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China’s Packaging Materials Market Is Slowing Down Due to Weak Demand

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China’s Packaging Materials Market Is Slowing Down Due to Weak Demand

IndexBox has just published a new report: ‘China – Packaging Materials – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.

The revenue of the packaging materials market in China amounted to $69B in 2018, going down by -6.1% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price). Over the period under review, the total market indicated buoyant growth from 2008 to 2018: its value increased at an average annual rate of +2.5% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period.

Based on 2018 figures, packaging materials consumption increased by +17.4% against 2016 indices. The pace of growth appeared the most rapid in 2017 when the market value increased by 25% year-to-year. In that year, the packaging materials market reached its peak level of $73.5B, and then declined slightly in the following year.

Production in China

Packaging materials production in China totaled 63M tonnes in 2018, waning by -8.3% against the previous year. The total output volume increased at an average annual rate of +2.9% over the period from 2008 to 2018; however, the trend pattern indicated some noticeable fluctuations being recorded over the period under review. The pace of growth appeared the most rapid in 2009 with an increase of 9.3% against the previous year. Over the period under review, packaging materials production attained its maximum volume at 69M tonnes in 2017, and then declined slightly in the following year.

In value terms, packaging materials production stood at $73.1B in 2018 estimated in export prices. In general, the total output indicated a buoyant increase from 2008 to 2018: its value increased at an average annual rate of +2.9% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, packaging materials production increased by +24.2% against 2016 indices. The pace of growth was the most pronounced in 2017 when production volume increased by 32% year-to-year. In that year, packaging materials production reached its peak level of $77.5B, and then declined slightly in the following year.

Exports from China

In 2018, the exports of packaging materials from China stood at 2.9M tonnes, going up by 4.7% against the previous year. Overall, packaging materials exports continue to indicate a buoyant expansion. The pace of growth was the most pronounced in 2014 with an increase of 33% year-to-year. Over the period under review, packaging materials exports attained their maximum at 2.9M tonnes in 2016; however, from 2017 to 2018, exports remained at a lower figure.

In value terms, packaging materials exports stood at $3.1B (IndexBox estimates) in 2018. Overall, packaging materials exports continue to indicate a buoyant increase. The most prominent rate of growth was recorded in 2014 with an increase of 36% y-o-y. Exports peaked in 2018 and are likely to continue its growth in the immediate term.

Exports by Country

Viet Nam (183K tonnes), Iran (136K tonnes) and Bangladesh (127K tonnes) were the main destinations of packaging materials exports from China, together accounting for 16% of total exports.

From 2008 to 2018, the most notable rate of growth in terms of exports, amongst the main countries of destination, was attained by Bangladesh, while the other leaders experienced more modest paces of growth.

In value terms, Viet Nam ($223M), the U.S. ($158M) and Iran ($118M) appeared to be the largest markets for packaging materials exported from China worldwide, together accounting for 16% of total exports.

Among the main countries of destination, Viet Nam experienced the highest growth rate of exports, over the last decade, while the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2018, the average packaging materials export price amounted to $1,073 per tonne, surging by 4.2% against the previous year. Over the period from 2008 to 2018, it increased at an average annual rate of +1.9%. The most prominent rate of growth was recorded in 2011 when the average export price increased by 11% against the previous year. The export price peaked at $1,145 per tonne in 2012; however, from 2013 to 2018, export prices remained at a lower figure.

There were significant differences in the average prices for the major foreign markets. In 2018, the country with the highest price was India ($1,471 per tonne), while the average price for exports to Bangladesh ($788 per tonne) was amongst the lowest.

From 2008 to 2018, the most notable rate of growth in terms of prices was recorded for supplies to India, while the prices for the other major destinations experienced more modest paces of growth.

Imports into China

Packaging materials imports into China totaled 2.3M tonnes in 2018, picking up by 3.4% against the previous year. Over the period under review, packaging materials imports continue to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2017 when imports increased by 13% against the previous year. Over the period under review, packaging materials imports reached their peak figure in 2018 and are expected to retain its growth in the immediate term.

In value terms, packaging materials imports amounted to $2.2B (IndexBox estimates) in 2018. The total import value increased at an average annual rate of +1.6% from 2008 to 2018; the trend pattern remained consistent, with somewhat noticeable fluctuations being recorded throughout the analyzed period. The pace of growth was the most pronounced in 2011 when imports increased by 15% y-o-y. In that year, packaging materials imports attained their peak of $2.3B. From 2012 to 2018, the growth of packaging materials imports remained at a lower figure.

