An Index to track movement in prices of each cost component in printing industry has been launched by CRISIL, in association with AIFMP.
PRIDEX and CARDEX are indices reflecting the fluctuation in the commercial and packaging printing segments’ costs within the printing industry such as raw materials, finance, selling and administration, etc.
All India Federation of Master Printers or AIFMP, in collaboration with CRISIL Research, has launched the indices.
What is the objective of the indices?
The indices will assist printers assess change in overall cost related to printing activities in order to make informed economic decisions.
Overall approach for construction of the IndexCost component wise mapping of change in prices
All India Federation of Master Printers is an association of printers, established in 1953. It is an apex body of the Indian Printing Industry, with 250,000 members across India. The association has 74 regional affiliates, and is also a member of World Print Congress Forum. While, CRISIL is a global, agile and innovative analytics company driven by its mission of making markets function better. They are India’s foremost provider of ratings, data, research, analytics and solutions.
Trend in CARDEX
• The base value of PRIDEX and CARDEX, taken as 100, represents average cost in fiscal 2014.
• The latest quarter Index values are provisional and may undergo a marginal change during updation in the next quarter.
• For better correlation Selling and Administration expenses have been now linked to CPI (previously IIP) – Based on the understanding that selling and administrative expenses are majorly an extension on employee cost the same henceforth would be correlated to CPI.
• The electricity demand has been fluctuating significantly because of the extended lockdowns and localized lockdowns. Therefore, growth in electricity expenses for current quarter has been kept at zero.
• FY21 is financial year 2021 (April 2020-March 2021); Q1 FY21 (April 2020 -June 2020); Q2 FY21 (July 2020 – Sept 2020); Q3 FY21 (Oct 2020 – Dec 2020); Q4 FY21 (Jan 2021 – March 2021).