Decreasing advertising and continuing overcapacity are taking their toll, as is increased competition from offset printers that are investing in high-pagination webs and taking advantage of the trend towards lower circulations and shorter lead times.

Out of 18 ERA members responding to the spring 2002 survey, 12 said their present business situation was unsatisfactory, while only one said it was good. As for prospects for the next three months, two thought they would improve, 11 said "equal" and five predicted they would deteriorate.

Only one member reported a capacity utilisation rate of over 95%, while over half were under 90%.

ERA president Jan Bormans said the structure of the European publication gravure sector was radically changing; a few years ago many big gravure printers were part of major publishers and had their own exclusive markets, but now they were increasingly run as independent businesses competing globally.