This sentence is now becoming increasingly clear again after the peak phase of the Corona pandemic. We all get to feel these times in our everyday lives. Be it when filling up with gas or doing our weekly shopping. Everything is getting expensive. Even the packaging industry is not spared.
The shortage of raw materials is putting an immense strain on supply chains. Materials have been in short supply since the start of the lockdown, and unfortunately this is still continuing, partly due to the war in Ukraine. Due to Corona, many companies were often unable to maintain permanent jobs. The consequences of this were not fully staffed companies, short-time work and often not surviving. Sufficient production fell by the wayside. Orders accumulated and could not be implemented due to all the deficiencies. This resulted in long waiting times for urgently needed components.
How does the current situation affect customers and consumers?
Forecasts currently indicate quite cautiously that the situation will not ease until mid-2023. Consumers are suffering more and more from this situation. Rising gas and electricity prices are spreading more and more fear among the population. As a result, products are becoming expensive and inflation continues to rise. Our customers are also affected by the rising prices of raw materials for their packaging materials and packaging machines. The production becomes more and more expensive, therefore also the products. Increased costs must therefore also be passed on to the end consumer. This makes the economic situation even more difficult. Projects are difficult to implement or have to be postponed altogether. The willingness to invest decreases. We are also noticing this in our customer environment.
Companies are rethinking …
The Corona crisis has forced companies to rethink. Home offices and more precise planning of work processes were on the agenda here. Every company had to get creative in the process to avoid major downtime. Even after surviving the Corona peak phase, flexibility was maintained in the companies. Above all, home office and the like remain very attractive for employees. Productivity increases and companies have the opportunity to work through any backlogs as quickly as possible. This gives the industry a more positive outlook for the future. Projects can now be implemented with renewed vigor. We can only remain productive at this point to fully support our customers and partners.
How can companies respond to the shortage of raw materials and more difficult supply chains?
In order to respond early, companies should already stock up on the smallest precursors of a crisis to counteract the shortage. In addition, commodities such as used machinery can serve with missing parts. The machines can provide importantly needed parts when disassembled and thus keep production running. In addition, a good organization of orders is significant, so the required raw materials can be better distributed without risking a major gap.
What has the war in Ukraine changed?
The war in Ukraine has been going on for several months now, scaring the world. Therefore, the unstable economic situation remains tense even after a coronalockdown. Large and small companies are still not spared and are affected by the gas shortage and Co. This current issue also has a major impact on the packaging industry worldwide. Food manufacturers in particular are severely affected as they rely on gas.
