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Italian Packaging Machinery Industry Forges Ahead

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Italian Packaging Machinery Industry Forges Ahead

Italian Packaging Machinery Industry Forges Ahead
July 02
09:52 2018

The Italian automatic packaging machinery industry continues to consolidate its world leading position. According to data collected by the research department of Ucima, the sector’s national association affiliated with Confindustria, the sector closed 2017 with further year-on-year growth.

Total turnover exceeded €7 billion (€7.19 billion), 8.9% up on 2016. The sector continues to stand out for its strong international presence, with Italian companies competing head-to-head with their German counterparts in all world markets. One machine out of every five sold worldwide is made in Italy.

Exports grew by 7.5% to €5.7 billion. The domestic market also continued its strong performance with 14.4% growth to more than €1.5 billion. The sector consequently recorded a positive trade balance of €5.2 billion, up by 7.1%.

These results were generated by 634 companies employing 32,227 people (up 8.7% on 2016). The sector was once again Italy’s most dynamic capital goods manufacturing industry in 2017, ranking top in terms of export share and second in terms of overall turnover.

Results in international markets

The European Union remains the most important market, accounting for 37.4% of total turnover (€1.905 billion). Asia ranks second with a value of €1.112 billion and a 21.8% share of turnover.

The North American market ranks third with €592.6 million (11.6%). Next come Central and South America (€532.8 million; 10.4%), non-EU Europe (€515.4 million; 10.1%) and Africa and Oceania (€439.5 million; 8.6%).

The United States, France and Germany remain the top three individual countries, followed by Mexico, China, Spain, UK, Russia, Turkey and Poland.

The Italian market has enjoyed a further positive year thanks to the tax incentives offered by the Industry 4.0 programme. Turnover generated in Italy grew by 14.4% year-on-year to €1.5 billion.

Client sectors

As for the breakdown of turnover amongst the various client sectors, the food and beverage sector maintained its dominant position in 2017 accounting for 56.1% of total turnover. Even considered individually, these two sub-sectors lead the rankings. Food was the largest client sector in 2017, making up 30.25% of total turnover (€2.174 billion) and with an export share of 74.4%.

Beverage was second with 25.9% of total turnover and exports making up 85% of the segment’s sales.

2018 forecasts

“The volatility of markets and constant changes in the geopolitical conditions in a number of regions make it increasingly difficult to make reliable forecasts,” says Ucima’s Chairman Enrico Aureli (pictured). “On balance however we expect last year’s growth trend to be maintained. According to the Ucima Research Department’s forecasts, the industry will continue its strong performance in Italy and Europe. Sales are also expected improve in Asia and Africa with growth of between 6% and 6.5% in the two-year period 2018-2020.”

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