Within this issue of the FPA Update, FPA concludes its review of the 2012 State of the Flexible Packaging Industry Report and highlights the Global Packaging, and Industry Structure & Consolidation sections. 

The 2012 State of the Flexible Packaging Industry Report, recently published by the Flexible Packaging Association, provides data on industry performance and productivity over the past year. This key source of information also examines flexible packaging materials and processes, end-uses, M&A activity, and imports and exports.

The 2011 FPA State of the Flexible Packaging Industry Report is a benefit of FPA membership and is available in the Members Only section of the FPA Web site, www.flexpack.org. Printed copies of the Report are also available to FPA non-members for $3,500. For more information, contact Bob Zaborowski, director, Business & Economic Research at (410) 694-0800.

Global Packaging

The global packaging industry is estimated to be $500 billion. The included chart provides a breakdown of the global packaging industry by region. North America accounts for approximately 27 percent of the global flexible packaging industry; however, Western Europe and Asia Pacific (including Japan) make up the largest markets for global packaging products, each accounting for approximately 28 percent. The Report also examines material and end-use segments of the global packaging industry, and flexible packaging consumption (on a per capita basis) in various regions of the world.

Industry Structure and Consolidation

Over the last ten years, the flexible packaging industry has experienced high consolidation activity. A surge in M&A activity occurred in 2011 and 2010; and today, the top ten flexible packaging converters account for almost half of flexible packaging industry revenue. Additional information on U.S. flexible packaging M&A activity including transactions completed in 2011, dollar value, activity drivers, new buyers and entrants, and domestic buying leaders, is provided within the Report.