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TIMES No. 42 | 2013


41 | OEM NEWS HP Seeks to Gain Market Share in India

09 | NEWS IN BRIEF InkFactory Makes First 3D Inkjet Cartridges

45 | REGIONAL NEWS 53 | TECH ZONE HP LaserJet Pro 200 M251/276 Black and Color Toner Cartridges

11 | WORLD NEWS 13 | LEGAL UPDATES Ed O’Connor Represents Impression Products Against Lexmark

55 | MONEY FROM HOME At Your Service 57 | MY WORD How To Capture Growth Opportunities

15 | JUST A MINUTE Different Ways 15 | TRENDS Western European Hardcopy Market Grows 17 | NEW PRODUCTS

Recycling Times' Tony Lee meets with Indian Cartridge Remanufacturer' & Recyclers Association (ICRRA) Founding President Anil Sultania and team in Bangalore to discuss plans for conferences in Delhi, Mumbai and Chennai in April 2014.

19 | ENVIRONMENT New ISO Standard for Print Buyers 25 | AFTERMARKET NEWS Support for Indian Remanufacturers




Trends and Opportunities in Digital Inkjet Printing

59 | KEEPING UP Everyone Will Be Affected 56 | THE LISTS

51 | PEOPLE MPS: The No.1 Marketing Trend Kurt Schmelz, President, North American Resellers (NARS)

Inkjet is no longer limited to putting text and graphics on paper or film. The trend is to use inkjet technology to put color images on virtually anything. 35

What A Cartridge Chip CAN and CANNOT Do?

Like the printers they work with, chips seem to be following the “Smaller, better, faster” axiom. They will continue to evolve, but so will our industry. 46

Report on MPS Compliance

Whatever the reality is, MPS is acquiring an increasing priority among all organizations in terms of being a strategic move.

Ali Orgücü, IPM Photo: IPM Recycling Times informs, educates, and nurtures the global printer consumables industry innovatively through an integrated broadcast, print, digital and social media strategy. As such, we honor and respect the intellectual property of all businesses and individuals. Consequently, we take a zero tolerance position to the manufacture, distribution and sale of patent infringing “cloned” and counterfeit printer cartridges and components. We continue to strive to avoid promoting such in our advertisements, articles and editorial content. All rights reserved. © September 2013 by Recycling Times Media Corporation. The contents are not be to copied or republished without official written consent. Editorial content may not necessarily represent the official position or view of Recycling Times Corporation. Readers should apply due deligence when doing businesss with any advertiser or company listed in this publication.|Issue42



Tony Lee

Back on June 4, the International Trade Committee (ITC) ruled some Apple products had infringed Samsung’s 3rd Generation wireless communication technology patent. So they prohibited the importation of Apple’s iPhones and iPads into the U.S. for sale. But on August 3, President Obama overturned the ITC’s orders—the first time a President has done this since 1987, when President Regan rejected an ITC exclusion order, and only the fifth time since the ITC was founded in 1916. It’s interesting to look at the reasons given. The U.S. Trade Representative Michael Froman deemed Samsung, the patentee, could have gained “outsized influence” due to the ITC’s judgment. It was also believed the exclusion orders may have harmed the interests of U.S. Publisher & Managing Director Tony Lee

Directors David Gibbons Sabrina Lo

Consulting Editors Art Diamond, Phyllis Gurgevich

Editorial Team Doris Huang, Jane Yu, Lisa Liang, Violien Wu, Virginia Ruan, Wendy Lee

Graphic Designers Miracle Wei, Kevin Deng

Sales Team Kevin.Zhu, Abby Wang, Tobee Deng, Victoria Zhao

Marketing Team Jessica Yin, Randall Zhang, Sam Ho, Tracy Zhang

Operations Team Charles Lee, Betty Lee, Candy Chen

Subcriptions Joy He,

Regional Contributors Bevelen Sudhu (Africa), Ivan Rosales (Latin America) José Bustamante (Europe), Maurice Aiken (Australasia) Nirmal Hota (India), Sand Sinclair (America)

Regional Offices 6B Xinhai Commercial Building,104 Yuanlin Road, Jida, Zhuhai 519000, China Tel: +86 (0)756 3220716 / 3919266 Fax: +86 (0)756 3220717 24 Ardley Ave Kellyville, NSW 2155, Australia

consumers and the environment for U.S. economic competition. Froman pointed out the ITC is supposed to comprehensively measure the influence its ruling may have on public interest. According to Froman, the U.S. government wants to use the ITC as an agency to support those holding patents, without necessarily “blocking” others from doing business. Blocking may also entitle patentees to claim large amounts from violations of their patent rights on widely-adopted, accepted technologies. According to Forbes, Apple embraced the President’s decision by saying,”We are pleased to see President Obama show his support for innovations in this milestone case.” Florina Mueller from the patent website Foss Patents, expressed the overruling was “a victory for consumers as well as fair competition”. Mueller also thinks the ITC’s orders differ widely from basic antitrust laws, the outcome of which could bring anti-competitive and antiinnovative practices. Personally, I agree with these two opinions. In our industry, enterprises such as HP, Epson, Canon and Lexmark have filed motions to the ITC against aftermarket products and won. Does this give them inflated influence? Have these OEMs taken the advantage of the ITC to “block” other businesses? Aftermarket enterprises are generally small-sized businesses, do not necessarily have the resources to wage a patent war and reluctantly choose to compromise. Does the outcome from this harm the interests of U.S. consumers and the environment for U.S. economic competition? I am not a patent attorney so I have no idea how to measure it. However, Conference@2013, on October 16 in Zhuhai China, will look for the answers. Here you will witness patent attorneys from the U.S., Germany and China debating the issues.

530 West Ojai Ave., Suite 108 Ojai, CA 93023-2471, USA Email: Website:|Issue42

NEWS IN BRIEF Consumer Reports Finds Alarming Ink Waste in Printers

A 2013 Consumer Reports (CR) study reveals a significant percentage of ink is wasted on printer maintenance protocols when a printer is used sporadically. CR concluded, "In intermittent use, plenty of models delivered half or less of their ink to the page, and a few managed no more than 20 to 30 percent." It notes that only Brother printers were "consistently frugal when ink was used intermittently" during the testing. Other manufacturer results varied widely depending on the printer model. This study highlights that businesses and consumers hoping to save on printing costs are in a challenging position. Read more: ■

InkFactory Makes First 3D Inkjet Cartridges

Photizo Says Business Inkjet May Break Laser’s Grip

According to the Photizo Group, the worldwide printer market is still influenced by radical changes in IT, and business inkjet may break laser’s grip on the office printing market. Larry Jamieson from Photizo Group explains, “Though consumer inkjets are declining rapidly, developments in business inkjets, especially page-widearray devices for small workgroups, are faster and offer lower per-page costs than comparably priced lasers.” Printer shipments in 2012 declined to about 111 million units and are expected to drop to about 88 million by 2017. Vendors are busy improving color laser printers with new feature sets and lower per-page costs, but their growth may slow in short time, suggests the Photizo report. Read more: ■


Page Volume Growth Predicted

An IDC study predicts worldwide page volume will remain flat from 2013 to 2017. Page volume in the Asia-Pacific regions, excluding Japan (APeJ) will surpass US consumption and reach the highest market share worldwide by 2015. Also, IDC expects China and India will be the major growth countries in the APeJ region. IDC believes monochrome laser printing will maintain its lion’s share of page volume through 2017. However, researchers see a decline in average monthly print volume (AMPV). Owing to color laser multifunction printers (MFPs), the installed base and pages for color laser are expected to grow, but are also limited by falling AMPVs. Furthermore, IDC forecasts a decline for inkjet’s installed base and pages through 2017. Read more: ■

Zhuhai Seine Joins China’s 3D Printing Industry Union

MPS at Maturity Inflection Point

Print supplies retailer (Lincolnshire, UK) has made inkjet printer cartridges produced on a 3D Printer. The company said the prototype black and color cartridges can print at a comparable speed and quality to Kodak branded cartridges. Also, the 3D printed cartridges have a total plastic material cost of approximately £1.60, compared with £20 for a set of Kodak cartridges. Tim Johnson, Managing Director, said, “We're excited about a future where customers can download a 3D model of a printer cartridge—or any other object—to print at home. A print-your-own cartridge kit could cost our customer less than £5 including delivery.” Read more: Watch more: ■

IDC’s Research Director Holly Muscolino blogged that the Managed Print and Document Services market is at an inflection point in terms of maturity. Though many enterprises have outsourced print management, the maturity of those engagements is relatively low, particularly in the developed, enterprise market. Muscolino said a relatively small proportion of the engagements “include value-added services” beyond the optimization of the distributed fleet of office printers and MFPs. The technology adopted is relatively homogenous throughout the industry, though it is becoming more intelligent and automated. Read more: ■

Zhuhai Seine Technology Co., Ltd. announced it has been invited to be the first premium member enterprise of China’s 3D Printing Technology Industry Union and the Asia Manufacturing Industry Association. According to the company, over 40 visitors from China’s 3D Printing Industry Union visited Seine’s New High-Tech Industry Park and 3D Printing Research Center. Along with the research and development group for R&D of 3D printing technology, Seine declared its basic model of a 3D printing spout has been verified. Also, the company is currently engaged in the R&D of 3D printing engineering and is expected to become a world leader in micro-inkjet 3D printing technology. Read more: Watch more: ■|Issue42


04 Canon Remanufactures Printers for the Middle East

01 New Empties Recycling Website for U.S. Market Seine Image USA (SIU), one of Ninestar’s branch companies has launched an empties recycling website for the US market. The company says it expects the site to help strengthen Ninestar’s cartridge remanufacturing capacity in this region. In order to comply with the “First Sale Doctrine”, Ninestar specified it will only buy empties that were first sold in the US. For more information, visit:

Canon Middle East launched four remanufactured printers selected from its best-selling A3 MFPs: the black-and-white iR3025Ne, iR3045Ne, iR5065Ne and the color iRC3580Ne. According to Canon, the machines are remanufactured at its unique factory in Giessen, Germany. About 93% of the existing components (by weight) are reused. Read more: ■


02 Aster to Expand U.S. Distribution Facility Aster Graphics USA says it will expand a new warehouse and distribution center in Placentia, California. The total floor space will reach 8,600 square meters after 2,000 square meters are added. Leon Yin, President of Aster Graphics said, “Aster Graphics is always committed to looking for ways to improve and maximize our added value services. Now, together with the new warehouse, Aster stocks over 300,000 cartridges ready to ship nationwide, and we will continue to expand with new products and continue to grow our product offering.” Read more: ■

05 OCP’s Ukrainian Distributor Holds Ink Seminar

01 & 02


SINT Ltd., OCP’s exclusive distributor in the Ukraine, organized an ink Seminar in Kiev to promote their new business concept and announce their new strategy for the Ukrainian market. Industry members from all over the country attended the Seminar. In their presentations, speakers dealt with various issues related to OCP products, internet marketing in Ukraine, the new SINT online store, how to work with retail customers, etc. Read more: ■

03 100 Years in Prison for Ink and Toner Scam Philadelphia resident Calvin Duncan will face a maximum sentence of 100 years in prison for selling and shipping ink and toner cartridges to his alleged co-conspirators. He has to pay a restitution of $1,368,091.19 plus a $500 special assessment as well. He is a former mail-room clerk for the Philadelphia Water Department (PWD). Duncan ordered ink and toner cartridges which cost nearly $1.37 million between Jan. 1, 2006 and Jan. 5, 2012. Although Duncan claimed the cartridges were for PWD employees’ use, he sold them for just $545,400. Read more: ■ Issue42|

06 Fake Cartridge Operation Raided in Pakistan According to Pakistan Today, authorities raided a business in Lahore, Pakistan and arrested one person on charges of counterfeiting. HP worked with local police to capture 25 fake ink cartridges, 190 fake toner cartridges and 36,265 cartridge components. HP issued a statement saying it “vigorously defends its brand and intellectual property for Original HP supplies by engaging in industry-leading anti-counterfeiting practices to combat the fraudulent manufacture, distribution and sale of counterfeit HP supplies products.” Read more: ■





China Consumables Market Declines

UTec Boasts Orders for 100,000 SmarTact™ Cartridges

IDC's report revealed the total shipment of printing consumables in China in 1Q2013 reached almost 26.96 million units, a decline of 8.2% compared with 4Q2012. The revenue of printing consumables shipped in 1Q2013 was US$530 million, a decrease of 6% compared with 4Q2012 and a slight decrease of 0.8% YOY. But IDC predicts that the revenue in 2013 will grow by 12.7%.

