Large professional users generally have a written contract with the contract stationer. Like the wholesalers, contract stationers are increasingly introducing private-label products, generally sourced from low-cost locations in Asia and Eastern Europe. This channel offers opportunities for manufacturers in developing countries able to provide medium to large volumes of good quality at competitive prices. School suppliers

Schools and universities are generally supplied by distributors who specifically aim their product range at these users. As noted earlier, schools & universities are subsidised by the

CBI MARKET SURVEY:



of 51

government, and generally receive a yearly budget per student or scholar. However, due to increasing pressure on this funding, schools and universities are encouraged to look beyond their conventional supply channels. An increasing number of schools & universities are sourcing from commercial wholesalers, because of the cost benefits associated with them, at the expense of their traditional suppliers. When supplying to schools, especially schools with younger children, one should note that there are extremely strict product regulations. Information can be found on the website of the educational trade associations of the individual countries. CE marking is essential for products used or likely to be used by children. Retail Channels

Branch blurring & new shop formats

In the last 15 years, the European stationery market has undergone a lot of changes, as an increasing share of products is sold through foreign retail chains. The traditional retail formats are under pressure from new formats. Super- & hypermarkets nowadays offer a wide range of stationery. Formats, like grocery multiples (selling groceries), comparison stores (selling books, films, music), department stores (shopping centres/malls) and e-commerce have moved into the stationery market, too. Retailing/shops:

Stationery & office supplies sell through many different types of shops, as shown in Figure 3.1: stationery & office supplies shops, bookshops, toy shops, multi-product & fair trade shops, card & gift shops and in shops for hobby & artists’ materials. Which shops are most relevant will depend on the product group. E.g. wax crayons will sell through stationery shops and hobby/artists’ material shops, but – most likely in a different quality – also in toy shops, whereas paper-clips will sell mainly through stationery / office supplies shops. The independent stationery retailers mostly sell to private users and, to a lesser extent, to SoHo users. Until recently they have lost ground because of the increasing competition of mail order firms, department stores, office superstores and hyper- and supermarkets. However, it is estimated that this trend has now diminished or even stabilized, although independent retailers will probably see a further decline in their market share. The independent stationery retailers find it difficult to compete with the large product ranges and competitive pricing offered by the other formats. The shop size of independent retailers is around 200-300 square metres whereas the size of office superstores can range up to 5,000 square metres. Because of their small size, independent retailers are obliged to source their products mainly from wholesalers or buying groups. Franchised and chain-owned shops are becoming increasingly important, being able to take advantage of joint promotional power. Like their independent counterparts, franchise shops and company-owned chain shops mainly serve private and SoHo users. Both franchise and company-owned chain shops benefit from the brand recognition of the franchise or chain. Both formulas centralise buying, promotional activities and logistics, which leads to a better negotiating position and therefore more competitive pricing. The franchise and retail chains source their assortment from buying groups, publishers, agents, importers/wholesalers and to a lesser extent, directly from the manufacturer. Discounters are usually chains of shops that often operate from low-rent locations. Low-price with no-frills is the most important driver in this concept. This format has become an important market player in the past decade. However, increasing numbers of end users are turning to more quality products again. The discount market however has grown big and for the time being will remain important in stationery distribution. Department stores

Department stores provide the consumers with an opportunity to buy a wide range of products under one roof. They use stationery products to complete their assortment and profit from the relatively high margins compared to the other products they sell. Department stores often sell stationery on a “shop within a shop” basis. Most department stores offer a wide range of both

CBI MARKET SURVEY:



of 51

branded and private-labelled stationery. They are mostly situated in the mid- and or high-priced segment of the stationery market. They specifically target their products at the private user but some also specifically target the SoHo segment. The back-to-school period is a very important time for department stores selling stationery. In this period department stores often offer different lines of stationery specifically aimed at children, scholars and students. Publishers are therefore important suppliers of department stores. Most department stores are members of chains and have a centrally organised buying department. In addition to publishers, agents and importers/wholesalers are generally the main suppliers. Direct sourcing from the manufacturer is also found, but this varies strongly per company. Super- & hypermarkets

Super- & hypermarkets are increasingly tapping into the stationery market. The influence of cheap imports from Asia and Eastern Europe has increased the possibilities for these formats to sell stationery in their outlets at competitive prices. Supermarkets mostly offer a limited range of stationery, such as tape, pencils, pens, writing pads and greeting cards, and these products are often positioned as distress and impulse products. Hypermarkets sell a more comprehensive range of low-priced stationery. The size of a supermarket can range up to about 2,500 square metres and a hypermarket generally covers more than 5,000 square metres. The super- & hypermarkets generally serve private as well as SoHo users, who like to combine shopping for different consumables (one-stop shopping). Both supermarkets and hypermarkets are therefore allocating more and more shelf space to non-food articles like stationery, compact discs and tableware, mainly because non-food products offer better margins than the standard grocery lines. Super- and hypermarkets nowadays offer a greater selection of cheap private-labelled stationery, as well as temporary discounts on branded products. The hypermarkets are mostly located on industrial areas, where property prices are generally lower than in the normal shopping areas. As for department stores, the back-to-school period is the most important selling period. It is expected that the importance of super- and hypermarkets as a selling point for stationery will continue to increase. Hypermarkets do buy directly from manufacturers, also from developing countries. Mail-order

Mail-order companies in general serve private and SoHo users and individuals within larger companies who make discretionary purchases for themselves or their departments. Mail-order companies generally send illustrated catalogues of their merchandise to prospective customers, who can do their shopping at home or at the office, rather than visiting a store. All that has to be done is to fill out an order form and mail it or place the order by telephone or via the internet and the product(s) are sent to the customer’s home or office, sometimes within 24 hours. Mail-order companies operate mainly in the low and middle ranges of price, quality and design. The mail order companies source their product assortment from wholesalers and sometimes directly from the manufacturer, depending on the volume and type of the business. A notable development is that an increasing number of branch-related companies (operating in a different field of business) are starting to sell stationery next to their traditional range of products. Web shops

The growing e-commerce market has triggered a rise in the importance of this channel as a distribution channel for stationery, and an increasing number of other stationery distributors now offer the opportunity to order products through the internet. Most retailers and suppliers nowadays have their own websites, on which customers can order their products. The web shop therefore acts as an additional marketing tool and sales outlet. Customers tend to use the internet to gather information on stationery prices and products, while actual sales through the internet are small but increasing, especially in electronic office supplies, books, specialist hobby and artists’ materials, printer toner and ink cartridges. It is forecast that these sales will increase, especially in the business-to-business market (SoHo and professional users) and

CBI MARKET SURVEY:



of 51

particularly for repeat purchases. The ever-growing penetration of the internet and PC’s in homes and offices will be the main growth driver for web shops. Superstores

The superstore is a relatively new concept in the European stationery distribution landscape, “imported” from the United States, but has become a regular feature in most EU markets. Superstores are specialised cash & carry stores, typically located in suburban and industrial areas. The size of a superstore can range up to 3,000 square metres. In 2004, superstores together with mail-order companies accounted for 11% of stationery sales in the reviewed countries. This percentage is expected to rise in the future, but not as fast as in the past ten years. As the penetration of superstores is expected to increase, it will drive more and more conventional retailers out of business. Superstores generally aim at the SoHo and the medium-sized professional users, focussing on price, differentiated qualities (usually not the cheapest or lowest quality level), and the one-stop shopping concept. Office supplies dealers

The independent office supply dealers sell stationery, school & office products, furniture and office equipment. Like the contract stationers, they are involved in the business-to-business sales. Contract stationers, to be defined as such, should be national office product dealers and generate at least two-thirds of their sales from corporate clients. Thus, contract stationers generally serve the large professional companies, the independent office supply dealers typically serve SoHo users, smaller and medium-sized companies. Many independent office supply dealers have united to cope with the increased competition of other formats, forming into buying groups. Direct supply

By direct supply is meant the direct sale from the office product manufacturer to the end-user. Direct supply accounted for a market share of 10% in 2004. This option is generally only open to large professional users. Even though manufacturers generally prefer customers to use intermediaries like wholesalers, some manufacturers are willing to supply customers directly when the price is right. The ideal situation for a manufacturer is to make large weekly deliveries to only a few wholesalers. This enables the manufacturer to carefully plan its logistics and keep service costs down. Especially in Electronic Office Supplies (EOS), such as laser and inkjet printer cartridges, office paper (for example A4 paper) and transparencies, direct supplies are provided, often by the manufacturers of business machines using such consumables, like Hewlett-Packard, Canon and Xerox, or by specialist paper merchants. Distribution channels with opportunities for exporters in developing countries

Traditionally, exports deriving from developing countries transit through a set of intermediaries like agents, importers/wholesalers and buying groups, discussed in the previous paragraphs, who in turn market the stationery to other intermediaries like wholesalers or retailers. These long distribution lines are mostly caused by the distance between the exporter and his export market and, in most cases, the relatively small size of the production in developing countries. Most of the intermediaries discussed above can be of interest for manufacturers in a developing country. DC exporters need to be aware that there is still a major difference between Eastern and Western Europe. The channels in Western Europe are well developed. In Eastern Europe one may still find relatively shorter “lines” and added value manufacturers in developing countries may be valued/perceived more highly in Western Europe, where the distribution channels are more mature and developed. The optimal trading partners will have to be chosen based on a well-founded SWOT analysis by each individual manufacturer in respect to the country in question. The most important types of trading partners will be discussed briefly in the next section of this paragraph. See also Figure 3.1, for the different trade flows. The selection of distribution channels below is based on their relative importance for DC exporters compared to the other channels. The players are not ordered according to relevance,

CBI MARKET SURVEY:



of 51

which varies with the size and level of economic development in the selected country in the EU.

