The latest flash survey by the Fachverband Faltschachtel Industrie e.V. (FFI) shows that communication in the supply chain has improved compared to pre-corona times. However, this is still not enough to meet the needs of everyone along the supply chain.
In his new FFI In the flash survey, almost 90 per cent of the 40 participating folding carton manufacturers stated that communication in the supply chain had improved significantly compared to pre-corona times.
„A fundamental rethink is required, particularly among customers from the branded goods industry and retail. Folding cartons are becoming increasingly popular. As is currently the case, we suspect that there will also be a Increasing demand for recyclable and sustainable folding cartons. What we therefore need are Planning security and predictability."
Andreas Helbig, Spokesman of the FFI Board
Situation remains tense
Following the last flash survey in autumn 2021, the FFI survey was conducted in the first week of February to assess the situation at the beginning of the year. According to the new survey, only 12.5% of survey participants stated that the current delivery times for virgin fibre cartonboard in the existing customer business had not changed compared to October 2021. In contrast 77.5 per cent of folding carton manufacturers reported extensions between four and 16 weeks. The picture is the same on the recycled cardboard side.
The supply situation is reflected in the Development of purchase prices. The majority of survey participants reported at least double-digit percentage price increases, regardless of the type of fibre. The price jumps since the last FFI flash survey for recycled cartonboard were up to 25 per cent, in some cases over 30 per cent. For virgin fibre cartonboard, the price increases since then have been up to 25 percent. The price increases were realised Increases in several steps, of which further increases have been are.
Stable demand
Several causes have been identified for the supply chain developments that have been coming to a head for months. Corona and the government and self-imposed measures to contain the pandemic have had a far-reaching impact on consumers' catering and supply habits. Even though there has been volatility in individual folding carton segments, the German and European folding carton industry on balance greater demand for cardboard sales packaging.
The fact that this Demand growth could also prove stable in post-corona times, many market observers suspect. They point to the potential substitution effects of recyclable folding cartons and other fibre-based packaging made from the natural, renewable and certified sustainable raw material wood or recycled waste paper. These developments and trends are paired with a supply side that is operating at full capacity and is declining.
Source: FFI