Union Technology International (MCO) Co. Ltd. (UTec) announced its SmarTact™ cartridge has generated orders exceeding 100,000 units in July. UTec noted that the SmarTact Cartridge demonstrates the value of its commitment to research and development, and claims it will not be affected by the Canon GEO. The SmarTact Cartridge which, UTec claims, can be used in a large number of HP laser printers, also contains other patented design features, such as the toner recycling system and the chip holder. Read more: ■

Read more: Watch more: ■

10 Japanese MPS Market To Reach US$745 Million


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IDC reports Japan’s MPS market revenue reached 34.69 billion yen (US$ 351.29 million) in 2012, up 17.5% year-overyear, and predicts it will reach 73.6 billion yen (US$745 million) in 2017, with a compound annual growth rate (CAGR) of 16.2% between 2012 and 2017. In Japan, print vendors have been deploying MPS aggressively to promote their growth in the printing market. User companies, which have suffered through tough economic conditions, expect MPS to reduce their printing costs and improve employee productivity. Read more: ■

11 07 Value Added Tax on Toners and Cartridges Reduced India’s Madras High Court in Chennai recently acknowledged printer toners and cartridges as computer peripherals, and ruled that they be assigned the lower Value Added Tax (VAT) of 5%. Four years earlier, the Department of Commercial Taxes recognized these products as non-essential capital goods or consumables and classified them under the 14.5% VAT category. Read more: Watch more: ■

Brother Industries Inaugurates Philippine Facilities

12 HP Opens New Delivery Center in the Philippines

Brother Industries (Philippines) Inc. held an inauguration ceremony at its new factory in Batangas Province. This facility will manufacture ink cartridges of Brother's inkjet and multifunction printers. Another new facility will be built in the near future. The new facilities, housing inkjet business and manufacturing operations, will bring the total workers by the plants to about 3,500 employees by 2015. Benigno Simeon Aquino III, President of the Republic of the Philippines also attended the ceremony.

HP recently opened a new delivery center in Quezon City, Philippines. The center will start commercial operations later this year. The site, the third location of its kind in the country, will provide off-shore applications infrastructure technology and business process outsourcing service. HP stated its presence in the country has grown since its first location opened in 2003. It said the new site highlights HP’s ongoing investment in both the Philippines and Asia.


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LLEGAL UPDATES ITC Goes Public on Canon Complaint 337-TA-829 Watch more: ■

More Manufacturers Respond to GEO

HP Shareholders Denied Fraud Claims


30 days after granting a general exclusion order the International Trade Commission (ITC) has gone public saying why it did not issue a limited exclusion order on Canon’s drum patents. The commission says there was evidence companies who infringed Canon’s patents, often did their business under multiple names and profiles. Further, it found foreign companies often kept large stocks of infringing products as part of a venture with domestic companies. The commission also found it was often difficult to identify

the foreign source of infringing products. The concluded a general exclusion order was the only way to protect Canon's intellectual property in the USA.

Static Control Components claims its ZeroTwist™ Gears were the first-to-market solution for remanufacturers and are still the only solution protected by multiple U.S. patents. The unique, fully functional gear is designed to eliminate any risk of infringing Canon’s gear coupling patents. General Plastic Industrial Co., Ltd. (GPI) claims its current designs are not subject to the GEO and its unique flower gear is covered by U.S. patent 6,173,146. In addition, GPI has applied for patent

protection for its new, non-twisted, “Enneagon” gear. GPI notes that it was not a party to the GEO proceeding and Canon accused none of GPI’s products in the investigation No.337-TA-829.

U.S. District Judge, Jon Tigar has dismissed a lawsuit against HP and its former CEO Mark Hurd (pictured). According to the Chicago Tribune, HP was found not to have violated securities laws despite making a commitment to be “open, honest, and direct in all our dealings” because such statements were too vague and general. This means shareholders cannot pursue fraud claims over Hurd's alleged violations of HP's standards of business conduct. Hurd resigned from HP in August 2010 after sexual harassment allegations. An internal HP probe cleared Hurd of the

charge, but found he had filed inaccurate expense reports. The departure of Hurd led to a drop in the company's share price. The Tribune says “HP's market value, which at the time topped $100 billion, has since fallen by roughly half."

IN BRIEF Ed O’Connor Represents Impression Products Against Lexmark Famed US patent attorney Ed O’Connor will represent printing supplies vendor Impression Products in the U.S. District Court for the Southern District of Ohio. He will seek a declaration of noninfringement from the Court, in the John

Doe lawsuit filed by Lexmark. Lexmark has alleged that 36 companies sold or remanufactured toner cartridges that were first sold outside the United States. Based upon the existing first sale doctrine, these sales infringed Lexmark patents. O’Connor said, “If you read the U.S. Supreme Court copyright case, which is the Kirtsaeng vs John Wiley Publications,

the rationale given by the Supreme Court would have to apply to first sales of patented products as well as copyright products.” Read more: Watch what Ed O’Connor says on: ■ Ed O’Connor is speaking at Conference@2013: Prepare for Change in Zhuhai, October 16, 2013 (See p32).|Issue42




IDC Report Names Lead-to-Success Elements for MPS Market IDC predicts the MPS market will continue to grow and the market demand for cloud-based applications, mobile devices, plus the increasing socialization of business applications, are all rapidly changing. According to IDC, MPS must include the following “Lead-toSuccess” elements: Contract scope (refers to third-party management of a group or fleet of printers and/ or MFPs); multiyear contract length; office environment; ink/toner and maintenance/repairs; printer/MFP hardware purchasing and leasing; consolidated fleet billing; fleet usage monitoring, detailed up-front assessment; fleet usage analysis/

reporting; ongoing optimization; governance; assessment; design/ optimization; device and supplies management; security; mobility and remote users; governance and change management; end-user report as well as reporting and analysis. Read more: ■

Western European Hardcopy Market Grows An IDC study of Western Europe finds the overall hardware market revived in the 2nd quarter of 2013 with an increase of 4.3% in the to over 4.69 million units compared to 4.50 million units in the same period last year.

Main Highlights of the report include: • The majority of market growth is attributed to increases in laser products. Both printers and MFPs showed doubledigit growth. • Color products posted the strongest YoY growth at 17.3%. Actually, the entire color segment showed strength with both the A4 and A3 printer segments and MFPs increasing. • Business inkjets increased YoY by 22.5% to over 345K units, but consumer inkjets contracted once again by 2.3% to just over 2.56 million. Read more: ■

China to Become Largest Consumer Market By 2018 Standard & Poor's (S&P), an American financial services company, recently ort titled completed a report Financial Risks Are Rising as Retail and Consumer Product Companies Step Up their Spending Spree. The report projects China, nd-largest the world’s second-largest vertake the United economy, will overtake

States to become the largest consumer market by 2018. According to th the S&P study, total retail ssales of consumer goods in China reached $3 $3.29 trillion, gro a 14.3% growth rate compared wi with $4.35 trillion in the US market market. Also, Chinese consumer compan companies are seeking growth opportunit opportunities outside and planning to con conduct overseas acquisitions. Read more: ■|Issue42

Different Ways I’ve just returned to China, from a trip to India. In both countries, it would appear, anything with a wheel has good reason to share the same road. Buses and trucks are jammed up next to bicycles, carts and vehicles which resemble props from a Mad Max movie set, yet powered by not much more than a lawn-mower engine. It’s different. According to an internet-based survey of 2,000 travellers from 80 different countries, Italy has the most notorious reputation for driving, where “the red, yellow and green traffic signals … are obeyed no more than Christmas lights”. That’s different, too. Earlier this year, I travelled to Germany and Switzerland. In Switzerland, there is a “no honking” law—something that would not work in Asia where you are obliged to honk to advise wobbly bike riders and pedestrians on the road that you are behind them and coming through. Then it occurred to me the way people do business in each country, is different too. In many cases, it’s somewhat similar to the way people drive in that country. The precise, sleek and sharp business practices of Germans do resemble their autobahn roadways. And the use of driving within the dotted lane as being “a suggestion” in India and China reflects the opportunities its citizens will take, to do business there. At first, as an Australian now living in China, I found the different ways of driving offensive. I’m sure I would have been shot if I tried the same techniques in Los Angeles, for example. However I have learned there is not really any right or wrong—it’s just different. So the way I must do business in each country, must also be different. So if you think the Chinese will simply abandon the lucrative US market because of the recent GEO, then I think you’re mistaken. It’s simply not how they do business. They will look for a workaround solution that might resemble their drivearound obsession on their roads! This is, after all, one of the reasons why the clothes you wear, the tools you use, and the products you consume mostly come from China. Printing consumables will be no different. One excellent result from the GEO will be a new respect for the intellectual property of OEMs. But it will not stop the different, yet innovative, ways others in other countries do business.



Static Control Unveils Universal Cartridge Packaging System Static Control Components (SCC) have launched a newly redesigned universal cartridge packaging system which, the company claims, can be used for more than 300 different cartridge models. The boxes, airbags and labels are designed to work together affording maximum cartridge protection in shipping. SCC noted that the boxes and

airbags are provided in 5 sizes.. Further, the company claims its airbagss can simplify the packaging processs and the customizable label enables remanufacturers to easily put their company logo and information on each box. Read more: ■

CET Intros Toner Cartridges for Canon imageRUNNER Advance Series China Eternal Copiers Technology Co. Ltd. (CET), headquartered in Beijing, China, announced the release of aftermarket toner cartridges for the Canon imageRUNNER (iR) Advance C2020/2025/2030/2220/2225/2230 multifunction printers (MFPs). CET says the cartridges utilize a patented design which helps to ensure the stability of toner consumption. CET claims the new series of toner cartridges have gone through a sequence of tests, including environmental, sealing inspection and package inspection. CET also noted that its toner cartridges

can help lower the cost per page while providing high print quality. Read more: ■

Future Graphics Offers New Chips, Seals Future Graphics have launched new replacement chips for remanufactured

Ninestar Offers Ink Cartridges for Brother Printers Ninestar Image Tech, Ltd., headquartered in Zhuhai, China, says it now offers new ink cartridges for Brother 61-G Series inkjet printers. The company claims the products—which will be available in the market soon—are the only solution for the OEM’s patented cartridges across the global aftermarket. In addition, Ninestar stated the new ink cartridges provide a unique patented design and competitive printing performance. Also, the company said the products, offering all-in-one design and simple structure, replace the OEM cartridge and the products’ prism test device which ensures cartridge recognition and residual ink testing. Read more: ■

cartridges enabling tem to work in Samsung ML-3560 and ML-3561 printers. The original monochrome cartridges are ML-3560DB. Also, the company has also introduced replacement seals for remanufactured cartridges in Samsung ML-4550 and ML-3560, as well as Xerox Phaser 3500 models. Read more: ■

Katun Releases Series of Toner and Components Katun has launched a new series of toners and components for Ricoh and Sharp digital printers. The company’s new range of products include the Performance™ color toner set for Ricoh Aficio C4501/C5501 Series printers; Business color toners for use in Ricoh MP C300/C400 Series printers; Performance

monochrome toner for Sharp MX B 402-series machines; and Performance

Drum Unit Rebuild Kit for Sharp DX and MX-C310/C311/C401 Series digital copier/printers. Katun aims to provide a comprehensive product offering to office equipment dealers across the world. Read more: ■|Issue42



Toshiba Improves Its Environmental Footprint; Releases Erasable Toner Toshiba America Business Solutions (TABS) released a multifunction printer with an erasable toner, enabling the reuse of paper. The company claims the product can help reduce carbon dioxide emissions by up to 57%, which was validated by the British Standards Institute, a global national standards organization.

