The global trends in packaging are the continuing growth and replacement of traditional packaging materials (glass, metal, cardboard) with plastics. Russian embargo on food supplies from Europe, ruble’s devaluation and subsequent reduction of imports have had a positive impact on local production of packaging. Are Russian companies seizing the opportunity and will they manage to retain the market share lost by importers?
Ongoing redistribution of contracts in the Russian market is in the interests of Russian packaging producers and the larger demand has spurred the activity of the business. New capacities are being launched, and the existing lines are being revamped to produce materials in demand. But what will happen to these projects once the government calls off the sanctions, or in case the local supply exceeds the demand? Export will remain the only solution then, though the big question will be whether the Russian product will find customers abroad.
With all the positive trends, there is also a number of constraints. This includes low affordability of loans, expensive feedstock and equipment, and thin margins. Small converting companies are forced to leave the market as a result. Meanwhile, counterfeit turnover is growing, which undermines the confidence of the consumers. Competition is high while the purchasing power of the population is declining. Is the constructive dialogue between feedstock suppliers and packaging producers possible today?
The ambiguity of the market situation can be aggravated by the bill under discussion now that introduces environmental fees, and also by the lobbyist attempts to discredit the plastic packaging, especially PET bottles.
What will the 2016 be for the plastic packaging market taking into consideration the general recession in the economy? This question will be central at the forthcoming Conference. Together with the representatives of the largest FMCG companies and retail chains, we shall discuss in detail production and consumption of flexible, rigid and combined plastic packaging for food and nonfood applications. Special attention will be paid to the plastics films segment (PP, PE, PVC).