Agents

An agent is an intermediary who does not hold stocks. The agent may serve as an intermediary between the manufacturer and the wholesaler or retailer, receiving a commission from the former. An advantage for developing country exporters is that the agent normally has a very good network of potential customers and DCs can gain access to a broad range of distribution possibilities through an agent that knows his/her way in complex trade channel networks. On the other hand, the exporter will have to give up part of his margin to the agent. Also, the exporter will have to realize that the agent also works on behalf of other parties, and will not be able to give all his attention to the exporter’s products. It will be necessary to conclude a contract and the exporter should take care to ensure that his interests are protected. Exporters are advised to evaluate the pro’s and con’s very well before entering into this type of business relationship and to consider taking legal advice. Importers/ wholesalers

Importers are familiar with local markets, usually have a wide base of customers and can supply considerable information and guidance to the overseas manufacturer, such as over the handling of import and export procedures and the holding of stock, in addition to the primary business of buying and selling. Buying Groups

Buying Groups are multi-functional, they source stationery on behalf of their members, keep stock, take care of distribution and, if required, of joint marketing activities. Their private-label products have developed into a very important part of their business, these products often being sourced in low cost countries. Buying groups offer opportunities for larger volumes, if those can be reliably provided. Generally, they are also involved and have access to private-label production contracts. Retailers

Some retailers – including chains of department stores - do import directly from manufacturers in low cost countries. One advantage for exporters is that for the retailers, private-label products tend to generate a higher margin than branded products. Contract stationers and Office supplies dealers

The contract stationers purchase their stationery in a highly centralized way, mainly directly from the manufacturers. Moreover, they supply a large corporate client base in each country and quality and speed are a must in their business. In this sense, they might be a suitable partner for the developing country manufacturer with more experience and higher capacity. On the other hand, Office supplies dealers selling on a smaller scale might be an appropriate party for business with DCs. How to find the “road” to the end users?

Taking Figure 3.1 at the start of this chapter, try to find out the road(s) from the end-users (market) all the way back to the manufacturer. Perform the following steps per country and for all potential market segments in each country in order to try to find the road(s) for your specific stationery product (line): 1. Determine in what market segments the products are marketed and sold; then perform the

next steps for each segment. 2. Where do the end-users buy your type of products? If it appears end-users buy at different

types of sales channels, repeat all the next steps for each type of sales channel. 3. Where do the company/ies where the end-users buy your type of products buy these

products? 4. Do these companies import themselves? If yes, the company may be a potential trading

partner. If not, which companies play the importing role and could be a potential trading partner, in that specific situation?

CBI MARKET SURVEY:



of 51

5. Determine the role/function of all companies that play a role (importing / stock-keeping / distributing / marketing) along the road from end-users to manufacturer

3.2 Price structure

In earlier days, in the so-called “product driven economy” the manufacturer would calculate his production cost, add the desired profit margin and quote the resulting price to his potential buyers (the “cost-plus” method). Nowadays in the so-called “market driven economy” manufacturers realize that they and their (potential) buyers/trading partners do not determine the price levels on their own. The price levels in the entire supply chain are for the major part ‘determined’ by the end-users and the market: “How much are they willing to pay for the product?“. Due to the fact that the price which the end-user is willing to pay is determinant, it is of utmost importance for all players in the chain to know the end-user prices* (please see paragraph “*Knowledge of end-user prices”). The end-user prices are often called Retail Selling Prices (RSP) as that price is what all players in the entire chain will have to “divide” among themselves for the work they do: retailing, marketing, distribution, wholesaling, importing, transportation. They also have to bear in mind that sufficient money should be left to cover production costs plus, of course, the manufacturer’s profit. After the intermediaries’ (players standing between end-user and manufacturer) average margins are determined as a percentage of the RSP, it is possible to calculate the estimated FOB selling price. This will enable exporters to estimate their possible profit margin knowing the cost of inland transportation, loading and manufacturing. The table below provides an example on how you can do the estimation calculation for the traditional route of a product to the end user. Figure 3.2 Overview of margins

Retail Selling Price inclusive of V.A.T.** (20%) € 2.47

V.A.T.** 20% € 0.41

Retail Selling Price exclusive of V.A.T. € 2.06

Margin retailer (average) 38% over 2.06 € 0.78

Purchase price retailer € 1.28

Margin importing wholesaler 28% over 2.06 € 0.58

Purchase price importing wholesaler – in house € 0.70 120%

Import & transportation cost 20% over FOB value € 0.12 20%

Estimated backward calculated feasible FOB price € 0.58 100%

V.A.T.** rates vary for the different EU countries. To find the currently applied V.A.T. rates per country please visit http://ec.europa.eu/taxation_customs/taxation/vat/how_vat_works/rates/index_en.htm For a further explanation of terms such as FOB we refer to the Incoterms 2000 – International commercial terms of delivery http://www.arcelorlogistics.com/Refonte/images/Incoterms/Tableau-Incoterms-2000-Angl.gif The margins which are indicated for the different players in the chain are averages. They may vary per product, product group or negotiating power of the players and could be subject to change. For example margins for the product group “greeting cards” could be higher due to the seasonal character of this product – they are mainly used in the Christmas period so there is a retail margin risk in holding stock. The calculated 20% for import & transportation costs are averages too. Please be aware that the percentages given in this sample calculation might be subject to great variation for different reasons such as type and availability of product, channel of distribution, market location, duties in different countries etc. If your products are subject to import (customs) duties you have to add these duties in the above calculation as in this example no import duty costs are included. Normally the import duty tariff for products under code groups 9608, 9609 such as ball point pens, pencils, markers etc. is between 2-4% for third country origin and for products under code groups

4.3

CBI MARKET SURVEY:



of 51

4820 such as cardboard folders, binders etc. is 0%. Iinformation on duties for specific products can be found at http://ec.europa.eu/taxation_customs/dds/cgi-bin/tarchap?Lang=EN – it is a direct link to a particular item where an exporter can find the exact import duty in the EU for it, while the link in Chapter 5 “Market access requirements” gives general information for tariffs and quotas. Referring to the table above, it is important to realize that the example multiplier (4.3) which gives an easy calculation method backwards from the RSP to the estimated FOB price, may vary as well. In general, the multiplier can range between 4 and 6, but sometimes even rise to 8 or 10. *Knowledge of end-user prices

Desk (mainly internet) research as well as field research (shopping in the market place and visiting trade fairs) are of the utmost importance in tracing up to date RSP’s. CBI’s Export Coaching Programs usually facilitate these activities to their participating companies at the beginning of the programs during a seminar in Holland, which is often combined with trade fair and shop visits. Please note that RSP’s for the same or similar products may vary in the different EU countries. In the EU office and school supplies industry for example the RSP’s in the UK and Scandinavia are in general higher than in the other European countries. The Netherlands for example is in general a market where RSP levels may be considered to be at quite keen levels.

3.3 Useful sources

• Soennecken – http://www.soennecken.de • Spicers - http://www.spicers.net • Interaction – http://www.interaction-connect.com • Euromonitor - http://www.euromonitor.com • MPA International - http://www.mpainternational.com • Iplusc - http://www.iplusc.com • Datamonitor - http://www.datamonitor.com

CBI MARKET SURVEY:



of 51

4 Trade: imports and exports 4.1 Total EU imports

In this chapter “Total EU Imports” does not mean imports into the EU from countries outside the EU but means total imports by individual EU countries, including recorded imports from other EU countries. Total EU imports amounted to € 12 billion in value in 2008. In comparison to 2004, imports have increased by 17.9%. Total EU imports increased by 4.2% on average annually in terms of value in the period 2004-2008. Imports from developing countries have grown by 10.3% (average) annually, since 2004. The share of imports from developing countries grew from

10.4% in 2004 to 20.1% in 2008. This indicates a significantly larger growth in imports from DCs than imports from Intra-EU and Extra-EU (excl DC) countries. The largest exporter to other EU countries is Germany, accounting for 19.5% of total imports. Germany is followed by China (15%), Italy (7.7%), France (7.6%), the Netherlands (6.6%), and the United Kingdom (5.6%). Table 4.1 shows the total imports by EU countries from 2004 to 2008, in value and volume. This table is followed by product group specific import figures, in Tables 4.2 - 4.9. Table 4.1 EU Imports of stationery, office and school supplies sector

2004-2008, € million / 1,000 tonnes

2004 2006 2008 Average

annual % change in value

Value volume value volume value volume

Total EU 10,183 3,379 11,479 3,504 12,004 3,636 4,2%

Intra-EU 7,497 2,529 8,278 2,596 8,479 2,621 3,1%

Extra-EU ex. DC* 1,054 279 1,071 192 1,113 202 1,4%

Developing countries 1,631 571 2,131 716 2,412 813 10,3%


* Developing Countries 4.2 EU imports per product group

Paper-based products

In 2008, EU paper-based items imports were worth € 3.1 billion. As shown below in Table 4.2, paper-based item imports experienced a 19.7% increase in value during the period 2004 – 2008. This increase is largest in imports from developing countries, which rose by 44.8%, in total. Intra-EU imports increased by 16% in total, while Extra-EU (excl. DC) imports saw a modest increase of only 9% in total. While imports from developing countries are growing fastest, their share of total imports of paper-based items was only 18% in 2007. Extra-EU (excl. DC) imports took 8% of total imports and Intra-EU imports had the largest share, 75%. In 2008, the largest suppliers of paper-based items from within the EU were Germany, France, Italy, the United Kingdom, and the Netherlands. Among Extra-EU (excl. DC) countries, most imports came from the USA, Switzerland, Hong Kong, Taiwan and Norway. Among developing countries, China supplied by far the largest share of paper-based items to the EU, 12%. Other relatively important suppliers from developing countries were India, Turkey, Malaysia and Indonesia.

CBI MARKET SURVEY:



of 51

Table 4.2 EU imports and leading suppliers for paper-based items

2004 - 2008, share in % of value

2004 2006 2008 Leading suppliers to EU in 2008 Share

€ mln € mln € mln Share in % (%)

Total EU, of which from

2,562 2,834 3,065

Intra EU 1,975 2,173 2,292 Germany 20.1%, Italy 8.5%, France 8.4%, United Kingdom 7.2%, the Netherlands 5.9%.