Further, TABS said it will continue to offer customers free toner recycling through its zero-waste-to-landfill toner partnership with Close the Loop and announced that it accepts its own toner and any other brand of spent toner cartridges. Read more: ■

New ISO Standard for Print Buyers A New standard, ISO 16759, was developed by the Verdigris Project, a UKbased environmental initiative based on input compiled from different manufacturers and environmental scientists working in the printing industry. The new standard covers all types of printed matter ranging

from labels to newspapers and transactional mail. It maps out a common method for calculating the carbon footprint of these products. Print companies in Germany, Japan, and the US are among early adopters to implement the standard. It’s said it will become more important as print buyers recognize the value of it for their CSR policies. Read more: ■

Thinking About Africa Inking About Africa is a UK based charity helping raise funds for education in the Gambia, Africa. It has raised more than 7,000 British pounds, or 11,000 US dollars by collecting and recycling thousands of used ink and toner cartridges. So far, the money raised has been spent on basic learning equipment for schools and several development projects in the Gambia, West Africa. This year, a well was dug for the Jinack Primary school in the Gambia, giving the children clean water for the first time. The project has been so successful, organisers will continue to collect more empties for recycling. Mark Hickie, Chairman and Co-founder, Inking About Africa said, “Our plans for the next year is to continue to grow at the rate we have been which has been very successful in the Gambia.” Watch more: ■|Issue42

As we move further into the 21st century, inkjet continues to explode into many new markets and applications. The majority of office printing is still on paper, but wide format has expanded into a multitude of substrates, including coated and uncoated papers of varying basis weight and smoothness, plastics, films, vinyl, fabrics and garments. There has been a clear demarcation of the indoor printers, that mainly employ water-based inks, and outdoor printers, that use mostly pigments (rather than dyes) dispersed in solvent inks. The primary distinctions are water solubility and UV fade resistance. Both image quality and machine reliability have been upgraded dramatically. With these improvements, sales soared and many new companies entered the market. Third party producers have been developing inks and media that allow inkjet to compete in new markets. Soon every type of indoor image that did not

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Charles L. Sharp rp, CEO, O, Digiita al Im mage Technolo ogy

require a large run will be made on an inkjet printer. Outdoor inkjet printers even rendered obsolete the only viable competing technology—electrostatic imaging. As sales to traditional markets plateaued, both OEMs and third party players scrambled to find new markets. What they learned is that the key to growth lies in finding new applications. Essentially, inkjet trends evolved from being technology-driven to applicationsdriven! Ink Technology Overview Liquid ink technologies can be divided into five basic types: Solvent inks are used where outdoor durability is needed most. They consist of a high VOC (volatile organic compound) fluid that can bind to many substrates. The major application is outdoor vinyl signage and billboards that offer high resistance to sun, wind, rain, air temperature, humidity, etc.

This technology is well developed and widely used, but is in a long term decline due to the risk of environmental damage presented by the high VOC content. Government regulations around the world are growing quickly, forcing manufacturers to develop alternative solvents. Eco-Solvent Inks were initially developed as a low cost ink, but have evolved as a more environmentallyfriendly ink that still has good UV stability and can bind to a reasonably wide range of substrates. UV-Curable inks use chemicals that cure upon exposure to ultra-violet light instead of relying on evaporation of the water or solvent to bind to its intended substrate. The UV light changes the ink from a liquid to a solid almost instantly. These inks are used mostly for printing on rigid substrates for POP (point of purchase) display graphics. While the printers are quite expensive, elimination

of the mounting process makes the final output economical for extended run, advertising jobs. Latex inks are the latest development. They replace solvent and eco-solvent inks and are environmentally friendly, by comparison. Aqueous inks are mostly known as those used in desktop office printers from narrow to wide format, for everything from text to graphics to color photographs. Over the years, these inks virtually saturated the market. However, as new applications were targeted for conversion to inkjet, scientists concentrated on aqueous technology due to its environmentally-friendly composition and its wide range of chemical compositions. Decorative & Advertising Uses The scope of applications that are now either being printed by inkjet, or are being targeted for inkjet, is astonishing.

Chuck Sharp, with over 25 years of experience in the imaging industry, formed Digital Image Technology in 2001 as a consulting firm specializing in business, marketing, sales and technical management for inkjet printers, consumables and other imaging products in the digital imaging industry.

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Let’s review a few of the more move beyond prototyping and become a with advertising, you can also wrap an interesting ones. new method of manufacturing! entire building! Durability has also been Textile and garment printing with Inkjet could become one of the substantially improved. In addition to inkjet has grown exponentially in the interior floor coverings (“floor graphics”) greatest advances in packaging. Within last few years. Not only are we printing the last two years, inkjet packaging for there are inkjet printable materials that soft signage in very large quantities, but prototyping and mockups has moved adhere to asphalt roads and concrete we are inkjet printing designer fabrics, from concept to reality. Utilizing UV walls for outdoor advertising. sports apparel, T-shirts, gaming surfaces, LED curing inks, graphic imaging on backdrops, flags, banners, quilts and packaging materials is now in common Industrial Uses Don’t limit your imagination. Inkjet even automobile, boat, aircraft and use. printing is not just for text or graphic building interiors. We have developed Edible inks are yet another application images. Inkjet is now satisfying a wide specialty inks to print both natural fibers known to a relatively few, but it, too, variety of industrial uses. Industrial and synthetics. We have even recently is growing exponentially. Inks safe for developed pre-treatments (primers) human consumption allow the that allow us to use one type of ink decoration of cakes cookies, eggs, Inkjet is no longer limited to to print on both natural and synthetic fruits and vegetables, either for fabrics. Using printer technology putting text and graphics on paper advertising or special events. that is currently under development, With advances, we now are or film. The trend is to use inkjet seeing these inks used not only to all but the longest runs and lowest cost fabrics can be printed with technology to put color images on mark the food, but also to mark digital inkjet! the packaging from the inside virtually anything. We are also digitally printing allowing far better marking that is wallpapers, tiles, floor coverings not easily rubbed off and resists marking that had traditionally been done and vinyls. The ability to do mass tampering. by silkscreen (or by analog processes), is customization of the interior surfaces is With advances in print head now being replaced by inkjet. Electronic of great interest to both commercial and technology, full-width nozzle arrays, circuit boards can now be printed via home designers. Also, auto, airplane, even page arrays, are possible. With inkjet enabling huge cost reductions, bus, train and building interiors can now these new print heads, the speed of faster design, and a quicker “time to be easily customized with inkjet. This an inkjet printer can be increased market”. And while not technically ink, not only fits the design business, but dramatically, and with improved even displays, such as on cell phones or also the advertising business as some of reliability. In the future, everything from flexible substrates, can be “printed” with the materials can be quickly and easily newspapers to mass advertising materials fluids that resemble ink. changed to satisfy the designer, or to will likely be printed by digital inkjet. Also in the industrial sector, a whole meet advertising goals. new capability is emerging in the form As long as we are printing the Opportunities Inkjet is no longer limited to putting of 3D printers. Primarily for rapid interiors, why not print the exteriors! text and graphics on paper or film. The prototyping, 3D printing enables the user Vehicle and bus wraps have now been trend is to use inkjet technology to put to create virtually anything that can be done for a few years. However, this color images on virtually anything. entered in a CAD program. These 3D sector is being taken to another level. Find an application that has not been printers use a phase change ink that was The newest materials allow complex exploited, and you’re bound to discover pioneered many years ago. As it evolves, curves and fitments, so not only can a new opportunity. ■ this sector of INKJET printing may you wrap cars, trucks, buses and trains Chuck Sharp will speak at Conference@2013: Preparing for Change in Zhuhai, China on October 16, 2014 (See p32). He can also be reached at|Issue42

AFTERMARKET NEWS Clover Expands Into Telecommunications Sector Clover Holdings, Inc., the US imaging supplies remanufacturer, announced it has accomplished the acquisition of American Communications, which is a leading supplier of telecommunications hardware.

According to Clover, the acquisition will help it expand into the telecommunications sector. Also, the company believes it is “a significant addition to Clover’s growing telecommunications business”. Jim Cerkleski, CEO of Clover Holdings Inc., said, “Our acquisition of American Communications clearly demonstrates Clover's commitment to building an industry-leading telecommunications asset management portfolio." Read more: ■

Dinglong Reports Strong Growth in Color Toner Sales According to Hubei Dinglong Chemical’s earnings preannouncement, net profit in the first half year is RMB 30.9 to 34.6 million (about USD $5 to 5.6 million), up by 25% to 40% year-on-year, compared to 2012. Channel building for color toner has paid off. The firm predicts that color toner sales in the first half of 2013 will reach beyond 100 metric tons and will rise rapidly. The market may see the prospect of color toner lower than expected, but Dinglong thinks the market fails to see the difficulty


Hanguang Toner Plans to Produce, Sell 8,000 Metric Tons of Toner in 2013 Handan Hanguang OA Toner Co., Ltd (HG Toner) is planning its toner manufacturing operations based upon production and sales of 8,000 metric tons of toner in 2013. In addition, HG Toner said its new model HG230 product earned a good reputation according to results detailed in favorable market reports. HG Toner is a toner manufacturer in China with more than a 30-year history, claiming it has focused on toner for HP Series printers for more than 10 years. Read more: ■

in substituting color for monochrome toner and therefore overestimated the advancing speed of new products. Read more: ■|Issue42


Konica Minolta Enters A4 Printer Market Konica Minolta trumpeted its entry into the A4 printer market with the introduction of production and color printers and the appointment of three new partners: PG Micro Systems Pvt. Ltd., Positive Systems, and Anugraha Agencies, for Haryana, Bangalore, and Kochi regions, respectively. Mr. Tadahiko Sumitani, Managing Director, Konica Minolta Business Solutions India, said, “These new A4 Series are set to take our printing solutions offering in the Indian Market to new dimensions. Both the home segment and small offices are set to benefit from these products with competitive prices and low cost of operation.” Read more: Watch more: ■


Manufacturer Ties Up the Market The dot ma matrix printer market may be mu much smaller than ink and ton toner, but it’s still very significant, particularly in India. Ribbon manufacturer SPINK, based in New Delhi, is still importing 80 million meters of ribbon every year. Nirmal Bhansali, Managing Director of SPINK imports the ribbon from China, Korea and Germany. His company sells half of it to other dot matrix

ribbon manufacturers, but manufactures its own inked ribbons from the other half. And every month, it also fills 200,000 bottles of monochrome toner and sells 80,000 OPC drums and 50,000 wiper blades for the remanufacturing industry. According to Bhansali there is a lot of potential in the Indian print consumables market with only 1% currently being filled by remanufacturers. Watch what Nirmal Bhansali has to say on: ■

Support for Indian Remanufacturers More attention is being given to the developing printer market in India. Some estimate that combined, refilled cartridges take up almost half of the market share in the country. Better quality remanufactured cartridges are available from established shops, but they have less than 5% market share. Members of the Indian Cartridge Remanufacturers and Recyclers Association (ICRRA) met with Recycling Times boss Tony Lee, to start planning a series of one day conferences. The one-day conferences will

bring remanufacturers together in three cities in April 2014, in Mumbai, Chennai and New Delhi. Watch what Deepak Jalihal, Founding Secretary of ICCRA, has to say on: ■|Issue42







BLEND Art Diamond, Senior Consulting Editor

Imaging Products Manufacturing (IPM) is the largest independent, dry toner manufacturing plant in Europe. With a new facility that went on stream in March 2012, and another line scheduled for startup in August 2013, IPM’s capacity will stand at 240 metric tons of toner per month. IPM sells to customers worldwide, providing copier and printer toners to those sensitive accounts focused on product quality, consistent performance and competitive pricing. IPM is a division of KTKS Corporation, a 45-year old chemical company that produces chemical products, including mineral fillers, coating pigments, ground calcium carbonate, brick, hydrated lime and other construction and road building materials. Most impressive about IPM’s stunning growth is its David and Goliath performance with respect to its giant competitors: the OEMs and major independent toner producers. The remarkable reality is that this smallest KTKS subsidiary has pulled itself up by its own bootstraps in the face of daunting competitors, using funds earned from product sales! Indeed, IPM is a model of strict financial management and strategic organic expansion. Part of IPM’s growth is due to the high quality of its product line. The rest is attributed to the protection extended to its customer sales channels and to its competitive pricing policy, supported by a clever combination of toner formulation and a strategic choice of raw materials.

