Industry Analysis & Industry Trends
Australia’s Glass and Glass Product Manufacturing industry comprises two key segments: the glass-container segment and the flat-glass segment. The glass container segment is dominated by two local firms, Owens-Illinois Australia and Orora Limited (formerly Amcor Glass), which manufacture bottles and jars for packaging beverages and food products. The flat-glass segment includes Viridian (CSR Limited), which is the only local manufacturer of float glass (i.e. high-quality sheet glass produced on a bed of liquid). The industry includes many small to medium firms producing a range of fabricated glass products. The industry comprises an estimated 725 enterprises employing 9,150 people in 2014-15, with about 94.0% of businesses employing fewer than 20 people... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers to entry to the main segments of the industry are extremely high due to the dominance of the two vertically and horizontally integrated producers: Viridian (the only local producer of float glass) and Owens-Illinois Australia (O-I), which is the dominant producer of glass containers. Each firm's dominance in their respective markets has been held due to the high cost of establishing viable competition.
O-I has long-term supply contracts with its key customers (e.g. Foster's Group, Lion, Schweppes and Nestle). A new entrant would need to aggressively challenge O-I in its existing market to obtain a viable foothold... purchase to read more