Britain’s exit from the EU has sent the pound tumbling – which means Aussies can pick up UK-made gear for a song.
The pound sterling to Australian dollar exchange rate has dropped by about 23 percent since January, and coupled with the Reserve Bank’s low interest rates, this has shaved hundreds of thousands of dollars off the cost of high-end printing equipment.
“Because of the decline in the UK pound, those who are importing British goods into Australia are achieving a significant foreign exchange gain, and a reduction in the cost of goods originating in the UK,” said Steve Peck, Project and Marketing Manager Graphic Systems at Fujifilm Australia. “The larger the price of those goods, the more significant those savings are.”
The Inca Onset series of UV flatbed inkjet presses, distributed by Fujifilm, is one such technology – businesses investing in these systems could save up to $250,000, according to Peck. “It’s a high dollar value item, systems could be into seven figures, so the reductions in the investment cost of those devices are considerable,” Peck said. “The opportunity to invest in this technology is better than it's been for quite a long while. You need to go back to June 2013 to find when the exchange rate last went below current levels.”
Second-hand dealers are also pleased with the fall in sterling value. Paul Carthew of Printmac Corporation in Smithfield, Sydney, says that since the Brexit announcement, it’s become cheaper to buy from the UK. “With second-hand machinery, it all depends on where the machine is you want to buy,” Carthew said. “If the machinery is in the UK, it might be a financial advantage to buy it from the UK. The pound has dropped in value, so therefore our buying power out of the UK is better.”
Very little UK-sourced graphics equipment is imported by Fujifilm Australia at the moment, but that could change with the Aussie dollar’s strong performance against the sterling currency – possibly even stronger once Brexit goes ahead. “If anyone is considering investing in this technology, the combination of this advantageous foreign exchange rate and the low interest rate climate in Australia would provide a unique opportunity to businesses,” Steve Peck said.