IPM's Management Team Mr. Ali Orgücü, Managing Director (Middle)|Issue42


Mr. Ali Orgücü, IPM Founders and General Manager (left) Mr. Lütfi Orgücü, Chairman & CEO

The Istanbul plant was originally At the Crossroads The Perfect Blend IPM’s location is ideal to serve accounts Toner formulation is a unique challenge designed and engineered to include the in continental Europe as well as its Asian as it involves many components, such latest compounding, grinding, classifying and Middle Eastern customers. That, of as, black and colored pigments, charge and pack filling equipment. It went oncourse, is the history of Istanbul and its control agents, internal release agents, stream with copier and laser printer toners. unique situation at the crossroads of Europe magnetic iron oxides, powder flow agents, The toner manufacturing technology used and Asia. Indeed, since biblical times the binder resins, silicas, and waxes. Creating, in the plant was independently learned, not city, originally named Constantinople, controlling and maintaining the right purchased or transferred from any other hosted merchants travelling the Silk Road, composition for hundreds of individual manufacturer. bringing products overland from China, formulas for different copier and printer The quality of toner has a dramatic India and other Asian countries to markets engines is crucial, but not enough to make impact on print performance. Dry toner is in Europe and the UK. It is also a major a perfect toner. The secret lies in using the one of the most complex products in the seaport linking the Mediterranean and best raw materials combined with the latest plastics industry as it requires extreme Black Seas and only a short ferry ride to technology to ensure the resulting product homogeneity in the melt mixing and southeastern Europe. blending process. Every pigment and Founded in the year 2000, IPM’s additive particle must be uniformly Most impressive about IPM’s Istanbul plant is conveniently located dispersed throughout the mix. When stunning growth is its David in the Gebze Organized Industrial the extruded product is cooled, Zone (GOSB), which is the leading and Goliath performance with solidified, granulated and jet milled and most prestigious industrial park from roughly 7 mm down to 7 respect to its giant competitors: microns—1000 times smaller than its hosting many foremost Turkish and international offices and factories. original size—every particle will have the OEMs and major GOSB is located in the city of Kocaeli independent toner producers. the same composition as its neighbor. which is 45 Km east of Istanbul. Starting from Scratch Ali Örgücü, IPM’s Managing When IPM started up operations in is a perfect blend. That is, perfectly Director, explained, “KTKS has more Istanbul, it was unfamiliar with the uniform from point to point within a than 45 years of manufacturing and toner industry. True, IPM’s scientists particle and from one particle to the next. development experience with fine particle and engineers were fully competent and As Mr. Örgücü puts it, “We learned technology. That know-how gave us the knowledgeable on the subject of fine early on that experience drives technology. ability to choose the best combination powder grinding, classifying, blending Experience comes from pioneering of machinery and raw materials, and handling, but toner technology was work in quality control on existing toner plus the confidence to enter the toner something they had to learn from the products, coupled with research and manufacturing industry. We also profited ground up. The challenge to develop IPM development on new toners. In this regard, from the extensive experience KTKS has into a successful business fell upon the IPM continuously invests in technology, in grinding, separation and classification of shoulders of Ali Örgücü and his staff. ultra-fine particles to achieve the controlled equipment upgrades, and operating knowhow to keep our leadership position ahead particle size and distribution required for Continued on p31 >> of the competition.” the best toner powders.” Issue42|


They started at Square One with zero output. They were the smallest subsidiary among a chain of chemical plants owned and operated by parent KTKS. “We’ve come a long way,” said Ali, “today we are one of the leading toner producers in our territory. Our workforce now numbers 110 employees, occupying 8,000 square meters (m²) of production and filling floor space; 20,000 m² of warehouse space, and 2,000 m² of office space. About 95% of our products are shipped to customer accounts outside of Turkey. Indeed, IPM sells to customers in more than 100 countries around the world with the European Union as our main market region.” Vive la Différence! “One fact that differentiates IPM from our competitors,” notes Ali, “is our clear understanding of the toner particle and how important is the melt mixing process in achieving complete homogeneity. This uniformity must exist within each particle and from one particle to the next. Our years of laboratory R&D and production plant experience have taught us how to create the most uniform blend of resin, pigment and additives through advanced extruder design, operation and maintenance.” Ali continued, “A second point of differentiation lies in our deep analysis of each OEM toner we must replicate. Here IPM chemists and engineers have learned to focus on the printers and copiers that employ the toner. Because each imaging device is exceptional, we have learned to focus on the components, that is, the developer unit, OPC drum, fuser assembly,


etc., and formulate toners that are perfectly compatible with each of these parts and their functions. This is a difficult way to design toner, but it is a systematic approach that ensures our products will guarantee satisfied customers.” “Third, and most powerful is our customized plant equipment for mixers, blenders and extruders. We fully understand the importance of proper mixing and spend a tremendous amount of time and money to achieve the proper shape of mixers, mixing blades, order of addition, and other key factors.” “Fourth, and of extreme importance, is the strong side of IPM’s position: a debtfree balance sheet. Never in our history, have we borrowed funds or sought credit. The source of all of our quipment, investments in equipment, aterials construction, materials oud to and staff, I’m proud ys has say, is and always unds been, existing funds earned by IPM from sales of our fine toner products.” ncludes “Finally,” concludes IPM’s President,, Mr. our Lütfi Örgücü, “our ented strict quality oriented arded by mentality is rewarded the satisfaction fed back mers, from IPM customers, y a steady and validated by increase in tonerr sales.” ■ Find out more about IPM:|Issue42




Guosong Wu, General Sales Director Floor 10, Building D, Zhongguancun Gongguan, No.16, Haidian Zhongjie, Haidian District, Beijing, China 100000 Tel: +86.10.6263.7518 Email:

Monochrome, Mechanical

Jessica Lin, General Manager Room 603, C Block, Yi He Guo Ji Office Building, Cangzhou Hebei, CHINA 061000 Tel: +86.317.377.8260 Email: Website:



Jade Park, Overseas Sales Manager No.435, Wolmi Dong, Gongju City, Chuangchengnam Do, Korea 314-160 Tel: +82.41.858.3573 Email: Website:

Steven Shen, Manager 5 Wenzhu RD, Dongcheng District Dongguan City Guangdong, China 523121 Tel: +86.769.2203.2521 Email: Website:

Color, Mechanical

Monochrome, Mechanical



Mr. David Wong, General Manager 7030 Ang Mo Kio Avenue 5 #04-13 Northstar@AMK SINGAPORE 569880 Tel: +65.6659.1121 Email: Website:

Color, Monochrome

Color, Monochrome, Mechanical

Philip Kuo, Toner Sales Director Room 409, Building No 1, Heng He Center, No.313, East Renmin Road, Xiangzhou District, Zhuhai, China 519000 Tel: +86.756.262.7120 Email: Website:

Color, Monochrome, Mechanical



JP Choi, Overseas Sales Manager Gondan-dong, Gumi-si, Gyeongsangbuk-do, 730-906 SOUTH KOREA 313-4 Tel: +82.42.719.7700 Email: Website:

Ren Weicai, Manager of Sales & Marketing Department Cun Yabu Lukou, Zhucun Zengcheng, Guangzhou CHINA 511370 Tel: +86.20.8285.0888 Email: Website:

Color, Chemical

Color, Monochrome, Mechanical



Kang Ning, Manager Room 701, No.8, Tianke Road, Tianhe District Guangzhou, China 510635 Tel: +86.20.8527.9201 Email: Website:

Kui Liu, General Manager Shatang Road, Sanjiangli 3 Road Shitan Town, Zengcheng District Guangzhou, China 511325 Tel: +86.20.8244.2620 Email: Website:

Color, Monochrome, Chemical, Mechanical

Color, Mechanical


Terry Gorka, Managing Director The Tiara Group

This year, Recycling Times combined its monochrome and color toner databases into the single Directory presented here. Each of the listings shown is identified by the type(s) of manufacturing process employed—chemical, mechanical or both—and the products offered—color, monochrome, or both. Both OEM and independent (or contractor) toner plants are shown, although there are several crossover cases where a producer may be serving both OEM and aftermarket channels. The term “mechanically produced toner” (MPT) includes some rather limited variations of the melt-mixing process. Among these are variations in extrusion (continuous) and Banbury or roll mill (batchwise) type intensive mixing devices. Some plants have added toner rounding systems downstream of the fine grinding or jet pulverizing step. For chemically produced toners (CPT), the spectrum of variations is much broader, extending from polymerization of the toner resin, as in Xerox’s emulsion aggregation (EA) technology, to Kodak’s evaporative limited coalescence (ELC) process— where the feedstock is a single polymer or polymer blend—to DPI Solution’s chemical milling procedure. Finally, we found it extremely difficult to sort out products-especially chemical color toners—that are being sold (resold) but not actually produced. So, we are using the word “offered” to designate the availability of a particular toner without specifying its manufacture by a listed entry. Please note that the TONERS 2014 Conference will be held in Santa Barbara, CA on June 2-4, 2014. For more information, contact Terry Gorka by Tel: +1 (805) 340-0608, or e-mail:|Issue42





Suping Zhao, Sales Manager No 12, Zhongchuan Road Economic Development Zone, Handan Hebei, China 056000 Tel: +86.310.570.8868 Email: Website:

Junlin Wang, Sales Manager No.19 Century Street Developing Area of Handan City Hebei, China 056007 Tel: +86.310.816.6069 Email: Website:

Color, Monochrome, Chemical, Mechanical

Monochrome, Mechanical



Paul Young, Sales Manager No. 1 Dongjing-river Road WETDZ Wuhan, China 430057 Tel: +86.27.5959.6633 Email: Website:

Color, Chemical

Li Dongmei, Business Manager No. 1 TE, Xingang Road 1, Hi-tech Development Zone, Huanggang District Hubei, China 430057 Tel: +86.713.882.2121 Email: Website:



Sarah Zhang, Marketing Director Plant 2, No.3, Fushan Shi Lu, Fushan Industrial Park, Zhuhai, CHINA 519060 Tel: +86.756.869.9868 - 831 Email:

Masatoshi Mimura, International Sales Manager 11-25, Daikan-cho, Hiratsuka-shi, Kanagawa 254-0807 JAPAN Tel: +81.463.230.305 Email: Website:

Color, Monochrome, Chemical, Mechanical

Color, Monochrome, Mechanical



Jane Chia, Marketing No. 1, Jalan Peguam U1/25A, Seksyen U1, Hicom-Glenmarie Industrial Park, 40150 Shah Alam, Selangor, Malaysia Tel: +60.3.7804.0333 Email: Website:

Mr. Jain, President 1223 DLF Tower 'B', Jasola New Delhi - 110 025, India Tel: +91.11.4501.7000 Email: Website:


Color, Monochrome, Chemical, Mechanical

Color, Monochrome, Chemical, Mechanical



Libing Wang, Manager Fu 1, No.65, Wenhua Road Jinshui District, Zhengzhou Henan, China 450000 Tel: +86.186.9586.2330 Email: Website:

Sanjeev Mahajan, Vice President NAND ipl, 10B, Sector-30, Opp-32nd Milestone, Gurgaon, Haryana-122001, India Tel: +91.124.4200.657/658/659 Email: Website:

Color, Monochrome

Color, Chemical



Fiona Zhu, Sales Director Gaochun Economic Development Zone Nanjing, China 211316 Tel: +86.25.5686.0508 Email: Website:


Fuhua Lin Vice Sales Manager No. 168, Nanshan Road North, Fenghua Zhejiang, CHINA 315500 Tel: +86.574.5637.8250 Email: Website:



Yi Min Huangjinkou Industrial Zone, Hanyang District Wuhan, Hubei, China 430051 Tel: +86.27.8464.9396 Email: Website:

Umesh Desai, Managing Director C1-237/2, 3 & 4 and C1 238/1 GIDC Por-Ramangamdi, Gujarat Distric Vadodara, INDIA 391243 Tel: + Email: Website:

Color, Monochrome

Color, Chemical

Monochrome, Mechanical|Issue42




Ms. Cecilia Wu, Assistant Manager 8th Floor, No. 63, Sec. 1 Dee-Hwa Street Taipei, TAIWAN 10344 Tel: +886.2.2555.9928 Email: Website:

Doris Deng, Senior Business Manager 8 Prosperity Road 1, Hsinchu Science Park, Hsinchu, 30078, Taiwan Tel: +886.3.578.3366 Email: Website:

Monochrome, Mechanical

Color, Chemical



Li Yi, General Manager Puzhuang Road, Wuzhong District Suzhou, China 215105 Tel: +86.512.6653.5879 Email:

Haiping Tu, Sales Manager No.1, Xi jiang Road Jiefang Road South, Hexi District TianJin, China 300221 Tel: +86.22.8824.0310 Email: Website:

Monochrome, Mechanical


Monochrome, Mechanical



Mr. Nakamodo, Sales Manager 1-7-1 Kyobashi, Chuo-ku Tokyo, Japan Tel: +81.3.3561.7121 Email: Website:

Mr. Zhao Yu, Business Manager Cuizhu Road, Hi-tech Development Zone of Zhengzhou Henan, China 450000 Tel: +86.371.6398.9052 Email: Website:

Color, Monochrome, Chemical

Color, Monochrome, Mechanical



Robin Zhang, Sales Director 5/F, Block 2,Zone B, He Kan Industrial Park No.41 Wu He South Road,Long Gang District, Shenzhen, China 518129 Tel: +86.755.8303.1816 Email: Website:

Liu Zhengyu, Marketing Manager No.270, HuangJinKou Sancun Qinduankou Street, Hanyang District Wuhan, China 430051 Tel: +86.27.8445.2911 Email: Website:

Color, Chemical

Monochrome, Mechanical



Zeng Xiao Peng, General Manager No. 351, Caidian District, Yongan Street Wuhan, Hubei, China 430100 Tel: +86. 27.6940.8555 Email: Website:

Monochrome, Chemical, Mechanical

Gary Xie, Manager Assistant Zisong industry, Xiongchu Street Hongshan District Wuhan City, China 430070 Tel: +86.27.8717.3566 Email: Website:



Kelly Lee, Manager No. 1 Bada Avenue, Xinba Industrial Park XiBei Town, Xisha Area, Wuxi Jiangsu, CHINA 214192 Tel: +86.510.8870.0219 Email: Website:

Jean Zhang, Foreign Trade Manager 3 floor of B block, Yuexing Industrial Building Xinghua Road No.108,Xiangzhou District Zhuhai, China 519000 Tel: +86.756.260.1166 Email: Website:

Color, Monochrome, Chemical, Mechanical

Color, Chemical

Monochrome, Mechanical

ZHUHAI HAOYINBAO PRINTING CONSUMABLES CO., LTD. Henry Yang, Martketing Manager No. 3, Ping Xi 5th Road, Nanping, Xiangzhou Zhuhai, China 519000 Tel: +86.756.892.0314 Email: Website:

Color, Monochrome, Chemical, Mechanical|Issue42





Aysu Gas, Customer Care Dep. G.O.S.B Ihsandede cad. No :117 Gebze/KOCAELİ Turkey 41480 Tel: +90.262.751.0537-38 Email: Website:

Jan H. Hagemann, Vice President Am Hasselsweg 1 D-47647 Kerken, GERMANY Tel: +49-2833-6060 Email: Website:

Color, Monochrome, Mechanical

Color, Monochrome

PELIKAN HARDCOPY PRODUCTION AG Ms. Marisa Drismamn, Sales Manager Haldenstrasse 30, 8620 Wetzikon SWITZERLAND Tel: +41.44.986.1227 Email: Website:

Color, Monochrome, Chemical, Mechanical



Alan L. Kronstat, Executive Director, Worldwide Sales 200 Park Central Boulevard South, Pompano Beach, FL 33064, USA Tel: +1.954.320.7047 Email: Website:

Dr. Sueling Wang, Chief Executive Officer 4350 Peachtree Ind. Blvd. Suite 100 Norcross, GA 30071, USA Tel: +1.770.840.1090 Email: Website:

Color, Monochrome, Chemical, Mechanical

Color, Monochrome, Chemical, Mechanical



John Myers, VP Sales 555 Country Club Road Dallas, Pa. USA 18612 Tel: +1.570-675-1131 Email: – Website:

Dr. Tomas McHugh Manager Extended Materials Business 100 Latona Road Rochester, NY 14562, USA Tel: +1.585.588.7828 Email: Website:

Color, Monochrome, Mechanical

Color, Monochrome, Chemical, Mechanical



Mr. Britt Sexton, Sales Representative 3560 Fairview Industrial Drive SE, Salem Oregon 97302, USA Tel: +1.503.391.1500 E-mail: Website:

Mr. Kenneth White, President 5049 Center Drive Latrobe, PA 15650, USA Tel: +1.724.539.8230 Email: Website:

Color, Monochrome, Mechanical

Color, Monochrome, Chemical, Mechanical

This directory represents the best information currently available to us regarding those independent and OEM producers offering either mechanical or chemical, monochrome and color toners to aftermarket dealers, distributors and remanufacturers. We are deeply indebted to John F. Cooper, President of Toner Research Services and to Graham J. Galliford, Technical Director of Galliford Consulting & Marketing for their kind assistance in identifying a number of the companies shown. We gratefully acknowledge,

as well, their valued help in editing this list prior to publication. Galliford Consulting & Marketing is preparing a complete guide to the toner manufacturing industry with market and company data and details, titled “The Global Toner Market”. Galliford can be reached at We plan to review and update this list on an annual basis. Your comments, additions, deletions and suggestions are most welcome as they will enable us to update and certify the information presented.

We’ll publish the directory of Worldwide OPC Drum Manufacturers in next month’s edition W of Recycling Times magazine. If you want to be in the list, please send your company profile details d to Ms. Violien Wu at


DIRECTORY PUBLISHING PLAN Oct 2013 Nov 2013 Dec 2013 Jan 2014 Feb 2014 Mar 2014

Manufacturers of OPC Drum Industry Standards Manufacturers of Blades Manufacturers of Smart Chips Manufacturers of Ink Jet Inks Empty Cartridges Collectors and Brokers

Apr 2014 May 2014 Jun 2014 Jul 2014 Aug 2014 Sep 2014

Manufacturers of Primary Charge Rollers Manufacturers of Developer Materials Manufacturers of Dye & Pigment Dispersions Trade Associations Print Testing Labs Manufacturers of Dry Toners|Issue42



WHAT DO YOU REALLY KNOW ABOUT CHIPS? What A Cartridge Chip CAN and CANNOT Do? Mike Josiah and the Technical Staff at UniNet

In this article Mike answers the questions: What exactly is a cartridge chip? What does a cartridge chip actually do? What can a chip NOT do? The answers can be both simple and complicated. Because they have become such a significant part of our industry this article will look at the different technologies used, differences in some of the latest chips and more importantly what they can and cannot do. Turn the Page >>|Issue42


What is a Cartridge Chip? In Issue 41, we covered a short history on the chips used in printer cartridges, but we still have the questions: What exactly is a cartridge chip? What does a chip actually do? A cartridge chip is a device that communicates with a machine through either direct contact or RF (Radio Frequency). • They typically are mounted on a small circuit board • They have memory to store information • Sometimes have a processor to provide the correct responses • Have a power control circuit to feed the processor when needed • Provide power protection from voltage spikes etc. The chip usually: • Contains cartridge specific information (so the machine knows the correct cartridge has been installed) • Lists the cartridge yield • Lists the region (some printer manufacturers use a different chip code for different geographical regions) • Provides authentication to allow communication Must answer machine challenges correctly;Use the correct encryption; Answer within a specific time frame. • Holds data as needed to allow the machine to manage the toner use

The machine determines the toner level and writes this information to the chip. The chip will send this information back to the machine as requested. • Stores ongoing machine information as the cartridge is used The machine counts the pages printed and stores this info on the chip. The machine counts the pixels printed (Page coverage) and also stores this on the chip. The chip will send this information back to the machine as requested It should be noted here that early versions of machines did not have very accurate page coverage calculating systems. They have improved significantly, but are still not perfect. What Does A Cartridge Chip Actually Do? The chip will store and, when requested by the printer, send information to the printer including the cartridge part number, yield, and region. As the cartridge is used, the printer will send the chip information on the number of pages printed, page coverage and estimated amount of toner remaining. This information is stored on the chip and can be sent back to the printer as requested. The printer is the master. It first sends the data to the chip and then reads the chip data back as needed on all the above items. The chip is the slave. The chip must be capable of correctly responding to the


machine in a certain time frame using the correct encryption; • The correct cartridge info (Part #) • Correct region • Whether the cartridge is new or used • If it has already been used the page, the page count and page coverage • Toner remaining in the cartridge The chip information MUST match the yield for the toner load. • Chips are not able to compensate for large changes • Mismatched info will result in errors. What A Chip CANNOT Do? A chip does NOT control the yield. They are preprogrammed with the start yield, but the machine determines the page count, page coverage, toner low and toner out. The machine does write this info to the chip so when requested the chip will report it back, but the initial determination comes from the printer. Once “toner low” or “toner out” is written to the chip, it’s irreversible. This is why if you have a bad electrical contact to a mag roller and get a toner low error; even after you fix the contact issue the cartridge chip will still report a toner low condition. Once these errors have been written to the chip, the only way to clear it is to replace the chip. • Chips do not shut a machine down at a certain page count Chips do not have this ability. Machines|Issue42



will use the information stored on the chip production line to minimize any issues. guidelines can help minimize any damage to determine if or when it should stop While ESD can happen any time, it is more that might happen. printing, but that information initially came problematic when the humidity is very Like it or not, cartridge chips are now an from the machine. It was not calculated by low. (Think walking across a rug in your integral part of our industry. We don’t see the chip. socks in the winter time and touching a them going away anytime soon. In fact, • Chips also do not control toner level metal door knob). following recent trends they are probably information going to get more complicated. The machine determines the toner Cartridge chips continue to get level by counting the number of Like the printers they work with, smaller so it’s our opinion that while pixels. The machine uses a formula may become more complex in chips seem to be following the they to calculate the amount of toner used their code, the functions they can “Smaller, better, faster” axiom. perform will stay basically the same. per pixel and stores that data on the chip. Some machines also have They will continue to evolve, but While for the most part cartridge mechanical, electrical or optical chips, as far as our industry is so will our industry. methods of determining the toner concerned, are considered more of level. Again, this info is stored on a nuisance, they can also be helpful. the chip, but is not determined by the By storing the data that they do, Here are some tips to preserve the life of chip. we have a pretty good record of what the the chip: For a chip to determine the toner customer is doing—built into the cartridge • Do not remove chips from their level, pages printed etc it would need itself. When a customer calls to say the packaging until ready to use to be incredibly complex and would cartridge only printed “X” number of • Make sure handlers are grounded take up much more space than would be pages before it ran dry, you have a way of • Do not dump chips into bins or onto economically feasible. Why duplicate determining the actual page count and for tables/benches expensive circuitry over and over when many machines now also the percentage • Do not use compressed air or a vacuum you can do it once in the machine itself? of coverage on the page. This can either to clean the cartridge after testing. Just • Chips cannot give an error message. validate what the customer thinks is wipe them down with a clean cloth if The machine contains all the circuitry happening or be used to educate them. needed. (Don’t wipe the chip!). The needed to generate error codes. If the Like the printers they work with, chips air movement from compressed air or machine cannot see or read a chip, it will seem to be following the “Smaller, better, generate an error code, but it always comes generated by a vacuum can cause a faster” axiom. They will continue to static charge to build up. Even statically from the machine, not the chip. evolve, but so will our industry. The one grounded vacuum systems can cause issues constant I can say will never change is it if the environmental conditions are right. will never be boring! ■ What is the Best Way to Handle Chips A visible strong shock like you get when in Production? While most MICROPROCESSOR type walking across a rug in the winter and In Issue 41, Mike Josiah covered the chips are more resistant to static electricity touching something metal is ESD, but not history of printer cartridge chips: damage (ESD) than other types, it can the typical type you would ever see on a where they came from and why are still happen and normal IC type chips production line. Most times ESD is not they here? If you missed it, please go online: can still easily be damaged by it. Here visible and you would never notice any are a few precautions you can take on the damage took place. Following the above|Issue42