75%

Extra EU ex. DC*

211 208 230 USA 2.2%, Switzerland 1.7%, Hong Kong 1.5%, Norway 0.5%, Taiwan 0.5%.

8%

DC* 375 453 543 China 12.2%, India 1%, Turkey 0.9%, Indonesia 0.8%, Malaysia 0.6%, South Korea 0.6%, Singapore 0.4%, Thailand 0.2%, Tunisia 0.2%, Vietnam 0.1%

18%

Source: Eurostat (2009) *Developing countries

Filing Products

In 2008, EU filing product imports were worth € 547 million. As shown below in Table 4.3, filing products saw an increase in imports in Euro value throughout 2004 – 2008, of 34.7% in total. The increase in imports was largest in imports from developing countries, which went up by 94.1% in total. Intra-EU imports increased by 25.7% in total and Extra-EU (excl. DC) also witnessed an increase, of 46.7% in total. While imports from developing countries are growing the fastest, their share of total imports of filing products was only 18% in 2008. Extra-EU (excl. DC) imports took 4% of total imports and Intra-EU imports had the largest share, 78%. In 2008, the largest suppliers of filing products from within the EU were Germany, the Czech Republic, Poland, France and the UK. Among Extra-EU (excl. DC) countries, most imports came from Switzerland, Hong Kong and the USA. Among developing countries, China supplied by far the largest share of filing products to the EU, 12.1%. Other relatively important suppliers from developing countries were Malaysia, Tunisia, Turkey and Indonesia. Table 4.3 EU imports and leading suppliers for filing products




Total EU, 406 463 547

of which from

Intra EU 339 371 426 Germany 18.9%, the Czech Republic 8.9%, Poland 7.8%, France 7.4%, the UK 6.7%.

78%

Extra EU ex. DC*

15 20 22 Switzerland 1.9%, Hong Kong 0.8%, USA 0.7%, Norway 0.2%, Taiwan 0.1%.

4%

DC* 51 72 99 China 12.1%, Malaysia 2.2%, Turkey 1.2%, Tunisia 0.7%, Indonesia 0.6%, Egypt 0.5%, Nepal 0.1%, Thailand 0.2%, India 0.2%, Croatia 0.1%, Philippines 0.1%.

18%


Storage Products

In 2008, EU storage product imports were worth € 175 million. As shown below in Table 4.4, storage products saw a decrease in imports in Euro value throughout 2004 – 2008, of 2.8% in total. The decrease in imports was considerable in imports from developing countries, which

CBI MARKET SURVEY:



of 51

went down by 15.6% in total. Intra-EU imports increased by 6.4% in total while Extra-EU (excl. DC) also witnessed a severe decrease of 28.6% in total. The share of storage products imports from developing countries was 31% in 2008. Extra-EU (excl. DC) imports took 3% of total imports and Intra-EU imports had the largest share, 66%. In 2008, the largest suppliers of storage products from within the EU were Italy, the Netherlands, Slovenia, Germany and Austria. Among Extra-EU (excl. DC) countries, most imports came from Taiwan, Switzerland, Hong Kong and the USA. Among developing countries, China supplied by far the largest share of storage products to the EU, 20.7%. Other relatively important suppliers from developing countries were India, Thailand, Turkey and Tunisia. Table 4.4 EU imports and leading suppliers for storage products




Total EU, 180 168 175

of which from

Intra EU 109 104 116 Italy 12.5%, the Netherlands 11.2%, Slovenia 10.9%, Germany 7.7%, Austria 4.9%.

66%

Extra EU ex. DC*

7 7 5 Taiwan 1%, Switzerland 0.6%, Hong Kong 0.6%, USA 0.4%, Norway 0.1%.

3%

DC* 64 58 54 China 20.7%, India 7.7%, Thailand 2%, Turkey 0.2%, Tunisia 0.1%, South Korea 0.1%, Malaysia 0.1%, rest are less than 0.1%.

31%


Writing and Drawing Instruments

In 2008, EU writing and drawing instruments imports were worth € 2.0 billion. As shown below in Table 4.5, writing and drawing instruments have seen an overall increase in imports in Euro value throughout 2004 – 2008, of 12% in total. The increase in imports was largest in imports from developing countries, which went up by 35.5%, in total. Intra-EU imports increased by 10.8% in total, and Extra-EU (excl. DC) saw a decrease of 13% in total. While imports from developing countries are growing the most, their share of total imports of writing and drawing instruments was only 29% in 2008. Extra-EU (excl. DC) imports took 15% of total imports and Intra-EU imports had the largest share, 57%. In 2008, the largest suppliers of writing and drawing instruments from within the EU were Germany, France, the United Kingdom, Italy, and the Netherlands. Among Extra-EU (excl. DC) countries, most imports came from Japan, Switzerland, the USA, Taiwan, and Hong Kong. Among developing countries, China supplied by far the largest share of writing and drawing instruments to the EU, 23%. Other relatively important suppliers from developing countries were India, South-Korea, Malaysia and Mexico.

Table 4.5 EU imports and leading suppliers for writing and drawing instruments




Total EU, 1,710 1,872 1,915

of which from

Intra EU 977 1,073 1,083 Germany 19.8%, France 8.4%, Italy 5.4%, UK 4.7%, the Netherlands 3.9%.

57%

Extra EU ex. DC*

330 275 287 Japan 7.1%, Switzerland 3.8%, the USA 1.6%, Taiwan 1.3%, Hong Kong 1%.

15%

CBI MARKET SURVEY:



of 51

DC* 403 524 546 China 23%, India 1.3%, Mexico 0.7%, South Korea 0.7%, Malaysia 0.6%, Indonesia 0.4%, Thailand 0.4%, Tunisia 0.3%, Brazil 0.3%, Vietnam 0.2%.

29%


Presentation and Planning Materials

In 2008, EU presentation and planning materials imports were worth € 116 million. As shown below in Table 4.6 presentation and planning materials have seen an overall increase in imports in Euro value throughout 2004 – 2008, of 63% in total. The increase in imports is largest among imports from developing countries, which went up by 212%, in total. Intra-EU imports increased by 48% in total and Extra-EU (excl. DC) imports also witnessed an increase, of 50%. While imports from developing countries are growing the most, their share of total imports of presentation and planning materials was still only 31% in 2008. Extra-EU (excl. DC) imports took 2% of total imports and Intra-EU imports had the largest share, 67%. In 2008, the largest suppliers of presentation and planning materials from within the EU were the Netherlands, Portugal, Germany, the Czech Republic and Belgium. Among Extra-EU (excl. DC) countries, most imports came from Hong Kong, the USA and Taiwan. Among developing countries, China supplied by far the largest share of presentation and planning materials to the EU, 28%. Other relatively important suppliers from developing countries were Indonesia, Turkey and Vietnam.

Table 4.6 EU imports and leading suppliers for presentation and planning

materials 2004 - 2008, share in % of value



Total EU, 71 93 116

of which from

Intra EU 52 68 77 the Netherlands 13.1%, Portugal 12.4%, Germany 9.6%, Czech republic 4.8%, Belgium 4.6%.

67%

Extra EU ex. DC*

2 3 3 Hong Kong 0.5%, the USA 0.5%, Taiwan 0.5%, Japan 0.3%, Switzerland 0.3%.

2%

DC* 17 23 36 China 28.1%, Indonesia 1.1%, Turkey 0.9%, Vietnam 0.3%, Malaysia 0.3%, India 0.2%, Thailand 0.1%, Belarus 0.1%, Pakistan 0.1%, Jordan 0.1%.

31%


Office and Desk Accessories

In 2008, EU office and desk accessory imports were worth € 3.4 billion. As shown below in Table 4.7 office and desk accessories have seen an overall increase in imports in Euro value throughout 2004 – 2008, of 11.3% in total. The increase in imports is largest among imports from developing countries, which went up by 46%, in total. Intra-EU imports increased by 7.4% in total and Extra-EU (excl. DC) imports increased by 15%. While imports from developing countries are growing the most, their share of total imports of office and desk accessories was only 11% in 2008. Extra-EU (excl. DC) imports held 11% of total imports and Intra-EU imports had the largest share, 78%. In 2008, the largest suppliers of office and desk accessories from within the EU were Germany, the Netherlands, France, Italy and Belgium. Among Extra-EU (excl. DC) countries, most imports came from Switzerland, the USA, Japan, and Taiwan. Among developing countries, China supplied by far the largest share of office and desk accessories to the EU, 8%. Other relatively important suppliers from developing countries were Turkey, South Korea, Egypt and Pakistan.

CBI MARKET SURVEY:



of 51

Table 4.7 EU imports and leading suppliers for office and desk accessories




Total EU, 3,091 3,441 3,440

of which from

Intra EU 2,503 2,769 2,688 Germany 24.9%, the Netherlands 9.6%, France 8.9%, Italy 6.1%, Belgium 6.1%.

78%

Extra EU ex. DC*

339 366 389 Switzerland 5%, USA 3.6%, Japan 1.2%, Taiwan 0.8%, Hong Kong 0.2%.

11%

DC* 249 306 363 China 8.2%, Turkey 0.5%, South Korea 0.3%, Egypt 0.3%, Pakistan 0.2%, Malaysia 0.2%, India 0.1%, Vietnam 0.1%, Thailand 0.1%, Argentina 0.1%.

11%

Source: Eurostat (2009) *Developing countries Greeting Cards

In 2008, EU greeting card imports were worth € 392 million. As shown below in Table 4.8 imports of greeting cards have been volatile in Euro value throughout the period, although 2008 imports were up 13% compared to 2004. The increase is large and stable in imports from Extra-EU (excl. DC) countries, which went up by 40%, in total. Intra-EU imports decreased by 14% in total, and developing countries imports increased by 52%. Imports from developing countries are growing the most and their share of total imports of greeting cards was the largest, 43%, in 2008. Extra-EU (excl. DC) imports accounted for 14% of total imports and Intra-EU imports accounted for the second biggest largest share, 42%. NB: This group together with cases and satchels are the ones where DCs have the strongest position

and a leading share. In 2008, the largest suppliers of greeting cards from within the EU were the United Kingdom, the Netherlands, Germany, Belgium, and France. Among Extra-EU (excl. DC) countries, most imports came from Hong Kong, Switzerland, the USA, and Israel. Among developing countries, China supplied by far the largest share of greeting cards to the EU, 40%. Other relatively important suppliers from developing countries were Indonesia, Turkey, Thailand and South Korea.

