HUP: Government Decision an Important Step Forward in Addressing the Issue of Publishing Distribution

The Croatian Employers’ Association – Association of Newspaper Publishers (HUP UNI) evaluates the Government’s Decision to establish an Interdepartmental Working Group to determine the need for public financing of publishing distribution as a service of general economic interest as an important step forward in addressing distribution issues.

Namely, after Tisak plus terminated contracts with publishers with a three-month notice period on October 31, 2024, Croatian publishers faced a potential inability to place their publications in sales locations such as kiosks and retail chains. Given the clear intention of the owner of Tisak plus, Fortenova Group, to exit the distribution business, it is necessary to find a new solution. HUP believes that there are companies in the Croatian market that would find a business interest in publishing distribution. Tisak plus has so far distributed products from over 90 publishers with more than 450 publications.

As reported by Hina, the Group will prepare a proposal based on which the selection of the public service operator for print distribution will be made. Members of the working group will include representatives from the Ministry of the Sea, Transport and Infrastructure, the Ministry of Culture and Media, the Ministry of Finance, the Croatian Regulatory Agency, and representatives of the Croatian Employers’ Association, as reported by the Minister of Culture and Media Nina Obuljen Koržinek. The president of the working group will be the Deputy Prime Minister and Minister of the Sea, Transport and Infrastructure Oleg Butković.

In a world of fake news, disinformation, and the spread of unverified sources through social media, HUP believes it is extremely important to ensure the distribution of printed publications, or publishing in general, and to provide Croatian citizens with access to information, content authored by quality, professional journalists and editors with years of experience. Digital media are the present and future of publishing, but it should be kept in mind that there is still a significant demand in the market for journalism from printed publications, especially when considering the demographic picture of Croatia and the significant number of older citizens. It is essential to ensure equal access to information and quality journalism for all citizens in all parts of the country.

The Media Act guarantees, among other things, freedom of expression and freedom of the media, which includes media independence, freedom to collect, investigate, publish, and distribute information in order to inform the public. The task of the media is public information, ensuring pluralism, democratic values, and the right of every citizen to information.

Application of European Practices

It is extremely important for the future of professional journalism and their houses, which encompass both printed and digital media that create their own content of the highest quality and quantity, that European practices are applied in the Croatian market, according to HUP. In most EU member states, the government supports media pluralism and the right to information through subsidies.

France, for example, has had support for publishing distribution for years, including subsidies for subscription distribution. Additionally, Sweden and Denmark have implemented a series of measures to ensure the production and distribution of content. A good example is Belgium, which has a long-standing practice of state co-financing of publishing distribution through the national postal system. In Austria, a system of direct subsidies has been established for publishers that meet the criteria of professional journalism – printed and digital media that have significant original content and are not of a propaganda nature. Italy has provided assistance in covering part of the cost of paper, following a significant rise in the price of that raw material over the past three years. Furthermore, tax reliefs for publishers have been introduced, and investments are being made in the digital transformation of media.

HUP is confident that a solution for the Croatian market can be found from a range of European practices, ensuring a timely and stable distribution network without further burdening the operating costs of publishers.