17 December 2004 - 2:43pm| by | 0 comments

PPA speaks out against distribution changes

The Periodical Publishers Association (PPA) has spoken out against planned changes to the UK’s magazine and newspaper distribution laws which threaten to cause major problems for Scotland’s newsagents.
The new proposed laws would involve the removal of a block exemption ruling throughout the UK, which would create a free market for magazine and newspaper delivery.
Although on the surface this seems a positive move, the new system has the potential to be disastrous for newsagents based in remote and rural locations, as well as the publishers themselves.
At present John Menzies controls the majority of newspaper and magazine distribution to newsagents north of the border, and is obliged to offer a fixed price rate which ensures that newspapers and magazines can be sold at the same price regardless of whether they are in a city centre store or village shop miles from a town or city.
However, under the new proposed free market system none of the distributors entering the marketplace would be obliged to supply to more remote locations, meaning that these retailers may either have to pay additional carriage costs to receive publications, which will force them to raise the price of their newspapers and magazines to customers, or not receive any at all.
Nick Creed, president of the PPA Scotland, said: “This could have a severe impact on magazine publishing in Scotland. The PPA and other industry groups are currently talking to MSP's about this issue.
“An all party meeting will be held in Parliament in January where the major issues surrounding the new legislation will be presented.”

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