HP Seeks to Gain Market Share in India Hewlett-Packard (HP) introduced its new Officejet Pro X Series, Officejet Pro 3610/3620,

and White Series inkjet printers in India. HP expects this collection will further strengthen its leading position in the Indian market and transform the office printing environment for businesses in Tamil Nadu. According to Ms. Sumita Bhatia Vijh at HP India, HP sells 270,000 to 300,000 printers in India every quarter and holds a 60% share of the printer market in this region. Read more: ■

Xerox Dominated Printer Sector in China’s Central Government Procurement According to the Chinese Government Procurement Information newspaper, the volume of printers purchased by China's Central Government Procurement Center in the first half of this year increased most months, indicating a huge growth to come in the second half of 2013. Xerox and Samsung dominate this sector in the bidding competition. The Procurement Center has completed 6 batches of centralized procured printers. The printers purchased reached 9,400 units,

amounting to about RMB14 million (about USD $2.27 million). Xerox won the bidding for 3,508 units and became the top winning bidder. Read more: ■

Xerox India Expects 45% of Revenue Come From SMB Xerox India expects that 45% of its revenue will come from small and medium businesses (SMBs) by 2016. Also, it notices the market is expected to grow between 10% and 13% in 2013 and the company aims to “grow faster than the market.” Vipin Tuteja of Xerox India, explained, "We see a lot of increase coming in from SMB. Now, we have 40% of our business comes from SMB, 35% coming from enterprise and corporate space and the remaining 25% comes from the government segment." Read more: ■|Issue42

OEM NEWS Canon Opens New Americas Headquarters Canon U.S.A. Inc officially announced the opening of its Canon Americas Headquarters in Melville, N.Y., which will serve all North and South American countries. The new headquarters covers an area of 70,000 square meters. Joining London and Tokyo as one of the three worldwide headquarters locations, the new facility features several environmentally conscious elements including: daylight harvesting,

drought resistant vegetation and electric vehicle charging stations. The opening is estimated to indirectly bring up to 10,000 jobs to the region Read more: ■

Epson’s Ink Billing System Granted U.S. Patent According to a report from Hispanic Business, Inc. (Santa Barbara, CA), U.S. patent 8,489,521 has been granted to Epson for a novel inkjet ink billing system. In this ink billing system, the inkjet printer uses optical sensors to measure the amount of ink remaining in the ink cartridge, and calculates ink usage based on

that amount. A data processing device is connected to the inkjet printer to obtain data about the residual ink. Data relating to ink usage is sent over a network to a server in a service center. The billing module at the service center references an ink billing table to determine the billing amount.


HP & Lexmark Color Printers Win BLI Awards Buyers Laboratory LLC (BLI), an independent tester of document imaging products, has announced its “Pick” awards for color printer and MFP models. After testing numerous color devices, BLI awarded only four Hewlett-Packard models and one Lexmark device, which are: • HP Officejet Pro 251dw (an A4 SOHO Inkjet Printer) • HP Officejet Pro 276dw (an A4 SOHO Inkjet All-in-One) • HP Officejet Pro X551dw (an A4 Color Printer for Small Workgroups) • HP Officejet Pro X576dw (an A4 Color MFP for Small Workgroups) • Lexmark CS510 Series ( an A4 Color Printer for Small Workgroups) Read more: ■

Read more: ■|Issue42



Europe • The War on Clones

HP Spain says: "We will do everything we can to stop IP infringing cartridges imports." In an exclusive iterview with Consumibles e-Magazine, HP's spokeman also said: "HP protect its IP rights and conducts international investigations to identify infringing products. Respecting patents and IP, the remanufacturing industry offers a fair competition market, giving choice to consumers."

• Italian Counterfeit Cartridge Organization Dismantled

Italian police and customs forces traced a suspicious package containing fake HP hologram stickers to discover and dismantle a criminal organization selling counterfeit cartridges worth over 5 million euro. This organization sold counterfeit products to several distributors, some of them were official suppliers for government institutions.

NORTH AMERICA • Konica Minolta has 33 MFPs on the EPEAT Registry

• Xerox Releases Statement on Scanner Problems

Konica Minolta announced 14 of its Bizhub MFPs (multifunction printers) were added to EPEAT’s definitive global registry for greener electronics. With these additions, the company now has 33 of its MFPs listed on the EPEAT registry, all at “Silver” level status or higher. The number of optional criteria met by a product determines its EPEAT rating of Bronze, Silver or Gold. For Gold status, a product must fulfill the requirements of Bronze and Silver levels by meeting at least 75 percent of their optional criteria. Watch more:

Xerox released a statement, claiming some of its scanners can alter numbers in documents, even at the highest resolution setting. Blaming the problem on an unsolved software bug, Xerox listed affected machines. Rick Dastin, President of Xerox’s Office and Solutions Business Group, said, “We apologize for any confusion that came from our prior communications.” Before releasing the statement, Xerox assured customers that scanners “would alter documents only if the factory settings were changed to a lower resolution.”

AUSTRALIA • HP Brings MPS Channel Program to Australia

HP has introduced new Managed Print Specialist Resell Program in Australia.

HP will offer resources and support to assist Australian partners in maintaining account control in the MPS sales motion, without requiring substantial investment in new infrastructure. HP said, “When a partner has an opportunity, it would submit a template to HP with the details of the customer. The quote is between HP and the partner, but the partner will sign their own contract with the customer, and the partner will make the decision on how they're going to use that quote. "|Issue42

Enhance Your Business with Social Media Marketing Sand Sinclair, Editor-in-Chief, imageSource Magazine

To enhance your company's presence and reputation in the marketplace one needs to make an effort to be positioned as a leader or expert in their field. For example, if you are a company that is competitive and competent in regard to office supplies and related technology, you want to promote that persona in a variety of highly targeted online destinations. Social media marketing simply refers to the process of gaining website traffic or attention through social media sites. A company cannot credibly market itself today without readily using the latest social media sites to promote the company. When done well, is there anything more cost effective within your overall marketing budget? So what happens when someone is searching for your company online? Sure they can access your business website easily but just as often they are looking to find your company on Twitter, LinkedIn and Facebook. And when they do visit one of these sites do they find poor or average efforts at promoting your products or brand? Or is it fresh news and information that is updated regularly? You want to attract attention and encourage customers, prospects, all users or readers to not only review your company but also share related information through these social network sites. This is where reciprocal interest leads to not only increased branding and reputation enhancement, but new deal making opportunities. Social Media Marketing is a process that uses fluid marketing techniques to influence target audience behaviors that will benefit businesses as well as individuals. This strategically oriented discipline relies on communicating and exchanging offerings that have a positive value for all involved: you, your company, partners, prospects, clients, and the office industry at large. (





Nubeprint’s Report o

Talking About MPS South Africa

Bevlen Sudhu Ink and Laser Core Manager greenOFFICE

MPS can be a hugely successful model for remanufacturers to adopt for one major reason: MPS allows you to manage your clients’ whole print environment. By doing so, you have far more presence in the printing model of that business. This gives you more business and more security with the customer. One of the key elements of the MPS model is selling supplies, and by being a remanufacturer, this gives you a great cost and profitability advantage.


Kevin Morris CEO at OneDOC Managed Print Services LLC

I don't believe all aftermarket companies are capable of participating in MPS on a global basis with their current infrastructures. Most have to re-tool their business to excel in this industry. Many companies are on the "MPS bandwagon" for fear of losing business to their competitors. My advice to companies that have yet to dive in would be to ask themselves, "What can I gain from entering this marketplace?" and "How much will it cost me to participate?" It might be a great idea at first glance, but in the end, it might not!

This Nubeprint Report touches base on one of the most relevant aspects to consider when providing MPS. Managed Print Services (MPS) is what everybody keeps talking about. The largest OEMs forecast a penetration of 50% by 2015. IDC predicts the global market for MPS will climb from US$23.3 billion in 2010 to US$40.5 billion by 2015. Whatever the reality is, MPS is acquiring an increasing priority among all organizations in terms of being a strategic move. Indeed nobody escapes from the collateral consequences of an MPS program: OEMs, remanufacturers, distributors, dealers, service providers and end-customers, are all impacted. The impact can be positive or negative, depending on the MPS infrastructure they rely on and how the service is delivered. While a positive impact causes a significant increase of margins, a negative impact alters the equilibrium of the operations themselves (order processing, call center, warehouse), turning the operating margin into negative and in most cases it seriously damages the image of the MPS service provider in the market. MPS Compliance Among Installed Printers and Copiers The Nubeprint Report includes printers and copiers from 36 different


Cassio Rodrigues Sales Engineer of Xaar

It seems that MPS has its rules of implementation, but an offering can vary from region to region where political and economic conditions differ. Also, recyclers are in different stages of business knowledge itself. Speaking of my country (Brazil), as far as I can see, the remanufacturers are now seeing MPS with eyes wide open, but still have several doubts about it, such as, the correct printer, control software, cost per page, total cost of ownership, and the best way to charge for service. Issue42|

manufacturers, not only laser printers and copiers, but also inkjet, ribbon, label and large format printers (LFPs). In other words, MPS is not focused on the most common output printing devices, but it expands to cover any device that resides in the office and requires regular service and replenishment with consumables. The makeup of the population analyzed was 26% multifunctional (MFP) color, 30% MFP monochrome, 19% color, 20% monochrome and 4% large format printers; and 1% ribbon-based devices. Overall just 3% of the devices were not MPS compliant. Though this is a relief, we have to be prudent and wait and see what happens with the remaining 97%. Indeed, 65% of the devices show some kind of limitation that prevents them from being managed under MPS contracts. What this really means is that the majority of the devices expose the MPS service providers to risks other than the natural risk of a pure transactional business. The bigger the issue of a device to be MPS compliant, the higher is the risk. As a consequence, a company providing MPS will better protect its margins and operating flow by focusing on reducing its exposure to devices with limited compliance. This exposure is not done by rejecting devices that are not fully compliant. Many dealers are willing to



on MPS Compliance Antonio Sanchez Navarro, Founder and President of Nubeprint

assume the risk of adopting low compliant devices from the customer but due to the unmanageability of the device, in the end, find themselves kicked out of the market due to poor service, or worse, no profitability. Instead, a smart MPS service provider will select the right MPS yield management tool to support its business and expand the devices it can adopt and manage successfully. LFP and ribbon printers comprise the higher percentage of non-compliant devices, but there are non-compliant models in all categories. In terms of limited compliance, 80% of MFPs show relevant limitations, compared to “only” 40% of single function printers (SFPs); 44% of color printers and 35% of monochrome show limited compliance. In terms of the positioning of OEMs, there is not a single one that has the “perfect” product for MPS. But their performance is very different from one to the other. While some position pretty well (Riso, Ricoh), most of them are in the mid MPS compliance ratio area (HP, Xerox, Kyocera, Epson). Lost Capacity Due to Premature Replacement When measuring how operator practices influence the operating profit of a Dealer that is providing MPS, the conclusions are

worrying. On average, 14% of the toner contained in a cartridge is wasted due to early replacement. In economic terms, this translates into the fact that 47% of this margin is blown away due to the printer operator’s faulty practices (assuming that the dealer is pricing with 30% margin). It is even worse when talking about non-toner cartridges (e.g., drums, photoconductors, fusers) where on average the premature replacement takes place with 17% of capacity remaining. However, if the actual yield of a cartridge is less than the published yield, then the economic impact is much higher. Let's say the published yield is 10,000 pages, but the practical yield for a specific customer is 9,000 pages. Then the economic impact is 1,900 pages—1,000 pages of reduced yield due to lost capacity, plus 10% of the 9,000 page yield due to inefficient customer use of the toner cartridge—for a total loss of 19% of the cartridge printing capacity, or 1,900 pages. On the opposite side, if the practical yield is 11,000 pages, then the economic impact is—1,000 pages of increased yield minus 10% of the 11,000 page yield—or, 100 pages.


