According to PMMI’s 2008 U.S. Packaging Machinery Purchasing Plans Study, consumer and industrial goods companies plan on spending approximately $6.304 billion for packaging machinery in 2008, a 0.6-percent increase in spending over 2007 levels.
The research report notes only two of the eight tracked market segments will show growth: foods, up from 2% to 4%; and personal care products, up from 0% to 2%. The remaining six categories, including beverages and pharmaceuticals, show moderate declines, but with slight potential for growth.
“PMMI members’ customers reported they are holding steady with their packaging machinery spending plans for 2008, despite weakening economic conditions,” noted Charles D. Yuska, president & CEO of PMMI. “With 85 percent of the respondents expecting to buy roughly the same amount or more than they did in 2007, we expect some market segments to be fine, with other groups feeling a tightening as consumer goods companies wait out the current economic quarter.”
The PMMI study is based on interviews with 511 decision-makers responding for 1,564 plants in the U.S. Respondents cited the following as deciding factors in making purchasing decisions:
• Replacing older equipment to improve speed, productivity, efficiency (40%)
• Adding new packaging machinery to accommodate new products (36%)
• Adding new packaging lines to increase production (35%)
• Adding packaging line automation (34%)
• Replacing older equipment to improve uptime, reliability, maintenance costs (32%)
This report, which includes in-depth analysis of each of the eight tracked market segments, is free to PMMI members and available to non-PMMI members for $1,500. To order or learn more, contact Paula Feldman, director of research and surveys, PMMI: [email protected] or 703/243-8555.
