Covid-19 briefing

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- ECONOMIC IMPACT -

Latest update: 21 October

Many economists have cut their GDP forecasts. The 2020 consensus forecast for GDP growth is currently negative and many predict a recession.

The World Trade Organization forecasts the volume of world merchandise trade to shrink by 9.2% in 2020.

-4.4%

The IMF has revised its 2020 global GDP forecast to -4.4% from an estimate of -4.9% made in June.

5.3%

The global economy is estimated to contract by 4.2% in 2020 and bounce back by 5.3% in 2021.

Impact of Covid-19 on equity indices

- SECTOR IMPACT: PACKAGING -

Latest update: 7 October

The rise of the ecommerce channel is significantly impacting the packaging industry, and suppliers are optimising packaging to be more robust for this channel to meet manufacturer requirements.

Digital tools continue to be used to achieve safety and efficiency. Packaging companies also recognize the continued importance of investing in sustainable supply chain operations.

materials impact

Packaging impact assesment

Revenue and employment

Packaging for shelf-stable food products continues to be in demand, while demand for luxury goods packaging is stale as discretionary spending is reduced. Packaging for the foodservice channel is reduced as consumers exercise caution and some are avoiding food cooked outside of the home even if delivered.

Food packaging firm Camvac is set to launch a recruitment drive as it has seen a dramatic rise in demand for its film products in food and medical packaging since the start of the pandemic.

Supply chain and demand disruption

Seven Hills, an Italian gin brand, unveiled new packaging which leverages blockchain technology to certify its authenticity. A QR code on the bottle’s label can connect consumers to a website outlining Seven Hills’ ingredients and production process, as well as offering loyalty rewards.

Packaging multinational DS Smith has launched its “Now and Next” sustainability vision and strategy, which maps out its commitments around CO₂ reduction, protecting biodiversity and reducing water usage.

05/22/2024 10:39:27