Amcor now controls almost 25% of European converted flexible packaging market, according to PCI Films report; flexible sector regained ground in 2010 with sales increasing, but raw material, energy costs limited value growth
September 22, 2011
– Amcor now controls nearly a quarter of the entire European converted flexible packaging market, others beefing up to compete.
PCI’s report ‘The European Flexible Packaging Market 2011’ is an in-depth, 400 page analysis of the €11 billion converted flexible packaging market, equivalent to 45.3 billion m², providing converters, investors and purchasers with exceptional insight into this important packaging sector.
One of the key findings is that the converted materials sector recovered strongly in value terms in 2010. Sales increased by 4.7% overall although much of the value growth was down to raw material and energy cost increases. In general, although nearly all national markets showed growth, Eastern Europe pushed ahead, averaging 6.2% sales increase. Russian sales performed particularly strongly, showing near double-digit growth.
The report also reveals just how dominant Amcor has become following their acquisition of Alcan’s European flexible packaging operations. Now accounting for nearly a quarter of all European flexible packaging sales, and with their nearest rival only around a third of their size, Amcor is the overwhelmingly dominant European supplier, its strength galvanising other companies into hitting the acquisition trail, trying to ‘bulk up’ to compete. Private Equity groups such as Sun Capital Partners have been very active investors in helping to drive consolidation in the sector.
The report incudes: National profiles; analysis of the top 20 converters by value, and insight into end-use market share by area, including the information that confectionery in 2010 consumed 5.5 billion square metres of flexible packaging. There is detailed data that illustrates market forecasts up to 2015. Purchasers are provided with a complete ‘market map’ of Europe’s flexible packaging industry.
The report also demonstrates and quantifies the continuing growth in the stand-up pouch format, as it continues to provide an alternative to rigid packaging formats because of its strength, lightness, ease of transport and hence environmental performance.
Commenting on the publication, study author Paul Gaster says: “Europe’s flexible packaging market continues to grow in spite of the serious economic and financial upheavals currently affecting European economies. European flexible packaging demandDemand is underpinned by the strongly non-cyclical nature of flexible packaging’s principal end-use markets – food, pharmaceuticals and pet food.”
Now in its 11th edition, PCI Films Consulting’s European Flexible Packaging Report has become an invaluable tool to inform business planning, investment and future development. Based on original field research through 2011, it is the most up-to-date and comprehensive report available in this important packaging sector. This 400+ page report updates historical data and provides comprehensive market analysis and statistics for 2010, forecasts through to 2015 and includes more than 130 charts and tables.