Monday, January 15, 2018

Corrugated industry still swings

Sales of corrugated board grew 3.91% in December compared with the same month in the previous year, 275,900 metric tons. For economists, the result indicates a recovery of demand, but still need to be careful with the fragility of the positive numbers.
How to order the factories for cardboard boxes, rolls, plates and packaging according to your production expectations, the merchandise is seen as a good economy heating thermometer. In this way, the data released on Thursday (11) by the Brazilian Association of corrugated board (ABPO), the best for the month of December at the annual metric since 2009, could be considered a positive sign that the industries are returning the order to consumer demand.
However, although there has been progress compared to the previous year, sales of corrugated board recorded 10.42 percent drop over November.
The Chief Economist of the Institute for Industrial Development (Iedi), Rafael Cagnin, points out that although the resumption is undeniable, it is symptomatic that the most positive indicators are precisely those that have a very depressed base of the worst years of the crisis . "The reaction exists, as shown by the data of cardboard, but the positive and negative results merge shows that only from the electoral process some level of capacity of the productive sector will be busy," he says.
In the opinion of Cagnin, you can only speak in strong and consistent recovery of the economy when it is verified data acceleration. "There may even be a sequence of results, but the high has to be accelerated," he argues.
Cagnin evaluates that the industry will face some obstacles this year before I could pick up a recovery to pre-crisis levels. "The uncertainty in the political framework is the main rock in my shoe, as well as the idle capacity still high."
DCI - 12/01/2018
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