Table 4.8 EU imports and leading suppliers for greeting cards




Total EU, 346 417 392

of which from

Intra EU 194 196 166 The United Kingdom 11%, the Netherlands 7.8%, Germany 7.2%, Belgium 3.2%, France 2.9%.

42%

Extra EU ex. DC*

40 52 56 Hong Kong 6.6%, Switzerland 4.4%, USA 2%, Israel 0.6%, Taiwan 0.3%.

14%

DC* 112 169 170 China 40.1%, Indonesia 0.8%, Thailand 0.4%, Turkey 0.4%, South Korea 0.3%, Vietnam 0.3%, India 0.3%, Syria 0.2%, Sri Lanka 0.1%, Bangladesh 0.1%.

43%


CBI MARKET SURVEY:



of 51

Cases and Satchels

In 2008, EU cases and satchel imports were worth € 591 million. As shown below in Table 4.9 cases and satchels have seen an overall increase in imports in Euro value throughout 2004 -2008, of 42% in total. The increase in imports is largest in Intra-EU and developing countries imports, both of which went up by around 43% in total, while Extra-EU (excl. DC) imports remained flat over the review period. Unlike the other product groups, the Intra–EU imports share is not the largest (this is also true for greeting cards). Despite its large growth, Intra-EU imports amounted to only 39% of total cases and satchels imports, smaller than the share coming from developing countries, 56%. Extra-EU (excl. DC) imports took 4% of total imports. In 2007, the largest suppliers of cases and satchels from within the EU were Germany, Italy, Belgium, the Netherlands and France. Among Extra-EU (excl. DC) countries, most imports came from Hong Kong, Switzerland, the USA and Taiwan. Among developing countries, China supplied by far the largest share of cases and satchels to the EU, 45%. Other relatively important suppliers from developing countries were India, Vietnam, Tunisia and Turkey. Table 4.9 EU imports and leading suppliers for cases and satchels




Total EU, 417 534 591

of which from

Intra EU 161 194 231 Germany 6.8%, Italy 6.1%, the Netherlands 5.8%, Belgium 5.3%, France 4.8%.

39%

Extra EU ex. DC*

25 30 26 Hong Kong 2.1%, Switzerland 0.9%, the USA 0.7%, Taiwan 0.6%, Japan 0.1%.

4%

DC* 232 310 333 China 44.9%, India 4.2%, Vietnam 1.9%, Tunisia 1.8%, Turkey 1.5%, Thailand 1%, Morocco 0.2%, Moldova 0.2%, Indonesia 0.2%, Croatia 0.2%, Philippines 0.1% .

56%


Office Furniture

In 2008, EU office furniture imports were worth € 1.8 billion. As shown below in Table 4.10 office furniture has seen an overall increase in imports in Euro value throughout 2004 – 2008, of 25.8% in total. The increase in imports is largest in imports from developing countries, which went up by 209%, in total. Intra-EU imports increased by 18% in total, and Extra-EU (excl. DC) imports increased by 10.6%. While imports from developing countries are growing fastest, their share of total imports of office furniture was only 15% in 2008. Extra-EU (excl. DC) imports took 5% of total imports and Intra-EU imports have the largest share, 79%. In 2008, the largest suppliers of office furniture from within the EU were Germany, Italy, France, Sweden, and the United Kingdom. Among Extra-EU (excl. DC) countries, most imports came from Switzerland, the USA, Norway and Taiwan. Among developing countries, China supplied the largest share of office furniture to the EU, 8.4%. Other relatively important suppliers from developing countries were Turkey, Malaysia, Brazil, Indonesia and Croatia. Table 4.10 EU imports and leading suppliers for office furniture




Total EU, 1,400 1,656 1,761

of which from

CBI MARKET SURVEY:



of 51

Intra EU 1,187 1,330 1,400 Germany 17.1%, Italy 14.3%, Sweden 5.5%, France 5.3%, United Kingdom 4.8%.

79%

Extra EU ex DC*

85 111 94 Switzerland 1.9%, USA 1.6%, Taiwan 0.7%, Norway 0.4%, Canada 0.2%.

5%

DC* 128 216 267 China 8.4%, Turkey 4.2%, Malaysia 0.6%, Brazil 0.4%, Indonesia 0.3%, Croatia 0.2%, India 0.2%, Vietnam 0.1%, Belarus 0.1%, Serbia 0.1%, Oman 0.1%.

15%


4.3 The role of developing countries

Developing countries’ share of EU imports is steadily increasing. In 2008, EU imports from developing countries accounted for 20.1% of total imports compared with 16% in 2004, € 2.4 billion and € 1.6 billion in value respectively. Between 2004 and 2008, total imports from developing countries increased by 48% in value. China (15%) accounted for the major share of the EU’s total imports from developing countries in 2008. Many emerging countries have set up their own stationery industry, dedicated to low-priced exports. At the same time, many EU manufacturers have shifted their production to these countries, in order to combine their efficient and high-quality production systems with the low labour costs in these countries. This development has offered the local manufacturers in developing countries a chance to copy the new technologies and production systems. The share of EU imports from developing countries has increased considerably in most of the reviewed product groups. Developing countries took the following shares of total imports for 2008 among the eight product groups:

• cases and satchels 56% • greeting cards 43% • planning and presentation materials 31% • storage products 31% • writing and drawing instruments 29% • paper-based items 18% • filing products 18% • office furniture 15% • office and desk accessories 11%

In general, Intra-EU trade has the greatest percentage share of market, due to the proximity of the countries and the level of integration between them. Nevertheless, the developing countries’ share is expected to increase, due to the developments in the consumption of stationery products in the EU (for instance the trend towards non-labelled products). Looking at the individual countries, the import share of developing countries is stable or increasing in all the reviewed countries. Table 4.11 below shows the imports from developing countries for the EU countries for 2004 – 2008, in value and in volume. Imports per product group by individual member states are given in the CBI market surveys covering the markets in individual EU countries.

In 2008, the United Kingdom imported the most from developing countries, 26% of all imports (in value). Germany (16%), France (10%), Italy (9%), and the Netherlands (9%) followed in ranking. The countries in which the value of imports from developing countries has grown the most over the period 2004 – 2008 (in average annual percentage), are: • Slovakia 42% • Latvia 39% • Romania 25% • Slovenia 23% • Bulgaria 22% • Sweden 15%

CBI MARKET SURVEY:



of 51

• Ireland 14% • Denmark 13% • Belgium 13% • The Netherlands 13% • The Czech Republic 12% • Lithuania 15%

Table 4.11 Imports of stationery, office and school supplies sector from developing

countries 2004-2008, € million / 1,000 tonneS

2004 2006 2008 Average annual % change in value

value volume value volume value volume

Total EU 1,631 571 2,131 716 2,412 813 10,3%

United Kingdom 483 187 632 232 638 227 7,2%

Germany 261 81 315 89 397 117 11,1%

France 182 57 234 70 253 74 8,6%

Netherlands 136 49 186 61 222 76 13,0%

Italy 139 39 187 50 214 53 11,4%

Spain 100 36 127 45 149 57 10,4%

Belgium 82 27 124 40 134 50 13,1%

Poland 40 16 49 23 61 25 11,0%

Sweden 30 9 39 13 52 18 14,9%

Greece 28 10 35 14 43 18 11,7%

Denmark 25 9 35 12 42 14 13,4%

Romania 12 8 26 12 30 15 24,6%

Ireland 16 6 28 10 28 11 14,3%

Czech Republic 17 6 20 6 27 9 12,3%

Austria 16 7 16 6 21 7 6,4%

Slovakia 4 1 4 1 17 4 42,0%

Bulgaria 7 4 12 6 17 8 22,3%

Portugal 9 2 9 3 12 5 8,5%

Hungary 17 7 15 6 12 3 -8,8%

Finland 9 3 9 3 11 4 6,7%

Slovenia 4 2 7 4 10 4 22,7%

Latvia 2 1 4 2 7 5 38,7%

Cyprus 5 2 6 3 7 3 9,7%

Lithuania 4 2 5 3 7 3 12,1%

Estonia 2 1 2 1 2 1 2,1%

Malta 1 0 1 0 1 1 3,9%

Luxembourg 0 0 0 0 0 0 -23,4%


China is by far the biggest DC supplier to the EU, is on most cases the biggest DC supplier to EU countries and is expected to stay dominant in the coming years. In general, the opportunities for imports from developing countries are bright. There is not a single country where DC imports have decreased, although the major supplier to those countries is usually China. China is a fierce competitor and holds the major share in almost all of the product groups. In this sense, the dominance of China, with its cheap and competitive production, is a

CBI MARKET SURVEY:



of 51

definite threat for exporters from other developing countries. Imports per product group by individual EU country are given in the CBI sector surveys covering the market in those countries.

4.4 Exports

The same reservations as described in the previous chapters for the consumption, production and import trade statistics also apply to the export trade statistics in this chapter. Note that the export statistics discussed also contain exports to other EU countries.

