Bosch Packaging Technology's 2009 sales fall 4% year-over-year to €675M, says strongest markets were Europe, North America and Asia, with China as its most important growth market
STUTTGART, Germany, and SHANGHAI
July 14, 2010
* 2009 business development shows stability despite economic downturn
* Good prospects for business development in 2010. Bosch is set to continue its internationalization strategy.
* ProPak China: Bosch competence and quality for the Chinese market
The high level of orders received in 2008 was followed by a very limited decrease in order levels, so that Bosch Packaging Technology's business development in the following year remained relatively stable. In 2009 the company generated sales of around 675 million euros. This achievement was only around 4 percent below the previous year's figure. Including Paal Verpackungsmaschinen GmbH, acquired in 2008, sales in 2009 reached 703 million euros.
“Despite the economic downturn we have been able to stand our ground in the global marketplace,” says Friedbert Klefenz, President of Bosch Packaging Technology. “As expected, the difficult economic conditions impacted on our sales development in 2009. During the first few months of the year, this concerned primarily the Food and Confectionery sectors. In the second half of the year, however, an upward trend emerged. Moreover, Pharma and Services were largely unaffected by the crisis. For these divisions, order levels remained high.” For Klefenz, the crucial factor was the company's ability to prepare for the economic downturn. “On the one hand, we optimized our cost structure. On the other, we concentrated on sales and invested in new business areas even in times of economic crisis.”
Klefenz stresses that the policy of internationalization has proved itself, especially in the current climate. “Bosch is a global company with strong local roots. This international positioning strengthens our profitability.” In 2009, 86 percent of Bosch Packaging Technology's sales were realized outside of Germany. The strongest markets were Europe, including Eastern Europe (50 percent), North America (23 percent) and Asia. Here, the company generated 20 percent of total sales in the last year, with a clear tendency towards further growth. Klefenz sees good prospects for future business development. “For 2010, we are expecting further growth in our core areas of Pharma, Food and Confectionery, mainly by expanding our global presence and thereby widening our customer base.”
China is Bosch's most important growth market
Bosch Packaging Technology is profiting from the dynamic developments in the emerging markets. The company aims at expanding its market position in its core areas. At Bosch's Chinese location of Hangzhou, the company doubled its production capacity and extended the production area to 9,000 square meters. From Hangzhou, Bosch primarily serves the demand for cost-effective but high-quality products which are developed and manufactured locally. There is also a rising demand for complex, high-performance installations which are produced with the support of Bosch's European plants. Klefenz comments: “Both our strong market presence and our portfolio which fulfills local as well as international needs help us to secure important projects in the emerging markets.” In 2009, the Asian region showed the strongest company-wide growth in order intake. The Pharma division played an important role in this development. Around half of all orders received by Bosch in 2009 were for its Pharma products. The Chinese pharmaceutical industry in particular is expanding and placing major orders. In the Food and Confectionery sectors, accounting for 35 and 14 percent respectively of last year's order intake, the Asian market is also growing ever-more important. The supply of automation technology solutions to the emerging markets is showing a steady increase. Bosch is also hugely successful with complete lines made in China.
ProPak China: Bosch competence and quality for the Chinese market
In the International Hall at ProPak China 2010, Bosch is showing process and packaging competence for the Chinese market. For the first time in China, Bosch is presenting Type SVI vertical pillow-pack machines. The SVI series is designed to package an unlimited range of food and non-food products, such as milk powder, bakery, confectionery, tea, coffee or pasta. It is also suitable for packaging chemical products such as washing powder. SVI machines are capable of producing a variety of standard bag types and have short change-over times. To produce either simple pillow-packs, side-gusseted bags or stand-up bags, the operator is merely required to change the bag spreaders at the size parts.
New for the Chinese Market, and in combination with an SVI machine, Bosch is also presenting the FVS 3201 auger filler. It is capable of precision-filling bulk goods of varying consistencies. This auger filler is predominantly used in the food industry. The overall concept of the FVS 3201 is designed for optimal food safety and complies with the latest Chinese food legislation. Optimal outlet closure ensures weight accuracy and avoids contamination in the sealing area. Due to its high precision, the FVS 3201 auger filler is also used for filling chemical and pharmaceutical products.
About Bosch Packaging Technology
Bosch Packaging Technology is based in Waiblingen and is the leading provider of holistic solutions in packaging and process technology. In 16 countries worldwide, the company develops, produces and distributes modules and systems for the pharmaceutical, confectionery, and cosmetics industries, as well as other food and non-food industries. In 2009, 4,300 associates achieved a turnover of approximately 675 million euros. More information at www.boschpackaging.com.