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(1) Three Times the Distance: A Relatively Independent Market Environment
In Australia, it's common for people to travel for hours just to reach their destination. The concept of "three times the distance" comes from the vast ocean that surrounds the continent. This natural barrier has historically separated Australia from other major landmasses, creating a unique and somewhat self-contained market environment. As a result, Australians have become accustomed to long-distance travel and are used to making decisions independently without relying heavily on external influences.
Despite economic downturns in many Western countries, Australia has remained relatively stable since 1989. Most Australians continue to enjoy a high standard of living. One reason for this stability is the country’s geographical isolation, which has helped protect its domestic industries from certain foreign pressures. For instance, the label industry in Australia benefits from this separation. Local buyers often prefer domestic label printers who offer quality, smart design, and quick turnaround. Many orders are placed at the last minute, which makes overseas procurement less attractive due to increased shipping costs and delays. Therefore, local purchases help shield Australia from large-scale importation of labels.
However, with advancements in communication and transportation, the world has become more interconnected. Distance is no longer a significant barrier for international sourcing, and the protective advantage once provided by Australia’s geographic isolation is fading. Multinational companies are now entering the Australian label market, bringing new competition and challenges for local businesses.
(2) Major Changes: Closely Linked to Wine Exports
Australia is known for its favorable climate, vast land, and advanced agricultural techniques. It is one of the most developed regions in the world, and its wines are now among the best globally. Over the years, the label industry has experienced remarkable transformations, especially with the rise of Australian wine exports.
When Australian wines started gaining popularity internationally, the demand for wine labels increased significantly—by up to 15% to 22% annually. Label printing companies adapted by upgrading their equipment and improving efficiency. Some specialized machines were introduced to print wine labels, and others operated 24/7 to meet export demands.
The growth in wine exports also boosted related industries such as glass production, self-adhesive materials, and logistics. However, recent changes in transportation methods have disrupted this model. Plastic containers are now commonly used instead of glass bottles, reducing shipping costs and making it more economical to transport wine in bulk. This shift has led to a decline in the need for local bottling and labeling, with many processes moving overseas. As a result, the domestic label industry faces new challenges.
(3) Transformation and Upgrading
Fortunately, the Australian wine industry has a strong foundation of skilled designers and well-established label manufacturers. These professionals can produce labels that are hard to replicate elsewhere. However, the future remains uncertain. While Australians consume a lot of wine per capita, the domestic market has shrunk compared to the impact of shifting label printing operations overseas. This has intensified competition within the industry.
To stay competitive, many label printing companies are re-evaluating their strategies and investing in better production methods. Improving productivity through modern technology is a key focus. For example, short paper web label printing equipment has significantly reduced waste, and some manufacturers have found ways to minimize material loss during coil changes.
High-end label printing in Australia often involves combination printing machines that integrate flexo, screen printing, and hot stamping. These technologies allow for faster and more efficient production. Imagine pressing a button and having the entire press reset in seconds, including embossing settings and die-cut alignment. This level of automation is already a reality in the Australian label industry.
Digital printing is still in its early stages in Australia, but its potential in the label sector is promising. The future of the industry will depend on how quickly these technologies are adopted and integrated into existing workflows.
   The above content is selected from the 6th issue of “Printing Technology†of Keyin Media in 2013. For more journal content, please pay attention to the journal channel.
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