Table 4.12 Exports of stationery, office and school supplies market of the European

Union 2004-2008, € million / 1,000 tonnes

2004 2006 2008 Average

annual % change in value

Value Volume value volume value Volume

Total EU 10,498 2,864 11,654 3116 12,429 3,276

4,3%

Germany 2,699 616 3,047 669 3,222 688

4,5%

Italy 1,319 379 1,534 404 1,781 426

7,8%

France 1,345 312 1,379 303 1,409 286

1,2%

United Kingdom 1,066 234 1,111 267 993 189

-1,7%

Netherlands 631 166 751 177 791 227

5,8%

Belgium 769 200 736 190 778 204

0,3%

Poland 289 175 391 247 480 237

13,5%

Spain 445 130 464 128 473 272

1,5%

Sweden 367 133 423 133 449 122

5,1%

Czech Republic 245 109 312 126 377 137

11,3%

Austria 289 70 300 68 361 71

5,7%

Denmark 340 124 367 118 358 92

1,3%

Ireland 210 18 180 19 152 14

-7,8%

Slovakia 38 17 106 37 148 47

40,4%

Portugal 85 29 106 39 140 46

13,4%

Hungary 70 29 76 33 105 41

10,8%

Slovenia 62 27 81 35 92 32

10,2%

Lithuania 36 16 48 20 67 26

16,4%

Finland 69 24 71 24 64 20

-2,1%

Estonia 37 16 56 23 59 29

12,0%

Romania 23 8 34 14 35 10

11,7%

Greece 21 18 27 20 33 20

12,5%

Latvia 10 6 23 14 27 24

26,7%

Bulgaria 17 7 17 8 23 14

9,0%

Luxembourg 9 1 9 1 10 1

1,7%

Malta 4 0 3 0 1 0

-27,4%

Cyprus 1 0 1 0 1 1 -3,8%

Eurostat (2009)

The EU countries are the leading exporters of stationery in the world, with Germany, Italy and France being among the world’s largest exporting countries. In 2008, total exports from EU countries were valued at € 12.4 billion. Between 2004 and 2008, EU exports grew by 18% and this trend will continue, probably not at the same pace and at the same levels but external

CBI MARKET SURVEY:



of 51

demand is recovering and neighbouring countries will engage in more intensive trade after the crisis is over. The following countries have increased their exports by more than 10% annually, since 2008:

• Slovakia 40% • Latvia 27% • Lithuania 17% • Poland 14% • Portugal 13% • Greece 13% • Estonia 12% • Romania 12% • The Czech republic 11% • Hungary 11%

The main re-exporting countries are Belgium and the Netherlands, with a large share of their imports re-exported to the other members of EU (mainly neighbouring countries.) Please, check the CBI sector surveys covering the market in individual EU countries, where extensive figures per product group are given.

4.5 Opportunities and threats

+ Increasing imports from developing countries, in share and in value, due to outsourcing by manufacturers and distributors.

+ The growth of the SoHo market, which could be tapped by DC exporters through retailers and/or agents/importers.

+ The increasing demand for more fashionable stationery. + Earlier this year, buyers who have in the past decade been actively buying from China,

clearly and explicitly initiated new sourcing activities outside China, an important large volume supplier in this sector. In most cases, the reasons stated were increasing prices in China and, in some cases, the ongoing inconsistency in quality and delivery times.

- The sluggish economic development in many EU countries plus the US subprime crisis, which has a negative impact on the stationery consumption.

- The EU stationery market is strongly competitive as an increasing number of suppliers create pressure on price levels.

4.6 Useful sources

• EU Expanding Exports Helpdesk - http://exporthelp.europa.eu/

� go to: trade statistics • Eurostat – http://epp.eurostat.ec.europa.eu - official statistical office of the EU

� go to ‘themes’ on the left side of the home page � go to ‘external trade’ � go to ‘data – full view’ � go to ‘external trade - detailed data’

• Understanding eurostat: Quick guide to easy comext - http://epp.eurostat.ec.europa.eu/newxtweb/assets/User_guide_Easy_Comext_20080117.pdf

• Office world – Dutch trade association for stationery items - http://www.officeworld.nl/ • SHOPA – School, home and office products association - http://www.shopa.org/ • BOSS – British office supplies and service federation - http://www.bossfederation.com/

CBI MARKET SURVEY:



of 51

5 Price developments 5.1 Price developments

Prices of stationery products strongly depend on the developments of the prices of the raw materials, which fluctuate widely and are difficult to predict. In the long term this situation is not expected to change. This applies to the EU in general. PRIVATE-LABELS High-volume (commodity) products still suffer from the increasing market share of Private-labels, leading to slightly decreasing price levels, although this trend has stabilized. However, in product groups where Private-labels are important but where A-brand suppliers have been able to introduce real innovations, prices have slightly increased, but mainly for those innovative products. Examples are retractable markers, erasable highlighters. As the share of A-brands may vary per country the positive effect this has had on the average price levels may vary within the EU.

DOLLAR Due to the large fluctuations of the dollar, those companies doing business with the EU in dollars are strongly advised to change to the Euro, or limit their currency risk in some other way.

General influences on prices in the EU

The office and school supplies market consists of a very wide variety of products. Some distributors keep a stock of over 18,000 – 20,000 different items. Thus it is impossible to include a complete list of prices for each individual product. Exporters have to do research into up-to-date price levels themselves. The current major influences on the price developments are briefly described below. When reading them it is of the utmost importance to determine the relevance for your specific product group and targeted market segment(s), as the trends mentioned below may vary per segment. Tenders and Auctions

Following other industries, online tenders and auctions have been introduced as a method of buying stationery in the past few years. It was mainly applied by the very large buying groups, contract stationers and large retail chains for high-volume products (low interest) such as copy paper, soft plastics (e.g. document protectors), lever arch files, and often for private-labels. Almost no auctions have been held in the past year, this trend is expected to disappear. Private-labels continue to affect price levels

• The market share of private-labels in some product groups is still increasing, but in some groups seems to have stabilized. Therefore, in general, experts do not expect further major downward effects on price levels. This trend of course only applies to those product groups where private-labels have been widely introduced. So manufacturers should find out whether private-labels play an important role in their product group and also the extent of their penetration to date. In general one may say this applies to low interest products that sell in reasonable or large volumes, such as paper clips, adhesive tape, glue, ring binders, lever arch files, ball-point pens, soft plastic products (document protectors etc). Manufacturers’ prices of low interest private-label products have become very competitive.

• Private-labels used to be – and in many cases still are – products on which the distributor is able to realize relatively good margins. However, some distributors have started to use their private-labelled products for price promotions to end users, causing further downward pressure on the current price levels. It is not clear from the last two years that this will become established practice.

Concentration

Because of ongoing mergers, take-overs, co-operations and the growing power of the larger and global players, the number of buying contracts is decreasing and the size per contract

CBI MARKET SURVEY:



of 51

increasing. This has led to very competitive price levels. This trend mainly applies to the larger volume business only. It is not only applicable to private-labels, but also to the prices of the A- and B-branded products. End users’ quality requirements

• Especially in low interest products used in large quantities, there has been a growing demand for lower quality levels at lower prices. Buying concentration has already led to ‘forced’ efficiency at manufacturers. However once the rock bottom had been reached, prices for such low interest products could only be lowered even further by the development of alternatives with lower quality standards; using e.g. less or alternative raw material. Despite the lower quality, such products have been well accepted – especially in countries with lower economic growth - by end users and this has led to lower prices for mass-market low interest products.

• Currently both professional end users and private consumers appear to be willing to spend more money on the better alternatives (branded or non branded) of the same type of product again. This applies to all segments, especially to specialty products.

Differentiated and innovative products

Small and home office end users in particular attach increasing value to office supplies that are different from mass market products. Added value may be achieved in terms of design, colours, trends, and special materials - such as leather, wood, metal, aluminium, acrylic - functionality (e.g. ergonomic functions) and real quality are appreciated. The prices of such products have not been under pressure and lately the market has shown increasing demand for such items. The channels that aim at the lower end of the market continuously try to offer cheaper alternatives but mostly of a lower quality and not of original design and fashion. E.g. in the back-to-school season the number of different licensed products on offer increases. As the demand for these products does not increase as much, this leads automatically to smaller production runs, which tend to lead to increasing price levels. Also, there are increasing numbers of designs and patterns that differentiate by means of special treatment or finish. Such products are perceived to be of higher value and end users are usually willing to pay relatively more for those products, compared to the more standard mass market products. These trends also have an upward effect on price levels. Price consciousness

Price fighting was copied from food into non-food markets a few years ago; people have become increasingly price-conscious, partly due to the increasing use of the internet which makes it easier to compare prices. In the early stages, this tendency led to a more competitive situation, especially in the SoHo and private end users market. Since then, however, industry experts think that while this price-consciousness is still there, it will not have such a downward effect on price levels. Raw materials

Fluctuations in the cost of raw materials such as plastics, wood and metals affect the price levels of all stationery products. Important for plastic office products is the oil price, which between August 2006 and January 2007 went down from around US$75 to around US$50, before going up to around US$75 again in July 2007. Oil prices reached a level of over US$140 in June 2008, going down a little in July to the US $120 level. So compared to July 2007 dollar prices went up by 60 – 80%! This clearly had an effect on the general price levels in the EU.

Price examples

Below a few examples of prices of popular school and office supplies are given only to show the price developments at retail selling price level. Please note that the examples for each item were only taken from one source (distributor). Price levels are not averages based on extensive research. As mentioned before, the wide variety of products in this industry makes it impossible to give full insight in current price levels. We therefore have mentioned many interesting websites in the country specific documents where potential exporters can start

CBI MARKET SURVEY:



of 51

searching for up to date information on end user price levels, for all segments. Be aware of differences in those websites in mentioned prices: some publish including and some excluding VAT! Table 5.1 End-user prices registered in 2009 of LICENCED back to school products - ! Important note: Retail Selling Prices of licensed products are higher than same products without licences! -

BACK TO SCHOOL

Year (RSP incl, 19% VAT),

Exercise book A5 stapled

3 pcs

Exercise book A4 stapled

1 pc

Ring binder

A4

Book wrapping

paper 1 roll

Pencil case/bag

Diary (hard

cover)

2004 4,25 2,25 8,50 2,95 8,95 11,50

2005 4,25 2,25 8,50 2,95 8,95 10,50

2006 4,25 2,50 8,75 2,95 9,95 11,95

2007 4,25 2,50 8,75 2,95 9,95 9,95 – 12,95

2008 4,50 2,95 9,50 2,95 9,95 12.95

2009 4.95 3.25 9.95 2,95 10.95 13.95

Developments

2007 vs 2006 = = = = = n.a.

