2019 was the ninth consecutive year of growth for the German packaging machinery industry. According to the German Engineering Federation (VDMA), the approximately 250 predominantly medium-sized companies produced packaging machines worth around 7.3 billion euros, an increase of 2 per cent, according to the Federal Statistical Office.
The production of Beverage packaging machines increased by 4.3 per cent to 2.3 billion euros, while production of other packaging machines rose by 1.2 per cent to just over 4.9 billion euros. While the production figures for packaging machines still showed an overall increase of 8 per cent in the first three quarters of 2019, they fell by 10 per cent year-on-year in the fourth quarter. The The slowdown in demand in the second half of the year has already had an impact on German production. from.
Europe remains largest sales region
The Half of all German packaging machine exports went to European countries. The delivery volume reached a value of 3 billion euros, up 3.1 per cent on the previous year. Asia took delivery of machinery and equipment worth a good 1.1 billion euros (up 16 per cent), North America 886 million euros (up 8 per cent). Deliveries to Africa totalled 351 million euros (up 1 per cent). Exports to Latin America, the Near and Middle East and Australia-Oceania, on the other hand, developed less favourably, with a double-digit decline.
USA largest single sales market
With an export volume of 786 million euros (up 7 per cent), the USA remained the largest single sales market for German-made packaging machines in 2019. China is in second place with 451 million euros (up 23 per cent), followed by France (309 million euros, up 3 per cent), Poland (296 million euros, up 9.5 per cent) and the United Kingdom (248 million euros, up 18 per cent).
Exports to Russia increased by 5 per cent to 203 million euros. This put the country in eighth place among the 10 largest export markets, after Spain (234 million euros, up 24.5 per cent) and the Netherlands (219 million euros, up 29.1 per cent).
Outlook: all open
It is currently impossible to estimate or quantify how the packaging machinery industry will develop in 2020. Due to the weak order activity in the second half of 2019 and in particular the decline in foreign orders the German Food Processing and Packaging Machinery Association already assumed a decline in the production of packaging machines in the current year in its November 2019 forecast.
„The extent of the decline due to the outbreak of the coronavirus crisis and the associated consequences will become clear in the future. only in the coming months really show off,“ says Richard Clemens, Managing Director of the VDMA Food Processing and Packaging Machinery Association.
Companies are increasingly feeling the effects of the coronavirus pandemic. In addition to disruptions in the supply chain, particularly in Europe Disruptions on the demand side continued to increase. Not only are fewer orders coming from Europe, but also from Asia and North and Latin America.
The Incoming orders fell by 19 percentage points in the first quarter below the previous year's figure. If this trend continues, it will continue into the coming year.
„But we are optimistic, that demand will recover quickly following the easing of government restrictions. The increasing global demand for hygienically packaged and safe food and pharmaceutical products in particular is also contributing to this,“ says Clemens.
Source: VDMA Food Processing and Packaging Machinery
[infotext icon]Corona and the consequences. You can find out more about Richard Clemens' assessments in our packaging journal interview:
packaging journal TV Interview - Richard Clemens, VDMA Packaging Machinery
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