The survey found that a majority of businesses in all states of Australia were predicting economic conditions to deteriorate over the next six months on the back of the global financial crisis.
"Industry sentiment has now plunged to an 18-year low and the only areas of expected improvement are selling prices and labour availability," said Printing Industries' national manager for policy and government affairs, Hagop Tchamkertenian (pictured).
According to the printing industry body, respondents from South Australia reported the highest utilisation rates, with 83.3 per cent of respondents operating at capacity utilisation levels of 70 per cent or more, followed by respondents from Queensland (73.7 per cent), Western Australia (72.7 per cent), Victoria (63.6 per cent), Tasmania (60 per cent), and New South Wales (54.8 per cent).
Selling prices were reported to have fallen again despite rising cost pressures, whilst material cost pressures during the December 2008 quarter were the highest in the history of the Printing Industry Trends Report, which has been monitoring industry conditions since 1987.
However, Tchamkertenian believes there is cause for optimism, particularly with the federal government's reforms on the way.
"The stimulus packages announced in recent months are the equivalent to more than five per cent of Australia's Gross Domestic Product. In terms of proportion of the economy that makes them the third largest after those for China and the United States," Tchamkertenian said.
"Hopefully they will start to have a positive impact on consumer sentiment."