Trends, Challenges, and Opportunities in the Food Packaging Machinery Industry

by

Brandon Vincent

Food is one of the most ubiquitous products packaged and, paradoxically, among the most challenging to manage. In the packaging machinery sector, the lion s share (60%) of all such equipment is purchased by the food and beverage sector. In terms of global food processing and packaging machinery, 45% is acquired by members of the European Union (EU). In a recent survey of C-level executives in the sphere, challenges to the food and beverage packaging industry were consistently identified as:

Pressurized margins

Customer sensitivity, and,

The volatility and increase of input costs

The key drivers underlying these challenges tend to be consistent with those of other industries: tighter regulations, environmental issues, increased demand for recyclable materials, spiking raw material costs, stricter government regulations, and greater competition. In the survey, solutions offered by respondents included creating partnerships that optimize working capital, reducing costs, product innovation, and price reduction.

In a recent article, Vera Fritsche, Consultant for Packaging Machinery at VDMA (Verband Deutscher Maschinen- und Anlagenbau, the German Engineering Federation) discussed industry challenges in more detail, along with innovations and trends on the horizon. Consumer demand for ever more convenient packaging and for bio (or organic) foodstuffs, continues. Likewise, consumer demand for smaller units of food products (individual portions), grows. Consequently, food producers/packagers are challenged by unprecedented demand for a broader variety of food packaging (size/type) and greater turnover of food product. Currently, in the EU 100,000 new products are introduced each year and that number is growing. Managing the twin strains of smaller batch sizes and increased product and format changes, are top of mind throughout the industry.

As the bio (or organic) food market grows, so will the necessity of mechanisms to ensure the optimal shelf-life of these products from food processing/packaging facility to table. Other concerns include greater hygiene measures, energy consumption reduction, and optimization of resources.

Using Technology to Measure Up

EU food packagers and processors have to contend not only with increased competition from their western counterparts, but balance that against escalating demand for their products within emerging markets. To manage this, technology and the innovative application of it to address industry concerns is of prime concern and interest. One solution that is value-additive for overall operational efficiency (OOE) is computerized maintenance management software (CMMS).

As health and safety standards become more rigorous and the load demand for food packaging equipment increases, that equipment must be properly cleaned and maintained more frequently. Shorter cleaning cycles are linked to increased efficiency, reduced/eliminated cross-contamination, and increased productivity. Without adequately maintaining packaging equipment (preventive maintenance PM), undesirable microorganisms can enter the food supply chain. Through the kind of proper preventive maintenance which CMMS supports, food packagers can continue to ramp up production while maintaining compliance with applicable government health and safety standards.

Advantages of Using CMMS for Food Processors/Packagers:

Supports Global Food Safety Initiative (GFSI) , Good Manufacturing Practices (GMP), and ISO 22000 Audit preparation and compliance

Root cause(s) analysis

360 degree view of a facility s machines, systems and buildings in an intuitive hierarchy

Schedules PM on the most appropriate assets (e.g., high-volume and high-risk machinery), first

Inventory tracking ensures the facility always has spare parts

One last consideration that EU food and beverage providers are building into their operations is the optimization of their energy consumption. As noted by insiders, concentrating on energy efficient drives and procedures is not enough. Resource efficiency is an important keyword . Toward improved energy and resource efficiency, food and beverage packagers and processors can utilize CMMS to accurately track energy consumption, identify under- or poorly performing assets, isolate energy vampires, and assess which assets are more profitable replaced or repaired. Underperforming assets tend to be key contributors to poor energy/resource conservation, by using EAM/CMMS systems that provide real-time, historical and current data analysis about a facility s assets, food packagers/processors can minimize energy/resource waste and improve the bottom-line.

Sources: http://www.packagingeurope.com/Packaging-Europe-News/50796/Trends-and-challenges-in-the-food-packaging-machinery-industry.html

http://www.prweb.com/releases/2013/7/prweb10890966.htm

Brandon Vincent is the author of this article discussing the difficulties and opportunities that are helped within the food packing industry. Using tools such as

advanced CMMS software

and

Facilities maintenance software

the industry is becoming more efficient and safe as it advances technologically.

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