Wednesday, February 25, 2015

Production may have fallen to 1.5% in 2015, envisages entity

The Brazilian packaging Association (Abre) predicts a decline between 0.5% and 1.5% in physical production of packaging this year. The economic scenario, high inflation and the possibility of a power and water rationing are singled out as the main factors that explain the pessimism in the industry.
The expectation includes study of Getulio Vargas Foundation (FGV) carried out at the request of Opens and released yesterday in Sao Paulo. For the responsible for research and economic studies Coordinator of FGV, Solomon Paintings, the packaging industry should re-submit only growth from next year, with adjustments in the economy.
"Consumer confidence has declined in recent months, inflation in high must repress consumption, and hence the demand for packaged products and, in addition, restrictive economic policy and the fiscal adjustment will slow down the whole economy. Will be a very difficult year for the economy as a whole and the packaging industry will also be affected, "said Qazi.
He also said that the possibility of rationing of power and water approach the forecast decline in physical production of the House of 1.5%.
The fall in production can be even greater than 1.5% to depend on factors that are difficult to predict at the beginning of the year. "The consumer can withdraw more than design in front of tax adjustments and this fall can be even greater," said Qazi.
The packaging industry is coming of a retraction in physical production of 1.47% in 2014. "Big users of packaging, like the segment of food, clothing and cement have reduced production in 2014 and so had a reflection in packaging demand," said the Executive Director of Open, Luciana Pellegrino.
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The gross value of production of packaging was r $ 55.1 billion last year. To 2015 the prospect is a value between R $ 58.2 billion and R $ 57.1 billion depending on the size of the reduction in physical production of the sector.
In 2014, all packaging segments presented physical production indent with the exception of glass containers that presented high of 1.86% from 2013. The biggest fall occurred in the wood packaging that retreated 18.25%.
Metal packagings presented high of 4.81% in the first half of last year due to the World Cup, but closed the year with drop of 1.04%. The plastic material fell 2.9%.
DCI News Item translated automatically
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