Industry growth for paper and cardboard packers in Austria

The PROPAK trade association from Austria has published the economic data for the past year. Things continued to go up!
(Photo: PROPAK)

The PROPAK trade association, an association of industrial manufacturers of paper and cardboard products in Austria, has published the economic data for the past year. The upward trend continued!

The 100 or so companies organised in PROPAK with a total of almost 9,200 employees processed the following in Austria in the 2018 financial year 1.2 million tonnes of paper and cardboard to high-quality products and packaging with a value of EUR 2.4 billion - an increase of 3.3% (in tonnes) compared to 2017 and an increase in value of +3.6%.

„PROPAK's export ratio is 74 per cent, making it the main pillar of growth in our industry. PROPAK's performance is also manifested in its strong network with suppliers and customers. Every euro of PROPAK added value generates a total of 2.76 euros of added value, and every PROPAK job creates 3.57 jobs in Austria's economy“

Georg Dieter Fischer, PROPAK Chairman

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In a comparison of the Packaging accounts for 49 per cent of the product groups of the total production value in first place. This includes corrugated board/packaging, folding cartons, flexible and other packaging worth 1.15 billion euros. The other product groups are paper products for hygiene and household, office and organisational materials and other paper products such as labels, books, toys, tipping paper and rolls/tubes. They generate a production value of € 1.2 billion. With an average material share of 50 per cent across all sectors, the sharp rise in raw material prices However, this has resulted in a clear value creation issue for the industry in recent years.

New challenges this year

New challenges will have to be overcome in 2019: forecasts point to a weakening of the economy, which will be felt 1:1 by packaging manufacturers in particular. Overall, a development in the order of GDP is to be expected. All in all, the many benefits of PROPAK products as well as the high innovative strength of the companies and the qualifications and expertise of their employees will continue to be a good basis for the sustainable (to the power of three!) development of the industry and the safeguarding of locations in Austria in the future.

Sustainability an important topic

In addition to their economic importance, PROPAK companies score highly with their products from an ecological perspective. The use of renewable, biodegradable raw materials, the widespread use of recycled materials and low-emission production make PROPAK the recycling industry par excellence. For example, the recycling rate for paper and cardboard packaging in Austria is almost 90%, which is already well above the EU target of 75% for 2025. Another reason in favour of sustainable products made from paper and cardboard: paper fibres are a valuable secondary raw material and can be recycled. today can be recycled more than 25 times!

Source: PROPAK Austria