Imports by Country

The U.S. (422K tonnes), Sweden (309K tonnes) and Taiwan, Chinese (168K tonnes) were the main suppliers of packaging materials imports to China, together comprising 39% of total imports. These countries were followed by Indonesia, Russia, Australia, Japan, Brazil, Finland, Canada, South Korea and New Zealand, which together accounted for a further 37%.

From 2008 to 2018, the most notable rate of growth in terms of imports, amongst the main suppliers, was attained by Canada, while the other leaders experienced more modest paces of growth.

In value terms, the largest packaging materials suppliers to China were the U.S. ($390M), Sweden ($293M) and Japan ($146M), together accounting for 37% of total imports. Taiwan, Chinese, Russia, Australia, Indonesia, Brazil, Finland, South Korea, Canada and New Zealand lagged somewhat behind, together comprising a further 33%.

In terms of the main suppliers, Canada experienced the highest rates of growth with regard to imports, over the last decade, while the other leaders experienced more modest paces of growth.

Import Prices by Country

The average packaging materials import price stood at $982 per tonne in 2018, remaining relatively unchanged against the previous year. Over the last decade, it increased at an average annual rate of +1.1%. The growth pace was the most rapid in 2010 an increase of 15% year-to-year. The import price peaked at $1,120 per tonne in 2014; however, from 2015 to 2018, import prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2018, the country with the highest price was Japan ($1,286 per tonne), while the price for Indonesia ($630 per tonne) was amongst the lowest.

From 2008 to 2018, the most notable rate of growth in terms of prices was attained by Australia, while the prices for the other major suppliers experieznced more modest paces of growth.

Source: IndexBox AI Platform

commerce

COMMERCE ISSUES PRELIMINARY DETERMINATIONS IN PROBES OF DRIED TART CHERRY IMPORTS FROM TURKEY

The U.S. Department of Commerce on Sept. 23 announced the affirmative preliminary determinations in the antidumping duty (AD) and countervailing duty (CVD) investigations of imports of dried tart cherries from Turkey, finding that exporters sold dried tart cherries at less than fair value at rates ranging from 541.29 to 648.35 percent and received countervailable subsidies at a rate of 204.93 percent.

Commerce will instruct U.S. Customs and Border Protection to collect cash deposits from importers of dried tart cherries from Turkey based on these preliminary rates.

Investigations were initiated based on petitions filed by the Dried Tart Cherry Trade Committee, whose members include Cherry Central Cooperative (Traverse City, Michigan), Graceland Fruit, Inc. (Frankfort, Michigan), Payson Fruit Growers Coop (Payson, Utah), Shoreline Fruit, LLC (Traverse City, Michigan) and Smeltzer Orchard Co. (Frankfort, Michigan). In 2018, imports of dried tart cherries from Turkey were valued at an estimated $1.2 million.

Commerce is scheduled to announce its final AD and CVD determinations on or about Dec. 5. If affirmative final determinations are made, the U.S. International Trade Commission (ITC) will be scheduled to make its final injury determinations on or about Jan. 21, 2020. Only if both Commerce and the ITC make affirmative final injury determinations will AD and CVD orders be issued. Any negative final determinations end the investigations with no orders issued.

avocado

Global Avocado Market 2019 – Mexican Exporters Enjoy New Growth Momentum, Thanks To Rising Demand In the U.S.

IndexBox has just published a new report: ‘World – Avocados – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.

The global avocado market revenue amounted to $13.5B in 2018, reducing by -9.3% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price). Overall, avocado consumption continues to indicate a remarkable expansion. The pace of growth was the most pronounced in 2017 with an increase of 29% y-o-y. In that year, the global avocado market attained its peak level of $14.9B, and then declined slightly in the following year.

Production 2007-2018

In 2018, the amount of avocados produced worldwide amounted to 6.4M tonnes, rising by 6% against the previous year. Overall, the total output indicated a strong expansion from 2007 to 2018: its volume increased at an average annual rate of +5.3% over the last eleven year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, the avocado production increased by +85.2% against 2008 indices. The most prominent rate of growth was recorded in 2009 with an increase of 13% y-o-y. Over the period under review, global avocado production attained its peak figure volume in 2018 and is expected to retain its growth in the immediate term. The general positive trend in terms of avocado output was largely conditioned by remarkable growth of the harvested area and a modest expansion in yield figures.

In value terms, avocado production stood at $12.9B in 2018 estimated in export prices. Over the period under review, avocado production continues to indicate a remarkable increase. The pace of growth appeared the most rapid in 2017 when the output figure increased by 40% against the previous year. In that year, global avocado production attained its peak level of $15.6B, and then declined slightly in the following year.