Jeff Teets Vice President and Inventor Laser Wizard, Inc

When the MPS fad hit, I listened to the demos with an open mind. When all the charts were put away, I would comment, "I don’t see how this is going to save my customer money." The usual reply was "It won’t, but it will lock them in". If your business model is similar, you’ll discover customers can easily be converted by simply giving them the facts. On the other hand, if you’re primarily a toner cartridge reseller (all sales) without the means to provide service, maybe a MPS program will benefit you. But take a good, long hard look at the MPS provider you’ll build your company’s future around. You don’t want them to grow and sell out to another company or worse—go out of business.


Juan Alvite VP Sales and Marketing Nubeprint

The issue facing remanufacturers in their approach to MPS is to understand a new business model and to work out how to run this new model in parallel to their current remanufacturing and supply business. This is not an easy process at all and requires significant investments in knowledge and time. Those companies that do not understand it will probably fail in their transition to MPS. Remanufacturers need tools to monitor their customers' devices, while providing them with accurate information about how their products are really performing in the field.

Actual Yield Covers Risks for the MPS Provider The analysis performed by Nubeprint, UK

Eddie Caldow Founder at GC Enterprises

If MPS means OEMs locking high volume printer users into long term contracts, this has definitely increased. Remanufacturers tend to sell to trade channels and are generally not equipped to adopt complicated sales models. Personally, I think that (smaller) remanufacturers have to re-think the question, “To whom should we be selling?” If remanufacturers sold locally to end-users and provided service and quality parts and consumables, they would reduce the harm of competing solely on price. The overall industry benefit would be higher margins, better quality and a positive impact on the reputation of remanufacturing companies. More views on p47|Issue42




Luke Goldberg SVP MSE Global at MSE

over a population of 4,750 printing devices in a working environment, measures the operating profit for the dealer. The printers and copiers analyzed used OEM cartridges during the evaluation period. The analysis was divided into two periods: the first six months the customer was served in the traditional way, meaning the ordered each cartridge (via email, phone call, etc.). After six months the customer was instructed not to order the consumables. Instead the yield management system in place (Nubeprint) took the responsibility to identify the need and trigger the order. The immediate consequence is that the amount of toner wasted on average decreased to close to 4% This result brings us to the first conclusion: wrong practices at the user level are currently causing an inefficiency valued at around 10% of the toner capacity and 13% of the capacity of other cartridges. This is the so called “lost capacity” issue. Its economic impact can be compensated or worsened depending upon the actual yield of each cartridge. Economic Impact of MPS Assuming a financial spread of 30%, the dealer is already loosing 2/3 of this spread just because of operational issues. Therefore, when calculating the economic impact of MPS for the service provider, 2

key questions must be answered: • How much of the cartridge is thrown away because of poor end-user ractices? • How well does the cartridge perform in a production environment compared to the yield published by the manufacturer? During this exercise, the results obtained showed that overall the actual yield of copier manufacturers exceeded the published yield, making it easier for the dealers to obtain profit from their MPS program. The operating profit obtained with copier manufacturers’ products showed better figures than with printer manufacturers. The dealer, or anyone pretending to make some money with MPS, would find great interest in working on 2 primary aspects: First, reduce the amount of wasted resources, that is inherent in the transactional business model. To make this feasible, a yield management tool for MPS is mandatory. Second, when pricing the page to bill, a certain waste has to be taken into consideration. The easiest way is to use cartridges with an actual yield at least 5% higher than the published yield. This is probably the reason why quality reman cartridges are getting more and more popular in the eyes of the MPS players. ■

Antonio Sanchez Navarro is the founder and President of Nubeprint, a technology vendor focusing on providing innovative professional tools to MPS service providers. Nubeprint Reports on MPS compliance are issued twice a year and have become a reference Standard and a Guide for any company in the MPS industry.|Issue42

Not every company can or should adopt MPS. First, many struggle morphing from a transactional to a solution based business model. You cannot do it with the same sales staff that is used to the instant gratification with transactional sales. MPS requires a totally different approach that sometimes increases the sales cycle to 18 months. Second, MPS adoption should not be a knee jerk reaction to trends. It should be based on a real need, such as losing sales to other MPS providers, or on demand from customers. Third, MPS isn't right for all end users, you need to learn to profile your customers to see if MPS is right for them. Many smaller companies don't need it and are perfectly happy with toner and service.


Mitchell Filby Managing Director First Rock Consulting Pty Ltd

We are now seeing the next building blocks of MPS in which images (content) are managed through a business process, either to execute or enhance a business outcome. Processes, technology and change among users will be the new shift in focus for early leaders of MPS. This new focus is still somewhat distant for remanufacturers and therefore the question is not really about adopting so much—it is more about the relevance or where you want to play and position yourself in the larger eco-system of the MPS imaging world.


Jan De Kesel Managing Director at In-Map Ltd.

Some see MPS as a machine-only service; others believe it involves end-users and document flows; some even include IT infrastructure, software, etc. The net result is a blend of responsibilities merging the copier/printer reseller’s duties with those of the consumables source and the managed print service provider. Whether this unfortunate fuzzy definition is good or bad, we are definitely on the road to change in the way document handling, storage, printing and distribution is being done. The important message is that MPS can be a most effective tool that will keep your customers loyal by getting them more involved in the management of their own printing operations. See Xerox's Kurt Schmelz's interview aboout MPS on p51





on the move, obituaries, special achievements

MPS: The No.1 Marketing Trend Consulting Editor Phyllis Gurgevich talks to Xerox’s Kurt Schmelz following his keynote address at the Business Technology Association (BTA) West in Las Vegas. During your keynote, you mention MPS as an industry trend. Would you consider MPS the number one marketing trend in the office imaging industry today? Yes! I would say it is certainly one of the top marketing trends in office imaging along with a reduction in print volume and the growing use of the Cloud for document storage and mobile printing.

Do you see MPS undergoing any changes in the coming year? I see the potential for it undergoing a number of changes, not necessarily this year, but some of the likely changes I mentioned in my presentation are: 1) I think we are at an inflection point in which MPS is in danger of becoming commoditized as more Players are competing for the same pie, if you will; 2) the winners will need to provide rovide more than simply device management and nd cost reduction going forward; 3) I also believe eve that MPS could end up being a pure services rvices play. As more MPS contractorss get into the business and are comfortable ortable billing structures, I can see more ore options in business models and offering. ffering.

The MPS field is full, how would you rank the players— OEMs, distributors, dealers—how do they stack up? I think the OEMs are still at the top. I believe we still have a leadership position. We must be on our toes to ensure that we continue to stay ahead.

Specifically, we work closely with our partner community to continue bringing enhancements to benefit their needs. I think the distributors, by the way, have good offerings, and others I know are taking a serious look at MPS.

For the second quarter of 2013, Xerox reported that service accounted for some 55% of total revenues, and that is an increase. Do you believe that MPS played a role in these results? Yes, I do believe that MPS played a major role in those financial results. Xerox MPS is growing exponentially, I can vouch for that, although I must add that our service revenues is comprised of many other income components as well, such as IT outsourcing, business intel outsourcing, file outsourcing, etc. Nevertheless, MPS continues to grow at dizzying rates.

What advice can you off offer to someone interested in getting started with MPS of becoming an MPS contract contractor? My best advice is: F First, to understand it and wha what is involved in offering this service. Second, choose a part partner that has a good re reputation and experience in exper providing Managed prov Print Prin Services, and if yo you are unsure of your yo abilities to deliv deliver whether it would be better to partner with someone who is familiar with the infrastructure before you infrastruc decide to of offer MPS as an in-house packag package or a branded offering of your own.

Kurt Schmelz, Pre President, North American Reselle Resellers (NARS), Channel Partner Organization, Xerox Corporatio Corporation

Managing UK and Ireland Darren Cassidy—who has worked in leadership roles at Xerox for 10 years and accredited 600 partners globally in just three years—has been appointed as managing director for Xerox’s UK and Ireland operations.

Marketing Master to Control MPS Carl Taylor—who joined OKI Data in 1996 and more recently worked as Director of Marketing for North America—has been promoted to Vice President of Marketing for North America. He will be responsible for all aspects of the company's product and industry marketing initiatives.

CEO to Step down after Bankruptcy Antonio M. Perez, Eastman Kodak’s current CEO who has managed the iconic company through its toughest years, will step down from the position in 2014. Kodak says Perez is continuing as CEO until it exits bankruptcy and a new leader is found.

Cartridge Expert to Explore Europe Richard Grebien—who has worked in the imaging industry for 17 years, and more recently at Pelikan Hardcopy as business manager of toner technologies—is Static Control’s new Business Development Manager for the European market. The appointment follows the opening of a new office and distribution facility in Butzbach near Frankfurt last month.

New Veteran Boss Tom Bersch—who has worked in office equipment and supplies sales for more than 25 years including Corporate Express and Staples—has is the new President at Veteran Toner Services LLC, a disabledveteran-owned and operated, toner and ink remanufacturer based in Chicago, with offices in California, New York and South Carolina serving government, healthcare and Fortune 1000 companies.|Issue42



Mike Josiah Remanufacturing the HP LaserJet Pro 200 M251/276 Black and Color Toner Cartridges First released in August 2012, the PRO 200 M251/M276 (131 Series) color laser printers are based on a 14ppm black, 14ppm color, 600 Dpi engine. The 131 series of cartridges are an all in one type cartridge that consists of the toner supply, drum, and waste chamber. These machines use an in-line, or single pass system. It’s basically a rectangular shaped cartridge that comes with a toner seal and a snapon drum cover across the bottom to protect the drum. New machines ship with starter cartridges rated for 700 pages so users will run out of toner fairly quickly. The PRO 200 M276 is a multifunction machine that can print, copy, scan and fax. The first page out black is under 18.5 seconds and color is under 19 seconds. So far there are just a few machines based on this engine. They are the LaserJet Pro 200 M251nw, MFP M276n, and MFP M276nw. The cartridges used in these machines are the 131A/X series: CF210A (Black)

1,600 pages $66.99 List*

CF210X (Black HY) 2,400 pages $85.99 List* CF211A (Cyan)

1,800 pages $84.99 List*

CF213A (Magenta)

1,800 pages $84.99 List*

CF212A (Yellow)

1,800 pages $84.99 List*

* Pricing current as of November 2012. With the new machines shipping with 700 page black and color starter cartridges, there is sure to be a fast growing demand for remanufactured cartridges!

