Industry Analysis & Industry Trends
The performance of the contract packing companies is affected by conditions in manufacturing and wholesaling industries, including cosmetic and toiletry product manufacturing, pharmaceutical product manufacturing and adhesive and cleaner product manufacturing. Overall, IBISWorld estimates that industry revenue will increase at an average annual rate of 1.8% over the five years through 2011-12. Industry revenue is expected to increase by 1.8% over 2011-12 to a total of $704.8 million, as merchandise trade improves.
The global financial crisis affected business and consumer confidence, resulting in a scarcity of investors and instability in manufacturing. As the Australian economy teetered on the edge of recession during 2008-09, industry revenue growth remained negligible... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Contract Packing Services industry is in the mature stage of its life cycle. Industry value added has declined at an estimated annual rate of 0.7% over the five year period 2011-12, marginally behind Australia's GDP growth rate for the period. IVA is calculated by the addition of wages, depreciation and profits. Profits account for around 5% of industry revenue.
The Contract Packing Services industry can best be described as a mature industry as manufacturers have realised the cost advantages associated with outsourcing packaging activities. However, the introduction of new transaction methods has led to the development of new products such as smart cards, which require innovative packaging methods... purchase to read more