Exports 2007-2018

In 2018, approx. 2.4M tonnes of avocados were exported worldwide; growing by 23% against the previous year. In general, avocado exports continue to indicate resilient growth. The pace of growth was the most pronounced in 2018 when exports increased by 23% y-o-y. In that year, global avocado exports attained their peak and are likely to continue its growth in the immediate term.

In value terms, avocado exports totaled $5.6B in 2018. Overall, avocado exports continue to indicate a buoyant increase. The pace of growth was the most pronounced in 2016 with an increase of 36% against the previous year. Global exports peaked at $5.8B in 2017, and then declined slightly in the following year.

Exports by Country

Mexico represented the major exporting country with an export of around 1.1M tonnes, which reached 45% of total exports. It was distantly followed by Peru (361K tonnes), the Netherlands (246K tonnes) and Chile (133K tonnes), together comprising a 31% share of total exports. The following exporters – Spain (106K tonnes), South Africa (85K tonnes), Kenya (72K tonnes) and the U.S. (68K tonnes) – together made up 14% of total exports.

From 2007 to 2018, average annual rates of growth with regard to avocado exports from Mexico stood at +12.5%. At the same time, Peru (+20.8%), the U.S. (+19.6%), the Netherlands (+18.2%), Kenya (+14.3%), Spain (+7.3%) and South Africa (+6.3%) displayed positive paces of growth. Moreover, Peru emerged as the fastest growing exporter in the world, with a CAGR of +20.8% from 2007-2018. By contrast, Chile (-1.1%) illustrated a downward trend over the same period. Mexico (+33 p.p.), Peru (+13 p.p.), the Netherlands (+8.6 p.p.), the U.S. (+2.4 p.p.), Spain (+2.4 p.p.), Kenya (+2.3 p.p.) and South Africa (+1.7 p.p.) significantly strengthened its position in terms of the global exports, while the shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Mexico ($2.4B) remains the largest avocado supplier worldwide, comprising 43% of global exports. The second position in the ranking was occupied by the Netherlands ($734M), with a 13% share of global exports. It was followed by Peru, with a 13% share.

In Mexico, avocado exports increased at an average annual rate of +13.4% over the period from 2007-2018. In the other countries, the average annual rates were as follows: the Netherlands (+21.6% per year) and Peru (+23.1% per year).

Export Prices by Country

In 2018, the average avocado export price amounted to $2,308 per tonne, lowering by -22% against the previous year. Over the period from 2007 to 2018, it increased at an average annual rate of +2.5%. The growth pace was the most rapid in 2017 when the average export price increased by 25% y-o-y. In that year, the average export prices for avocados attained their peak level of $2,960 per tonne, and then declined slightly in the following year.

Export prices varied noticeably by the country of origin; the country with the highest export price was Spain ($3,160 per tonne), while Kenya ($1,646 per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of export prices was attained by Chile, while the other global leaders experienced more modest paces of growth.

Imports 2007-2018

In 2018, the amount of avocados imported worldwide stood at 2.4M tonnes, growing by 12% against the previous year. Overall, avocado imports continue to indicate a resilient expansion. The most prominent rate of growth was recorded in 2010 when imports increased by 25% against the previous year. Over the period under review, global avocado imports attained their maximum in 2018 and are expected to retain its growth in the immediate term.

In value terms, avocado imports amounted to $5.9B in 2018. Overall, avocado imports continue to indicate a buoyant expansion. The pace of growth was the most pronounced in 2011 with an increase of 32% year-to-year. Global imports peaked at $6.3B in 2017, and then declined slightly in the following year.

Imports by Country

The U.S. was the key importing country with an import of around 1M tonnes, which accounted for 43% of total imports. The Netherlands (258K tonnes) held the second position in the ranking, followed by France (144K tonnes), the UK (118K tonnes) and Spain (115K tonnes). All these countries together took near 26% share of total imports. Canada (93K tonnes), Germany (93K tonnes), Japan (74K tonnes) and China (54K tonnes) followed a long way behind the leaders.

