More than 65% of US and European foodservice packaging manufacturers, raw material and machinery suppliers, expect 2002 volumes to exceed last year’s, according to a recent survey conducted by the Foodservice & Packaging Institute (FPI).
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Furthermore, 63% of the 38 surveyed said they expected increased profits this year versus last.
The 2002 Annual Foodservice Packaging Industry Survey asked participants about their volume, profit, and production performance expectations this year versus last, and their actual performance in 2001 versus 2000.
The survey shows a 20% increase in foodservice packaging industry optimism from a year ago. When asked how 2001 compared to 2000, only 47% of respondents indicated that volume was better, and 43% said profit was better.
“This year’s survey results paint a picture of an industry that is very optimistic about the future of foodservice packaging, both here and abroad,” said John R. Burke, FPI president.
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By GlobalData“On a daily basis new foodservice venues and food marketing concepts are being developed, and in many instances they are closely tied to packaging. Then, too, inno-vations in foodservice packaging and materials are constantly in development to fill the packaging re-quirements of these new foodservice concepts. It’s an interesting time to be in the foodservice packaging business, and I think our 2002 survey results bear this out.”
In addition to performance expectations, survey participants were also asked to “gaze into their crystal balls” and indicate which foodservice market segments they believed would see strong growth in foodservice packaging usage. Quick/Fast-casual restaurants and grocery delis were mentioned the most, followed by convenience stores, mass merchandise/club stores, hospitals and chain quick service restau-rants.
But the industry also faces challenges in the next couple of years. Across the board, from manufacturer to raw material and machinery suppliers, margin compression was the largest single challenge.
Other challenges that were shared by those in the US and European markets were mergers and acquisitions, economic uncertainty, increasing raw material prices and overhead expenses, such as labour, energy and transportation.
