Lack of raw materials and high prices of food packaging

The socio-economic and health impact of the pandemic not only created a climate of uncertainty and fragility as the virus threatened human lives in full containment. If the situation has improved today, all the contradictions of a world economy appear. In the first months of the pandemic, the value of commodity prices fell 20-30%, but has since skyrocketed given the extreme difficulty in supplying them. FreshPlaza spoke with Claudio Saviotti, Sales Manager at Crown Italia, to understand the food and beverage industry’s challenges in sourcing packaging.

“For a country like Italy, which does not produce raw materials, their supply has become a serious problem. In recent years, Asian markets have delivered a lot of goods to the rest of the world. China in particular is playing a leading role. during this phase of the pandemic because, having overcome the health emergency earlier than others, secures its domestic market by limiting exports to supply has been exhausted. contracts in 2021, thus discouraging exports.

“Of course, all steel and tinplate lines were affected, also due to lack of stock combined with high demand and prices 50% higher than last year.”

Crown is a publicly traded American multinational, a leader in the international packaging market through technological innovations such as easy-open lids now in widespread use.

Crown Holdings is a leading supplier of steel and aluminum foil boxes and easy-to-open lids. The most popular product, pewter lids, also explains Crown’s success in sustainability, as steel and aluminum foil have exceptional characteristics: they can be fully recycled and reused an infinite number of times. times.

The difficulty of sourcing raw material not only affects the food sector, but also all sectors using raw materials such as oil, copper, wood, aluminum, cobalt, iron, etc.

“While we cannot deny that this is a very difficult situation, we are able to honor the contracts stipulated with our customers. We will assess additional supplies as they arrive. anyway, we’re hoping that something will change, as we don’t have the crude or the production capacity to meet the tremendous demand from world markets. ”

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