2008 vs 2007 + 6% +18% +9% = = =

2009 vs 2008 +11% +10% +5% = +10% +8% Source: Various web sites

The products in Table 5,1 play an important role in the back-to-school season, Prices in the table are inclusive of 19% VAT and have been seen in one high street retail channel in the Netherlands. Table 5.2 End-user prices of luxury desk sets (Foster) seen in 2006, inclusive of

(incl.) VAT LUXURY DESK SETS

DESIGN BRAND (Foster) SOLD IN AN OFFICE SUPPLIER AIMING AT THE HIGHER ENDS OF THE MARKET IN GERMANY AND THE NETHERLANDS, MATERIAL: ALUMINIUM

Year

(RSP excl, 19% VAT)

Foster aluminium tape dispenser

Foster aluminium memo tray 12x12x5cm

Foster paper punch

2004 € 69,00 € 45,00 € 70,00

2005 € 72,00 € 47,00 € 72,00

2006 € 76,00 € 50,00 € 76,00

2007 € 81,00 € 53,00 € 81,00

2008 €81.00 €53.00 € 79.00

2009 € 81.00 € 53.00 € 98.00

Source: Various web sites

Table 5.3 End-user prices of polybags DOCUMENT PROTECTORS (PP)

Packed in polybag 25

Packed in polybag 200

CBI MARKET SURVEY:



of 51

quality: economy, private-label

pcs pcs

Year (RSP incl, 19% VAT)

2006 n.a. € 3.50

2007 € 0.60 € 4.50

2008 € 0.60 € 4.50

2009 € 0.60 € 4.50 Source: EU department store Hema

Table 5.4 End-user prices of ball-point pens BALLPOINT PENS A-brand BIC (M10 clic) 10 pcs/blister pack Year (RSP incl, 19% VAT) 2007 € 4.50

2008 € 5.99

2009 € 5.25 Source: EU department store v&d

Table 5.5 End-user prices of exercise books EXERCISE BOOKS stapled 80 pages 60gsm (economy)

A5 10 pcs/shrink wrap

A4 5 pcs/shrink wrap

Year (RSP incl, 19% VAT)

2007 € 3.00 n.a.

2008 € 3.00 € 4.50

2009 € 3.00 € 4.50 Source: EU department store V&D

Table 5.6 End-user prices of dividers Dividers pp with trendy print by Hema

1 set 5 tabs per polybag

Year (RSP incl, 19% VAT) 2007 € 1.75

2008 € 2.25

2009 € 2.50 Source: EU department store Hema

5.2 Useful sources

Collecting price information is time-consuming but it is feasible, even at distance, to collect price information, both on end-user prices and on competitors’ price levels. It is of the utmost importance to find out exactly what types of prices are published (end user / retailers / wholesalers) and if they are inclusive or exclusive of VAT, in order to avoid drawing the wrong conclusions. Some useful sources: • the CBI survey Guide for Market Research (how to use internet for doing research); • trade journals, exhibitions, competitors • www.papeterie-marti.ch • www.staples.de • www.karstadt.de • www.carrefour.fr • www.aerne-schulbedarf.ch Please note this list is intended as a starting point, not as the complete list. Many more websites may be found by using search machines such as Google.

CBI MARKET SURVEY:



of 51

6 Market access requirements As a manufacturer in a developing country preparing to access EU markets, you should be aware of the market access requirements of your trading partners and the EU governments. Requirements are defined through legislation and through labels, codes and management systems. These requirements are based on environmental, consumer health and safety and social concerns. You need to comply with EU legislation and have to be aware of the additional non-legislative requirements that your trading partners in the EU might request. For information on legislative and non-legislative requirements, go to ‘Search CBI database’ at http://www.cbi.eu/marketinfo, select market sector and the EU in the category search, click on the search button and click on market access requirements. Additional information on packaging can be found at the website of ITC on export packaging: http://www.intracen.org/ep/packaging/packit.htm Packaging, marking and labelling

Packaging is the enclosing of a physical object, typically a product that requires protection from damage or tampering. Labelling refers to any written or graphic communications on the packaging or on a separate but associated label. Packaging has a number of objectives: • Protection against physical impact on object • Protection against dust and dirt • Grouping - Small objects are typically grouped together in one package for reasons of

efficiency • Information transmission - Information on how to use, transport, or dispose of the product

is often displayed on the package or label • Marketing - The packaging and labels can be used by retailers to encourage potential

buyers to purchase the product. Package design has been an important and constantly evolving phenomenon for many years.

• Reducing theft - Some packages are made larger than they need to be so as to make theft more difficult.

• Prevention of pilferage and tampering - Products are exposed to many contacts in the supply chain. Persons handling products could steal them (pilferage or theft), replace full products with empty ones or add constituents to the contents (tampering). Packaging that cannot be re-closed or gets physically damaged (shows signs of opening) is very helpful in the prevention of these acts.

Marking and labelling serves two major purposes. First, it is critical for smooth distribution through the transport system. The labels should state the originating and destination addresses, as well as contact names and telephone numbers. Secondly, marking and labelling gives information concerning the product. Appropriate labels should be attached to indicate, for example, that items are fragile and that they need to be kept upright or dry. Without these labels, the people handling the objects and crates will not be aware they have to be careful. It is important to label individual parcels and packages within crates as well. Large warehouses, department stores and supermarkets in Europe do not have the time to open each individual package to check the contents. Each package should therefore be properly labelled with codes stating both the contents and the article code of the buyer/distributor. The use of the pictorial marking “FRAGILE” can be used when product content is prone to breaking/ damaging/scratching. Special care must be taken when packing paper stationery. Paper products in general are very vulnerable to moisture. Information on tariffs and quotas can be found at http://export-help.cec.eu.int/

CBI MARKET SURVEY:



of 51

7 Opportunity or threat ? The opportunities and threats which face exporters from developing countries can be grouped into two categories: • market-related issues • production related issues Market-related issues

- The overall EU market can be described as mature and static, with little growth forecast to the end of the decade.

+ While overall EU consumption is fairly stable, the market in Central and Eastern European countries is forecast to grow more strongly, after the economic crisis is over.

- In a relatively stable market, competition is more fierce. + Imports from developing countries are taking an increasing share of the EU market, both in

value and volume. + The Soho (small office, home office) segment is growing considerably and offers

opportunities to those manufacturers able to develop, create and manufacture products which meet the specific, growing demand for high-end and trendy products

±±±± The increasing market share of private-label products at all levels of the sector also offers a considerable growth opportunity. However, in some of the product groups this trend has stabilized.

- The increasing use of computers is reducing demand for traditional stationery products + Computerization does present an opportunity in products directly related to computers,

such as data storage products, and in related categories, such as filing and organizing and desk accessories.

+ Growing numbers of hobbyists are creating a demand for new hobby-related products - The EU population has declining numbers of students and scholars, an important group of

stationery users. + This population trend is offset to some extent by an increase in the number of immigrants

with younger families who are entering the EU. - A large proportion of demand for stationery products is driven by and concentrated in the

‘back-to-school’ period in many countries. + Office and school supplies / stationery are no longer sold solely through the traditional

supply chains. Sales channels which originally served other industries (e.g. food, drugstore items) have also started to market stationery products, either promotionally or as part of their regular product range.

+ Low cost, non-labelled and non-branded products have taken a sizeable share of the market, offering opportunities to DC stationery producers.

+ There is growing demand for innovative, genuinely added-value products. - The market is becoming increasingly sophisticated, sensitive to fashion and trends and

therefore difficult to supply with appropriate high-quality products. - The increasing attention to the hygiene brings special requirements for products. - China dominates the supply of DC-sourced products into the EU.

Production-related issues

- The consolidation trend amongst EU stationery manufacturers is leading to some very sizeable market players who benefit from large economies of scale.

- EU manufacturers are outsourcing their production to cheaper locations in Eastern Europe, which offer lower production costs, and proximity to the target markets.

- EU manufacturers are also locating their production facilities in developing countries, competing directly with DC producers

+ DC producers may be able to benefit from EU manufacturers presence in their country, either as sub-contractors or by drawing on the expertise which EU manufacturers bring with them

+ Efficient producers in low-cost countries will be able to compete in the low-cost end of the

CBI MARKET SURVEY:



of 51

market. + DC producers who are flexible, responsive and able to manage short production runs will

have opportunities. + DC producers may have easier access to raw materials such as wood, leather, paper etc. + Producers who keep abreast of the applicable EU legislation and other requirements for

products destined for the EU market will find it easier to contract with private- and non-label buyers

+ Producers who are not fully automated, and are able offer some degree of hand-finishing or manufacture, may find opportunities in the high-end and specialty market segment and with buyers seeking lower quantity production runs

+ Some EU buyers have recently sought to reduce their dependence on China as supplier, citing inconsistent quality and unreliable delivery times, as well as rising prices. These buyers are seeking to source their needs from other developing countries.

- Some EU buyers have also tried to reduce their inventories and their exposure to fashion and trends by demanding smaller production runs from their product suppliers.

The same development or trend can be an opportunity for one exporter and a threat for another. That is why exporters from developing countries should analyze if these developments represent an opportunity or a threat for them and the outcome of this analysis depends on the specific situation of each exporter. For example, the recent trend in the European market, which is gaining more attention among the customers and it is becoming important issue in this sector, is the focus on hygiene in the office environment and in stationery products. This hygiene awareness brings new requirements for the products and is generally considered as a threat for most DC exporters because, for instance, producing stationery from sanitised plastics is difficult. But for some DC exporters who are able to produce products from sanitides plastics and can meet all the requirements for such specific production this trend is great opportunity for them as their products will be focused on a specific market niche, which is becoming popular in EU, and they can achieve great success not only because of the lower competition but due to the higher returns they can make, since in general specific niche products are more expensive than the mass products and the customers are willing to pay more for the specific product characteristics.