Imports into the U.S. increased at an average annual rate of +10.4% from 2007 to 2018. At the same time, China (+136.2%), the Netherlands (+16.0%), Spain (+15.1%), Germany (+14.6%), Canada (+13.5%), Japan (+9.8%), the UK (+9.1%) and France (+2.3%) displayed positive paces of growth. Moreover, China emerged as the fastest growing importer in the world, with a CAGR of +136.2% from 2007-2018. The U.S. (+29 p.p.), the Netherlands (+8.6 p.p.), Spain (+3.8 p.p.), the UK (+3 p.p.), Germany (+3 p.p.), Canada (+2.9 p.p.), China (+2.2 p.p.) and Japan (+2 p.p.) significantly strengthened its position in terms of the global imports, while the shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the U.S. ($2.4B) constitutes the largest market for imported avocados worldwide, comprising 42% of global imports. The second position in the ranking was occupied by the Netherlands ($539M), with a 9.2% share of global imports. It was followed by France, with a 7% share.

In the U.S., avocado imports expanded at an average annual rate of +13.4% over the period from 2007-2018. In the other countries, the average annual rates were as follows: the Netherlands (+17.1% per year) and France (+6.5% per year).

Import Prices by Country

The average avocado import price stood at $2,439 per tonne in 2018, dropping by -16.8% against the previous year. Over the last eleven year period, it increased at an average annual rate of +2.7%. The pace of growth appeared the most rapid in 2011 an increase of 23% year-to-year. Global import price peaked at $2,931 per tonne in 2017, and then declined slightly in the following year.

Import prices varied noticeably by the country of destination; the country with the highest import price was Germany ($3,414 per tonne), while Spain ($1,920 per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of import prices was attained by Germany, while the other global leaders experienced more modest paces of growth.

Source: IndexBox AI Platform

Trade for Creative Goods Shows Substantial Growth

In a recent report from UNCTAD highlighting recent trends in the global trade economy, key findings confirm the expansion of creative goods with export growth rates exceeding seven percent.

“The creative economy has both commercial and cultural worth,” UNCTAD’s trade division director, Pamela Coke-Hamilton said. “Acknowledging this dual value has led governments worldwide to expand and develop their creative economies as part of economic diversification strategies and efforts to stimulate economic growth, prosperity and well-being.”

Additionally, the report provides detailed, sector-specific profiles for 130 developed and developing countries. Of the key findings in the report, China’s substantial involvement in global trade – specifically for creative goods, verified that China accounts for more one-third of global art sales at auction.

“Although the downturn in global trade has impacted all industries, the report shows the creative economy is more resilient than most,”  Chief of UNCTAD’s creative economy programme, Marisa Henderson, said. “The performance of the creative economy is encouraging and shows it is thriving through the intersection of culture, technology, business and innovation.”

The United States, France, Italy, the United Kingdom, Germany, Switzerland, Netherlands, Poland, Belgium and Japan were the top 10 creative goods exporters among developed countries.

The top 10 developing economies cited for global trade in creative goods  includes: China, Hong Kong (China), India, Singapore, Taiwan Province of China, Turkey, Thailand, Malaysia, Mexico and Philippines were the top 10 performing developing economies stimulating global trade in creative goods.

“Creative services will grow,” Henderson said. “Although there is limited data on the trade in creative services, more countries are reporting on creative services trade as it becomes a more defining feature of local and regional economies.”

Source: UNCTAD

Foreign Trade Data Solutions Company Adds Germany Location

Trade Technologies, a global leader in foreign trade documentation software solutions, announced the opening of the second European branch office in Stuttgart, Germany. Trade Technologies currently has offices in Atlanta, Austin, Boston, Chicago, Hong Kong, Houston,
Istanbul, London, Los Angeles, Mumbai, New York, San Francisco, Singapore.

The company prides itself in its patented, cloud-based software solutions that securely streamlines sharing trade data and documentation for over 1,500 exporters, freight forwarders and international banks.

Additionally, the company’s outsourced trade documentation services grant increased visibility of other transactions involving foreign trade through real-time access and management.

“Europe is home to high-performing and fast-growing exporters, and Germany is a growth engine in Europe and we expect strong demand not only for our outsourced letter of credit services, but also for our entire TradeSharp platform,” said Kirk Lundberg, CEO of Trade Technologies.

The company’s impressive list of awards and recognitions includes:

-One of the “50 Smartest Companies of 2016” in the Silicon Review business magazine

-Presidential E Award for Export Services from the US Department of Commerce in 2015

-CIO Review Magazine voted TTI one of the 20 most promising banking solutions in its annual list

-Trade Finance Magazine’s Best Trade Tech Solutions Company winner in 2012

-TradeSharp Software Platform and Process  Award

-Winner of the US Department of Commerce’s Presidential E Award for Exports in 2011- known as the highest possible US export recognition.

 

Source: EIN Presswire