How are strategic partnerships impacting security print?

De La Rue and Canadian Bank Note Company have announced a strategic joint venture to bid for the British passport contract, potentially ending more than a decade of overseas production. The implications stretch far beyond a single tender. For the security printing industry, it signals a pivotal shift towards integrated physical-digital identity solutions, domestic supply chain realignment, and a new era of consolidation that could reshape how governments around the world procure and protect their most sensitive documents.

James Wojtyk, a security printing consultant with 25 years of experience spanning the Bank of Canada, the Privy Council Office, and the Canadian Security Intelligence Service, says the joint venture is particularly significant because it brings together two complementary strengths:

 “I think the tender means a tremendous amount for the industry,” says Wojtyk, who now leads Tetrahedal Insights, advising governments on emerging technologies and national security. “The primary goal of both De La Rue and Canadian Bank Note in getting aligned is that they’re going to harness both their cutting-edge technology with state-of-the-art features. That’s really going to come up with a very interesting UK passport proposal to offer to His Majesty’s Government.”

Beyond the passport bid itself, Wojtyk sees the joint venture as a response to a broader shift in how governments and security printers are thinking about supply chains. “Everyone’s worried about their supply chains right now around the world, and they’re really trying to become a lot more domestically oriented. There is a bit of strategic realignment with regards to the current geopolitical situation – and that’s both a challenge, but it’s also an opportunity.” 

From Physical to Digital: Why Integration Matters 

One of the key drivers behind the partnership is the security printing industry’s transition from purely physical documents to integrated physical-digital identity solutions. “The industry is transitioning from traditional security printing to a lot more comprehensive security,” Wojtyk explains.

“The whole physical-to-digital security transition comes out of the need to make authentication easier, but also to combat very sophisticated counterfeiting and fraud. That inherently is the bottom line of why you’re getting more integrated security solutions that combine both physical and digital security features.”

Consolidation as Opportunity

While merger and acquisition activity in the security printing sector has sometimes raised concerns about supply chain complexity, Wojtyk argues that well-structured partnerships can deliver meaningful efficiencies. “When you have a merger and acquisition, you look at the type of synergy being developed between the two entities. In many respects you get the best of both worlds – you do consolidate, but you also have operational efficiencies.”

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