CBI MARKET SURVEY:



of 51

Appendix A Product characteristics • Product Groups

Paper-based Items

Paper-based Items include: writing pads, exercise books, memo and refill pads, duplicate and analysis books, notebooks, account books, diaries, wrapping paper and calendars. This segment also includes different types of envelopes, which are used to pack documents or other products which are generally sent through postal services. Envelopes are available in different sizes and types, like, for example, window, self-seal, padded, booklet, square, open-end, two-way remittance, strip 'n grip, priority mail and payroll envelopes. Greetings cards are excluded from this segment, since these are dealt with separately.

Filing Products

This segment includes different types of manila files, expanding files, soft plastic filing and display books, suspension filing, ring binders, lever arch files, archival filing, indexes and dividers. These products are used to save and store documents and have a prominent place in the contemporary office. Storage Products

This segment includes different types of filing cabinets, card-index cabinets, paper trays, paper rests, pen trays, office-stamp stands and similar office or desk equipment. These products are used to save and store documents and have a prominent place in the contemporary office.

Writing and Drawing Instruments

This segment includes all sorts of products which consumers use to write, mark, draw or paint. Stationery in this product group includes: pencils, ballpoints, rollerballs, gel ink pens, liquid pens, gift pens, fountain pens, fibre-tipped pens, plastic-tipped pens, crayons, highlighters, markers, refills, erasers, correction aids, pencil sharpeners and rulers.

Presentation and Planning materials

This segment includes planning boards, wall-boards, white boards, cork boards, flipcharts and accessories, calendars, year planners and stock diaries. These products are often used in order to facilitate the presentation process and to give the presented information a stylised and structured look.

Office and Desk accessories

The segment Office and Desk accessories includes many products which are quite diverse and do not fit into one main definition, due to the variety of the purposes the products are used for. Examples are adhesive tapes, repositionable notes, paper and card adhesives, sticky notes, letter- and pen trays, rubber bands, paper clips, scissors, pins, clips, fasteners, staplers, staples, staple extractors, punches, guillotines, trimmers, letter trays/racks and waste bins. Greeting Cards

The segment Greeting Cards includes Christmas cards, New Year cards, Valentine cards, birthday cards, graduation cards, change of address cards, marriage cards, etc. Generally cards are used to mail a message to friends and acquaintances. Please note that consumption information about this specific product group is not readily available, but we have given product group specific information about the production, import and export of this segment based on the Eurostat database.

Cases and satchels

The segment includes: school satchels (including pen and pencil bags), briefcases, attaché cases, portfolios, school bags, laptop bags and rucksacks. Please note that consumption information about this specific product group is not readily available, but we have given

CBI MARKET SURVEY:



of 51

product group specific information about the production, import and export of that segment based on the Eurostat database.

Office Furniture

This product group is relatively new in the scope of the stationery researchers, but as mentioned in the introduction to this survey it is also one of the fastest growing segments in the market. This product group includes desks, chairs, tables, screens, cabinets and computer trolleys (almost anything which is used as seating, desks, tables or cupboards in the office).

Definitions of the HS codes HS CODES PRODCOM CODES DESCRIPTION

Paper-based items

48.201.010 22.22.20.13 Registers, account books, order books and receipt books

48.201.030 22.22.20.15 Writing pads and memorandum pads; notepads and notebooks, without calendars

48.201.050 22.22.20.17 Notepads, notebooks and diaries, with calendars 48.201.090 22.22.20.19 Memorandum pads, writing pads and the like 48.202.000 22.22.20.30 Exercise books 48.205.000 22.22.20.80 Albums for patterns or collections, of paper or paperboard

48.209.000 22.22.20.90

Blotting-pads and similar articles of stationery used in schools and offices, of paper and paperboard, and book covers of paper or paperboard (excl. Registers, account books, notebooks, order books, receipt books, notepads, memorandum pads, diaries,

48.211.010 21.25.12.35 Self-adhesive paper or paperboard labels of all kinds, printed

48.211.090 21.25.12.39

Non-self-adhesive paper or paperboard labels of all kinds, printed

48.219.010 21.25.12.55 Self-adhesive paper or paperboard labels of all kinds, not printed

48.219.090 21.25.12.59 Non-self-adhesive paper or paperboard labels of all kinds, not printed

49.030.000 22.11.21.80 Picture albums, picture books, drawing or colouring books, for children

49.100.000 22.15.15.50 Calendars of all kinds, printed, incl. Tear-off calendars 48.171.000 21.23.12.30 Envelopes of paper or paperboard (excl. letter cards)

48.173.000 21.23.12.70 Sets of stationery of paper or paperboard, in boxes, pouches and similar containers of paper or paperboard

Filing products

48.196.000 21.21.15.50 Paperboard products in the form of rigid containers of a kind used in offices, shops and the like (excl. packing containers)

48.203.000 22.22.20.50 Binders other than book covers , folders and file covers, of paper or paperboard

Storage Products

83.040.000 28.75.22.00

Filing cabinets, card-index cabinets, paper trays, paper rests, pen trays, office-stamp stands and similar office or desk equipment, of base metal (excl. Office furniture of heading no 9403 and waste paper bins)

83.051.000 28.75.23.30 Fittings for loose-leaf binders or files, of base metal (excl. drawing pins and clasps for books or registers)

Writing and drawing instruments

32.131.000 24.30.23.50

Sets of artist s, student s or signboard painter s colours, modifying tints, amusement colours and the like, in tablets, tubes, jars, bottles, pans or similar packages

32.139.000 24.30.23.70

Artist s, student s or signboard painter s colours, modifying tints, amusement colours and the like, in tablets, tubes, jars, bottles, pans or similar packages (excl. Those in sets)

40.169.200 25.13.73.21

Erasers, of vulcanized rubber other than hard rubber, conditioned (excl. those simply cut to rectangular or square shape)

96.033.010 36.62.12.50 Artists and writing brushes

96.081.010 36.63.21.13 Ball-point pens with liquid ink

96.081.030 36.63.21.15 Ball-point pens with body or cap of precious metal or rolled precious metal (excl. ball-point pens with liquid ink)

CBI MARKET SURVEY:



of 51

HS CODES PRODCOM CODES DESCRIPTION

96.081.091 36.63.21.17

Ball-point pens with replaceable refill (excl. with body or cap of precious metal or rolled precious metal, and ball-point pens with liquid ink)

96.081.099 36.63.21.19 Ball-point pens (excl. with replaceable refill, and with liquid ink)

96.082.000 36.63.21.30 Felt-tipped and other porous-tipped pens and markers

96.083.100 36.63.22.30 Indian ink drawing pen

96.083.910 36.63.22.55

Fountain pens, stylograph pens and other pens, with body or cap of precious metal or rolled precious metal (excl. Indian ink drawing pens)

96.083.990 36.63.22.59

Fountain pens, stylograph pens and other pens (excl. With body or cap of precious metal or rolled precious metal, and indian ink drawing pens)

96.084.000 36.63.21.50 Propelling or sliding pencils

96.085.000 36.63.23.10

Sets of articles from two or more of the following: ball-point pens, felt or fibre-tipped pens and markers, fountain pens and propelling pencils

96.086.010 36.63.23.35 Refills for ball-point pens, comprising the ball-point and ink-reservoir (with liquid ink)

96.086.090 36.63.23.39 Refills for ball-point pens, comprising the ball-point and ink-reservoir (excl. with liquid ink)

96.089.100 36.63.23.53 Pen nibs and nib points

96.089.920 36.63.23.55

Parts of ball point pens, felt-tipped and other porous-tipped pens and markers, fountain pens, stylograph pens and other pens and propelling or sliding pencils, of metal, n.e.s; duplicating stylos, pen-holders, pencilholders and the like

96.089.980 36.63.23.55

Parts of ball point pens, felt-tipped and other porous-tipped pens and markers, fountain pens, stylograph pens and other pens and propelling or sliding pencils, of non-metal materials, n.e.s; duplicating stylos, penholders, pencil-holders

96.089.992 n.a.

Parts of ball point pens, felt-tipped and other porous-tipped pens and markers, fountain pens, stylograph pens and other pens and propelling or sliding pencils, of metal, n.e.s; duplicating stylos of metal

96.089.998 n.a.

Parts of ball point pens, felt-tipped and other porous-tipped pens and markers, fountain pens, stylograph pens and other pens and propelling or sliding pencils, of non-metal materials, n.e.s; duplicating stylos of nonmetal materials

96.091.010 36.63.24.10 Pencils, with leads of graphite encased in a rigid sheath

96.091.090 36.63.24.10 Pencils and crayons, with leads encased in a rigid sheath (excl. with leads of graphite)

96.092.000 36.63.24.30 Pencil leads, black or coloured

96.099.010 36.63.24.50 Pastels and drawing charcoals 96.099.090 36.63.24.50 Pencils, writing or drawing chalks and tailors chalks

Presentation and planning materials

96.100.000 36.63.25.10

Slates and boards, with writing or drawing surfaces, whether or not framed

Office and desk accessories

35.061.000 24.62.10.95 Glues and adhesives put up for retail sale with a net weight of <= 1 kg

35.069.100 24.62.10.95 Adhesives based on rubber or plastics incl. Artificial resins (excl. products for retail sale with a net weight of <= 1 kg)

35.069.900 24.62.10.95 Glues, prepared, and other prepared adhesives n.e.s. (excl. put up for retail sale with a net weight of <= 1 kg

39.261.000 25.24.27.00 Office or school supplies, of plastics, n.e.s.