Read detailed remanufacturing process on: â–

LOOKING FOR STEP-BY-STEP GUIDES FOR CARTRIDGES? Mike Josiah's popular toner cartridge procedures will be available online late 2013 as a library of more than 400 cartridge models. This service will be provided exclusively to Recycling Times Media readers by UniNet Imaging:|Issue42



Art Diamond

At Your Service Many of us thought the service problem was solved forever with the advent of the all-in-one cartridge. As the imaging industry matures it appears to be morphing itself into a much different entity than we once knew. Perhaps the most stunning signal came recently when Xerox announced that its service related income exceeded consumable and hardware revenues. Indeed, the “Big X” shift to a service led growth portfolio is paying off. Service revenues tallied up to $2.96 billion for the 2nd quarter of 2013, representing 55% of Xerox’s total revenue. That’s up 3% over the 3rd quarter of 2012. Xerox is paying close attention to this undeniable shift and seeks to focus on the continued growth of its service business far into the future. Xerox, like most OEMs, is welcoming qualified partners among office machine dealers and distributors. And this is not

just about Xerox-branded hardware. With its ability to produce toners, for example, compatible with almost every other branded imaging device, Xerox can picture its toner operations humming 24/7. Of course, these partnership negotiations could be proceeding subrosa. Hypothetically, it could involve all OEMs dealing with the major cartridge rechargers, such as, Clover, Micro Solutions Enterprise (MSE), Cartridge World, Print-Rite, G&G Imaging and others. Many of us thought the service problem was solved forever with the advent of the all-in-one cartridge. As clever as these consumables are in both design and function, they did not completely resolve the problem of getting a copier or

printer back up and running after some mysterious malfunction shuts it down. Sometimes, slapping in a replacement cartridge isn’t the answer. It was time to call for a qualified service technician. The $100+ cost of him or her to appear, puzzle out the problem, replace a faulty machine component, etc., and leave you with a $200+ invoice seemed reasonable for a multifunction printer valued, for example, in excess of $2,000. But for a sub-$500 device, it could pose a dilemma. This is where managed print services (MPS) kicks in. Why not sign up for a contractual period of 1 year or more during which the service issue is really taken off the table. And who other than Xerox, Canon, Lexmark, or most any OEM for that matter, is better equipped, staffed and experienced enough to deliver you from worry over a major machine crisis? It seems to me that the justification for bundling service and consumable needs into an MPS contract, gains more validity as the value of a fleet of copiers, printers and diverse types of business equipment, increases. At the high-end, there is little doubt that the insurance MPS provides against downtime is certainly worthwhile. Has the growth in color imaging devices had an impact on the spread of MPS contracts in the USA and worldwide? Absolutely! I would say. And considering the complexity of digital color printers and the high performance toners they require, all the more reason to partner with the OEMs. ■ Art Diamond, a 58-year veteran of the imaging industry, is known globally as a consulting chemical engineer with 15 U.S. patents, author of the “Handbook of Imaging Materials,” CEO of Diamond Research Corporation, organizer of ImagExpo trade shows in the USA, Europe and Australia, and since 1984, the Santa Barbara Toner Seminar. <>|Issue42



Phyllis Gurgevich

BTAâ&#x20AC;&#x2122;s "Capture the Magic" Event Tells:

How To Capture Growth Opportunities The largest growth opportunity may be looking to offer managed IT services covering service, workflow, security, and business process optimization at a minimum. The Business Technology Association hosted its BTA West annual district event August 1-3 at the 5-Star Mandarin Oriental hotel in Las Vegas (see photos below). The short, yet power-packed event gathered imaging industry leaders from across the country. Industry veteran Art Diamond and I participated as well. The event featured a stirring keynote presentation by Kurt Schmelz*, President of North American Resellers (NARS) of the Channel Partner Organization at Xerox Corporation, and five additional educational sessions presented by industry leaders. In addition, there were 32 exhibitors providing information and recourses. During his Keynote Address, Schmelz shared Xeroxâ&#x20AC;&#x2122;s view on industry trends and its commitment to the indirect and authorized dealer channels as a top priority. Schmelz pointed out that with both technology and generational

impacts rapidly changing the way people consume content, businesses must assess different business model options for growth, and make a move in the right direction. Among these options, Schmelz explored the advantages of partnering with a major OEM, especially for an organization contemplating the responsibilities of becoming an MPS Provider. A winning model must consider the importance of recurring services revenue. These are services that add value to the customer while offering more predictable revenue streams for the dealers and resellers. Schmelz noted that a recent survey indicated that 84% of US IT decision makers would prefer a single vendor for print and information technology services, supporting his view that traditional MPS faces the risk of commoditization. The largest growth opportunity may be looking to offer

managed IT services covering service, workflow, security, and business process optimization at a minimum. The five presentations that followed continued to offer advice on improving sales and prospecting as well as improving operational efficiencies to yield greater profits. Ending the program was John Mancini, President of the Association for Information and Image Management (AIIM). This organization, founded in 1943, is a global, nonprofit group that provides independent research, education and certification programs to an audience of more than 80,000 information professionals. Mancini provided an in-depth look into the changing market dynamics and exploding opportunities in document management. The thirty two exhibitors represented leaders from a broad spectrum of companies offering workflow and office technology solutions. Offerings ranged from consumables distributors, and document management and enterprise content solutions, to financing firms and OEMs. â&#x2013; * See 5 Questions interview with Kurt Schmelz on p51

Phyllis Gurgevich, Consulting Editor of Recycling Times Magazine, has previously served the printing consumables industry for many years as publisher of Recharger Magazine and organizer of the World Expo. Gurgevich continues to be based in Las Vegas, Nevada USA.|Issue42



Steve Weedon

Everyone Will Be Affected The aftermarket had happily used drums with these gears since 2000, however, Canon was able to get a general exclusion order and this means everyone in the aftermarket is now severely affected. The GEO will undoubtedly affect everyone involved in the cartridge remanufacturing industry in the USA in some way or another. It will also affect overseas drum manufacturers, and naturally it will affect compatible cartridge manufacturers and exporters to the American market. Canon’s target was undeniably focused on clone cartridge importers, resellers and distributors. The two patents used in their litigation concerned the gear design of some of the gears used on Canon/ HP OPC's. The aftermarket had happily used drums with these gears since 2000, however, Canon was able to get a general exclusion order and this means everyone in the aftermarket is now severely affected: 1. importers, distributors and resellers of clone cartridges will not legally be able to have cartridges, with the infringing gear inside, enter the USA; 2. parts and supplies distributors will not be able to import infringing OPCs; 3. genuine remanufacturers will not be able to buy their favorite drums they have used for many years; 4. US-based distributors holding stocks of infringing drums cannot legally sell—

and genuine remanufacturers cannot legally buy— them in the USA; Had the ITC issued a Limited Exclusion Order, it would have only affected the respondents in the litigation. There are at least two solutions for remanufacturers in the USA: 1. Buy an OPC drum with a noninfringing gear from local drum manufacturers or suppliers; 2. Buy a drum without the drive gear attached and install a used OEM gear from a worn out OPC drum. Drums supplied with non-infringing gears, however, will probably be more expensive. So costs will go up. Option 2 is the preferred choice of most genuine remanufacturers since it recycles more, without added cost, and is something that was done regularly in the early days of the industry before gears became available. I have also researched how this will affect imports. I do not doubt the ability of Customs and Border Protection (CBP) agents to stop infringing imports. As each cartridge or drum enters the USA, their computers will pick up the Harmonized Tariff Code, and they will stop and inspect the products coming in. 72% of counterfeit

goods, and almost 100% of imported clone cartridges entering the USA, come from China. I believe that even if the “clone” cartridge has a non-infringing gear on the drum, the import will be stopped. Why? The CBP are not patent attorneys capable of deciding if the gear infringes or not. Since the drum is inside the cartridge, agents will not be able to decide if it infringes or not. It’s more likely that importation will be denied. The largest USA freight forwarders— Livingston, who deal with customs, but are not patent lawyers—tell me there is no exemption process with GEO's, and it’s likely any import under the same code will not be allowed in. Many large Chinese companies are publicly claiming their "new" cartridge does not infringe. That may be so, but it is no guarantee those imports will be allowed. There are now about six OPC drum manufacturers claiming to have invented a gear design that does not infringe Canon’s patent—some with their own patents. It will be interesting to see how they overcome these import issues with these geared drums. I do not think it likely Canon will challenge alternative drums designs—but of course they could. Other than getting a license from Canon/ HP there is now no sure way to guarantee successful importation of finished cartridges or separate OPC drums into the USA. Each shipment will be another test, another inspector and another local decision by the CBP to interpret the GEO rules, best they can. ■ For 40 years, Steve Weedon has been a senior manager at Nashua, Katun Corp, Kalle Infotec, Gestetner and Static Control. He started the Recycler Trade Magazine in 1992. He is a Brit, living in America, with a parts supply business based in Hong Kong. <>|Issue42

60 THE LISTS Next Month’s Poll Question What is the quality control measure you consider to be most critical in your workplace?

Go online to

Research What is the main reason stopping remanufacturers from increasing their share of the consumables market?

Top 10 U.S. Private Sector Patent Recipients for 2012 1. IBM (U.S.) Patents: 6,478 2. Samsung Electronics (Korea) Patents: 5,081

Letters and blogs from readers

3. Canon (Japan) Patents: 3,174 4. Sony (Japan) Patents: 3,032 5. Panasonic (Japan) Patents: 2,769 6. Microsoft (U.S.) Patents: 2,613 7. Toshiba (Japan) Patents: 2,447 8. Hon Hai Precision Industry Co Ltd (Taiwan) Patents: 2,013 9. General Electric Co (U.S.) Patents: 1,652 10. LG Electronics (Korea) Patents: 1,624 ( display/abtcan_in_canonInnovation_misc/abtcan_in_ patents_misc)

Top 6 Ink-Saving Printers 1. The OEMs use anti-competitive strategies—both legal and technical—to make it more difficult to remanufacture their cartridges; 36% 2. Most fight over each other’s customers, who already choose remanufactured cartridges, rather than chasing after the OEM market. 24% 3. Most consumers are still unaware of the cost savings and environmental benefits from reusing cartridges; 16% 4. Most consumers simply prefer branded, new products for their printers; 12% 5. Remanufacturers have not developed consistently reliable products, particularly in color; 8% 6. Remanufacturers are so focused on solving technical and legal problems; they have not spent enough time marketing to the consumer. 4%


According to Editor, Matthew Rew

1. The Epson workforce 840 An auto-duplexing feature, wireless networking 2. HP Officejet Pro 8500a

• Ed O'Connor is clearly a champion for our industry, and Impression Products should be commended for their righteous position in the battle with Lexmark. Bernie D. (San Francisco) • For many years, the printer market has been quite resilient, as after every downturn, there has been a remarkable resurgence in sales. The recession of 2008 and 2009 had a profound effect on the printer market, as it did on the world economy. While that remains the major catalyst sparking the latest downturn, other factors far beyond the recession are impacting the printer business, making the effect permanent. Larry Jamieson (Photizo Group, Lexington, Kentucky)

Excellent print quality and print speed 3. Lexmark Platinum Pro 905 Fast print speed, web-enabled touch screen interface 4. Brother MFC-J5910DW Single feed tray, wireless and Ethernet connections as well as a USB port 5. HP Officejet Pro 8100 ePrinter better speed than comparable laser printers, and a better operating cost 6. Kodak ESP 3.2 The ease of use and great photo printing (


LETTER OF THE MONTH Let me respond to your August edition of the magazine Great read! The Recycling Times Magazine (Issue 41) has a good mix of hot industry topics and the cartridge chip article by Mike Josiah was particularly interesting- good to see quality technical input in trade press. Thanks for keeping us up to date and informed! Eddie Caldow, Founder at GC Enterprises


Environmentalists claim most empty cartridges continue to be dumped rather than reused—enough, if put end to end, to reach the moon. Issue42|

Each year over 300 million ink and toner cartridges are thrown away and end up in landfills, this amount is equal to the weight of about 67,600 SUV’s.

Recycling Times Magazine English Edition-Issue 42  
Recycling Times Magazine English Edition-Issue 42