According to ICD Research across the packaging industry, 59% of respondents are more optimistic about revenue growth for their company over the next 12 months.A further 29% are neutral about revenue growth, while 9% of respondents are less optimistic about their company's revenue prospects.
In 2011, optimism levels have increased considerably compared to 2009. This is evident from the fact that, in 2009, 34% of respondents were pessimistic of revenue growth, a figure that has declined to just 9% in 2011. Interestingly, the results of 2011 and 2010 show little or no variance, suggesting that initiatives implemented in 2010 have been sustained, and the industry is progressing at a steady rate. However, revenue expectations have increased since 2009, which suggests that economic uncertainty has significantly decreased in developed countries.
Strong growth in emerging markets such as India and China has contributed to an increase in revenue optimism. The packaging sector in India is growing at a rate of 14-15% annually, which is expected to increase considerably over the next two years due to the high demand for rigid packaging. Moreover, the global recovery will aid growth expectations as it will result in increased demand for packaging machinery. Latin America and the Asia-Pacific are expected to be the most promising markets for packaging machinery. Additionally, flexible packaging is also expected to be one of the fastest growing sectors, driven by industry consolidation and sustainability initiatives.