82.130.000 28.61.11.70

Scissors, tailors shears and similar shears, and blades therefore of base metal (excl. Hedge shears, two-handed pruning shears and similar twohanded shears, secateurs and similar one-handed pruners and shears and hoof nippers for farriers

CBI MARKET SURVEY:



of 51

HS CODES PRODCOM CODES DESCRIPTION

82.141.000 28.61.13.30

Paper knives, letter openers, erasing knives, pencil sharpeners and blades therefore, of base metal (excl. Machinery and mechanical appliances of chapter 83)

83.052.000 28.75.23.50 Staples in strips, of base metal

83.059.000 28.75.23.70

Office articles such as letter clips, letter corners, paper clips and indexing tags, of base metal, incl. Parts of articles of heading no 8305 (excl. Fittings for loose-leaf binders or files, staples in strips, drawing pins and clasps for books

84.411.030 29.55.11.37 Guillotines for paper pulp, paper or paperboard 96.089.910 n.a. Pen-holders, pencil-holders and the like

Greeting Cards

48.172.000 21.23.12.50 Letter cards, plain postcards and correspondence cards of paper or paperboard (excl. those with imprinted postage stamps)

49.090.010 22.15.11.30 Printed or illustrated postcards

49.090.090 22.15.11.50

Printed cards bearing personal greetings, messages or announcements, whether or not illustrated, with or without envelopes or trimmings Cases and Satchels

42.021.110 19.20.12.10

Executive cases, briefcases, portfolios, school satchels and similar containers with an outer surface of leather, composition leather or patent leather

42.021.190 19.20.12.10

Trunks, suitcases, vanity cases and similar containers, with an outer surface of leather, composition leather or patent leather (excl. Attache cases)

42.021.211 19.20.12.10 Executive cases, briefcases, portfolios, school satchels and similar containers, with an outer surface of plastic sheeting

42.021.291 19.20.12.10

Executive cases, briefcases, portfolios, school satchels and similar containers, with an outer surface of plastic, incl. Vulcanized fibre, or of textile materials (excl. Those with an outer surface of plastic sheeting or moulded plastic)

Office furniture

94.031.010 36.12.11.10

Drawing tables for offices, with metal frames (excl. tables with special fittings for drafting of heading 9017)

94.031.051 36.12.11.30 Office desks, with metal frames

94.031.059 36.12.11.50 Metal furniture for offices, of =< 80 am in height (excl. desks and drawing tables)

94.031.091 36.12.11.73 Metal cupboards with doors, shutters or flaps, for offices, of > 80 cm in height

94.031.093 36.12.11.75 Metal filing, card-index and other cabinets, for offices, of > 80 am in height

94.031.099 36.12.11.90 Metal furniture for offices, of > 80 cm in height (excl. drawing tables, cupboards with doors, shutters or flaps, and seats)

94.033.011 36.12.12.30 Desks for offices, with wooden frames

94.033.019 36.12.12.50

Wooden furniture for offices, of =< 80 cm in height (excl. desks and seats)

94.033.091 36.12.12.70 Wooden cupboards for offices, of > 80 cm in height

94.033.099 36.12.12.90 Wooden furniture for offices, of > 80 cm in height (excl. cupboards)

Statistical product classification

Prodcom and Combined nomenclature (CN)

In this survey two different sets of statistical data are used. Both sets have been provided by Eurostat, the statistical body of the EU. The first set is derived from Prodcom. The term Prodcom is derived from PRODucts of the European COMmunity. This is a survey based on products whose definitions are standardised across the EU to allow comparability between the member countries’ data. Prodcom covers

CBI MARKET SURVEY:



of 51

some 4,800 products which are assigned to some 250 industries (subclasses) as defined by the Standard Industrial Classification (SIC). Prodcom data cover production, imports and exports. In this survey Prodcom data are used to indicate production. The second set is the trade data based on the Combined Nomenclature (abbreviated to CN). This Combined Nomenclature contains the goods classification prescribed by the EU for international trade statistics. The CN is an 8-digit classification consisting of a further specification of the 6-digit Harmonised System (HS). HS was developed by the World Customs Organisation (WCO). The system covers about 5,000 commodity groups, each identified by a six-digit code. More than 179 countries and economies use the system. In this survey CN data are used to indicate imports and exports.

Based on above data apparent consumption can be calculated as follows: apparent consumption = production + imports -/- exports.

Statistical data: limitations

Trade figures quoted in CBI market surveys must be interpreted and used with extreme caution. The Prodcom data used in Chapter 1 and 2 are less reliable than the import and export statistics used in Chapter 4, as they are not part of official data collection for Customs. Companies only have to send in their data on an annual or quarterly basis. The figures sometimes show a discrepancy between years, e.g., a large fall or extraordinary growth. These problems are caused by inaccurate, inconsistent and untimely reporting by companies. However, Prodcom data are the only official source for production and apparent consumption data, displaying numbers at product group level and describing the different EU markets in detail. Therefore they are useful to get an indication of size and trends within those markets. For decision-making, however, these figures are not accurate enough and should be used in conjunction with further market research. In the case of intra-EU trade, statistical surveying is only compulsory for exporting and importing firms whose trade exceeds a certain annual value. The threshold varies from country to country, but it is typically about € 100,000. As a consequence, although figures for trade between the EU and the rest of the world are accurately represented, trade within the EU is generally underestimated. Furthermore, the information used in CBI market surveys is obtained from a variety of sources. Therefore, extreme care must be taken in the qualitative use and interpretation of quantitative data, it puts limitations to in-depth interpretation of relations between consumption, production and trade figures within one country and between different countries.

CBI MARKET SURVEY:



of 51

Appendix B Introduction to the EU market The European Union (EU) is the current name for the former European Community. Since January 1995 the EU has consisted of 15 member states. Ten new countries joined the EU in May 2004. In January 2007 two more countries – Bulgaria and Romania - joined the EU, making 27 countries (EU27). Negotiations are in progress with a number of other candidate member states. In this survey, the EU refers to the EU27, unless otherwise stated. Cultural awareness is a critical skill in securing success as an exporter. The enlargement of the EU has increased the size of the EU, and also significantly increased its complexity. With more people from culturally diverse backgrounds, effective communication is necessary. Be aware of differences in respect of meeting and greeting people (use of names, body language etc.) and of building relationships. There are also differences in dealings with hierarchy, presentations, negotiating, decision making and handling conflicts. More information on cultural differences can be found in chapter 3 of CBI’s export manual ‘Exporting to the EU (2006)’. General information on the EU can also be found at the official EU website http://europa.eu/abc/governments/index_en.htm or the free encyclopaedia Wikipedia http://en.wikipedia.org/wiki/Portal:Europe. Monetary unit: Euro

On 1 January 1999, the Euro became the legal currency within eleven EU member states: Austria, Belgium, Finland, France, Germany, Italy, Ireland, Luxembourg, The Netherlands, Spain, and Portugal. Greece became the 12th member state to adopt the Euro on January 1, 2001. Slovenia adopted the Euro in 2007. Cyprus and Malta joined the euro-zone in January 2008. Since 2002 Euro coins and banknotes replaced national currency in these countries. In CBI market surveys, the Euro (€) is the basic currency unit used to indicate value. For exchange rates of EU currencies in €, please visit http://www.oanda.com/

CBI MARKET SURVEY:



of 51

Appendix C List of developing countries OECD DAC list May 2009 When referred to developing countries in the CBI market surveys, reference is made to the group of countries on this OECD DAC list of January 2006: Afghanistan Grenada Pakistan Albania Guatemala Palau Algeria Guinea Palestinian Admin. Areas Angola Guinea-Bissau Panama Anguilla Guyana Papua New Guinea Antigua and Barbuda Haiti Paraguay Argentina Honduras Peru Armenia India Philippines Azerbaijan Indonesia Rwanda Bangladesh Iran Samoa Barbados Iraq São Tomé & Principe Belarus Jamaica Saudi Arabia Belize Jordan Senegal Benin Kazakhstan Serbia Bhutan Kenya Seychelles Bolivia Kiribati Sierra Leone Bosnia & Herzegovina Korea, rep of Solomon Islands Botswana Kosovo Somalia Brazil Kyrghyz Rep. South Africa Burkina Faso Laos Sri Lanka Burundi Lebanon St. Helena Cambodia Lesotho St. Kitts-Nevis Cameroon Liberia St. Lucia Cape Verde Libya St. Vincent and Grenadines Central African rep. Macedonia Sudan Chad Madagascar Surinam Chile Malawi Swaziland China Malaysia Syria Colombia Maldives Tajikistan Comoros Mali Tanzania Congo Dem. Rep. Marshall Islands Thailand Congo Rep. Mauritania Timor-Leste Cook Islands Mauritius Togo Costa Rica Mayotte Tokelau Côte d'Ivoire Mexico Tonga Croatia Micronesia, Fed. States Trinidad & Tobago Cuba Moldova Tunisia Djibouti Mongolia Turkey Dominica Montenegro Turkmenistan Dominican republic Montserrat Turks & Caicos Islands Ecuador Morocco Tuvalu Egypt Mozambique Uganda El Salvador Myanmar Ukraine Equatorial Guinea Namibia Uruguay Eritrea Nauru Uzbekistan Ethiopia Nepal Vanuatu Fiji Nicaragua Venezuela Gabon Niger Vietnam Gambia Nigeria Wallis & Futuna Georgia Niue Yemen

CBI MARKET SURVEY:



of 51

Ghana Oman Zambia Zimbabwe List of CBI countries – January 2008 - CBI supports exporters in the following Asian, African, Latin American and European (Balkan) countries: Afghanistan Albania Armenia Bangladesh Benin Bolivia Bosnia-Herzegovina Burkina Faso Colombia Ecuador Egypt El Salvador Ethiopia Georgia Ghana Guatemala Honduras India Indonesia Jordan Kenya Macedonia Madagascar Mali Moldavia Montenegro Morocco Mozambique Nepal Nicaragua Pakistan Peru Philippines Rwanda Senegal Serbia South Africa Sri Lanka Suriname Tanzania Thailand Tunisia Uganda Vietnam Zambia

CBI MARKET SURVEY:



of 51

Appendix D References Euromonitor International (research agency) E-mail: mailto:[email protected] Internet: http://www.euromonitor.com International Chamber of Commerce

E-mail: mailto:[email protected] Internet: http://www.iccwbo.org International Trade Centre UNCTAD/ WTO

E-mail: mailto:[email protected] Internet: http://www.intracen.org

The Stationery, Office and School Supplies Market in the EU

Documents

Transcript of The Stationery, Office and School Supplies Market in the EU