Here are some Converting Curmudgeon bullet points of interest:
- Business is always impacted by politics, and Europe’s current political and economic situations are not immune. Key European Union issues include Brexit, the Italians voting down constitutional reform, and elections are ahead in France, the Netherlands and Germany. Europe-wide, there are populist and nationalist trends, the refugee crisis, and war in Ukraine.
- European GDP is expected to grow 1.8% in 2017 and 2018, with the main drivers being domestic demand and private consumption. Inflation should stay below 2%, and overall unemployment is
likely to fall from 8.5% last year to 7.8% in 2018. Refugees are said to boost GDP by 0.25% across the continent.
- Europe is affected by global consumer trends such as an aging population, faster shopping, allure of authenticity, personalization, and wellness as a status symbol.
- The global flex-pack market reached $86 billion in 2016, rising about 2.5% over 2015.
- Western Europe accounted for $11.66 billion of consumption, and Eastern Europe made up another $2.97 billion last year.
- Not surprisingly, the top five national markets were Germany, France, the UK, Italy and Russia. Broadly static demand remains in the Nordic countries. Italian production is up 3% annually by value, but
50% is for export.
- Flex-pack market growth in Eastern Europe is down to 2%, compared to 5% back in 2012, and this is mainly due to poor trading conditions in Russia. Polish demand is better, up 4% in 2016.
- Top five converters in Europe include Amcor Flexibles (19% market share), Constantia Flexibles (7%), Mondi Packaging (6%), Sealed Air-Cryovac (3%) and Wipak (3%).
- Euromonitor says flexible plastic as a packaging type is growing 0.9% CAGR to 2020; unit volume in 2015 was 266 billion.
More info: http://www.flexpack-europe.org