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Packaging, process, marking and control equipment: market in decline but hope of recovery in 2021

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Secimep, the trade union of international trade companies in packaging equipment, process, marking, and control, reports a decline in sales of about 5% in value in 2020 on all equipment on the production line. The trend was also downward for the workforce (-1.5%) as well as for orders.

This decline is due to the lack of visibility of industrialists as to the evolution of activity in a sector where investments are heavy and projects frozen until the health situation is better. As a result of the pandemic, the agri-food sectors related to the RHF (Out-of-Home Restoration) and cosmetics sectors suffered the most and whose investments were the most constrained while those in the Pharmaceutical and e-commerce sectors performed well.

According to the semi-annual statistics carried out by Secimep among its members of the "marking, traceability, and labelling" group representing the seven main companies in the sector in France, they suffered a 4% drop in equipment sales in 2020. Sales of consumables and spare parts remained at their usual level.

BETTER-ORIENTED OUTLOOK FOR 2021

For 2021, companies in the packaging machinery, process marking, and control sector are forecasting a 3% rebound in activity thanks to the resumption of projects, subject to changes in the health situation. They forecast a 1.5% increase in headcount and a 6% order backlog.

Some 61% of companies surveyed by Secimep expect growth, often moderate, as the crisis emerges. A third expects a return to the pre-Covid situation in the second half of 2021. Another third sees the return to the pre-Covid situation in a year or more. But the last third believe that they have already achieved a return to normal or are forecasting it for the first half of the year. Read more:secimep.com

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