Printing Entrepreneurs Complain of Declining Government Orders
The printing industry in the Special Region of Yogyakarta (DIY) is facing severe challenges. In addition to being hit by the storm of digitalisation, this sector, dominated by Micro, Small, and Medium Enterprises (MSMEs), is also feeling a significant impact from government budget efficiencies, causing a drastic decline in orders.
Chairman of the Indonesian Graphics Companies Association (PPGI) DIY Chapter, Roni Sugiarto, revealed that the current state of the printing business is at a point between developing and stagnant. Although new printing machine investments continue to enter every year, the business does not show meaningful growth.
“If we say it’s not developing, but new printing machines and equipment are always coming in. But if we say it’s developing, the reality is there is no significant growth,” said Roni during the opening of the Jogja Printing Expo 2026 at Jogja Expo Center (JEC), Bantul, on Wednesday (8/4).
Roni explained that business actors are now caught between two difficult conditions. On one side, orders from the government sector, which has been the main mainstay, continue to shrink. On the other side, production costs are soaring due to rising prices of ink, paper, and other operational expenses.
“Orders are already getting quieter, material prices are increasing, burdened again by operational costs that must be borne without any reduction. We hope the local government gives serious attention by reallocating printing orders to local business actors,” he added.
In line with that, the General Chairman of PPGI, Ahmad Mughira Nurhani, highlighted the market shift. If in the past PPGI members printed press products such as newspapers and magazines, now the focus is starting to shift to the packaging industry. However, he regrets that many food producers in Yogyakarta still print their packaging outside the region.
“We found several food products produced in Yogyakarta, but their packaging is printed outside DIY. Meanwhile, our members already understand the mandatory food grade standards,” said Mughira.
The Mayor of Yogyakarta, Hasto Wardoyo, confirmed the decline in orders from government agencies. According to him, this is a logical consequence of budget efficiency policies and digital transformation in various bureaucratic lines.
“Digitalisation does reduce the need for printing. Therefore, printing business actors must expand partnership networks, for example, entering the food and beverage packaging sector so that local market potential can be absorbed by PPGI Yogyakarta members themselves,” advised Hasto.
The exhibition organised by Krista Exhibitions is taking place until 11 April 2026 at JEC. Featuring 35 participants including 15 MSMEs, this event showcases the latest technologies such as:
CEO of Krista Exhibitions, Daud D. Salim, emphasised that this exhibition is a commitment to boosting the competitiveness of the national graphics industry. By presenting more efficient technology, it is hoped that MSMEs in DIY can adapt to modern market needs that demand speed and high quality amid economic pressures.