The food industry in Italy – Data 2014

Market structure, consumption trends and types of packaging for food products (food and beverages). 

After three years of progressive decline, the entire Italian food sector (food and beverages) ended 2014 with 0.6% production growth (source: Federalimentare), mainly determined by domestic demand in the food segment (beverages, on the other hand, saw a further slight decline).

Among the major beneficiaries of this growth are fish products, processed and canned fruit and vegetables, baked goods, flour products, confectionery, tea, coffee, spices, ready meals and baby food.

Exports continue to represent an important outlet and source of revenue for the food sector, although it also had slight decline, in quantitative terms, for its second fiscal year in 2014.

There is some growth potential in exports, but as this publication has often pointed out, it is held back by the extreme fragmentation of a sector made up of countless small enterprises which generally have trouble operating outside Italy. On the other hand, Germany, Spain and France have no trade deficit for two reasons: the existence of food enterprises that are on average larger than Italian ones, and a significant foreign presence of retailers in EU markets.

On the other hand, imports have grown: +10% in 2013 and another +10.1% in 2014. The large host of foreign retailers in Italy continues to play an essential role in this situation.
Domestic demand ended 2014 with an approximate 1% recovery: the crisis in domestic consumption began in 2010, and the early signs of a gradual recovery only appeared in November/December 2014.Expectations are higher for 2015, for both domestic demand and exports.

Food segment
Given the diversity of the countless product types, the packaging of food products in this segment features a remarkable variety of packaging solutions.
Handling the production of the sectors monitored by Istituto Italiano Imballaggio in the food segment entailed the use of approximately 4,549 t/000 of packaging in 2014, +0.7% compared to 2013. The trend appears to be in line with production, which saw approximately 1% growth in quantitative terms. This value accounts for disposable as well as reusable packaging, as well as primary, secondary and transport packaging.

Steel packaging. In 2014, this segment declined by approximately 1%, with a share of 6.6%. The decline can be accounted for by a reduction in business, but mainly a reduction in average weight. The food preserves sector is the primary user of steel packaging, followed by chemical products.

Aluminium packaging. The range includes cans for food, tubs and wrapping. This sector ended 2014 with 2.7% growth over 2013, mainly due to the growth of tubs and wrapping films. The market share is 0.5%.

Cellulose packaging. This type holds the largest share in weight of food packaging with a share of 35.2%.
In terms of transport packaging, corrugated cardboard is the most important type (approximately 16%), followed by folding cartons (approximately 3.5%).
Cellulose packaging also includes laminated cellulose containers (cellulose/aluminium and plastic).
In 2014, cellulose packaging had a total growth of 1.6%.

Glass packaging. This “historic” packaging type continues to enjoy widespread use in the food segment (14.2%), where jars predominate.

Plastic packaging. With a total share of 29.7%, this large family includes a diverse variety of packaging types, including flexible polylaminates for converting, whose characteristics make it play an important role.

Wood packaging. Pallets and produce crates, in the food segment, held a 13.8% share in 2014. Particularly on the rise are reusable pallets and restored or recirculated pallets.

Beverage segment
Packaging remains a strategic factor for beverages as well. Indeed, in addition to protecting the product and enabling its transportation, as with food, it also represents “an important marketing tool”.
Compared to the total beverages market, a particularly important packaging type is plastic (58%).
Glass bottles, which until 20-25 years ago were the most common packaging type, currently hold a 30% share and are the predominant choice for packaging wine, spirits, vermouth, beer and syrups.
In terms of market share, polylaminate cellulose containers (4%) are the third most common type, basically used for all beverages and in competition with both plastic and glass.
Aluminium and steel cans held essentially the same position as previously, with a 2.5% share (the market is oriented toward the use of aluminium cans).
The remaining 5.5% refers to cheerpacks, plastic cups and draft distribution.

Innovations and forecasts
In the food industry, packaging performs essential tasks having to do with safety and communication. Generally speaking, used food and beverage packaging is constantly being innovated and made to be safer and have  a lowered environmental impact, in line with evolving legislation.
Glass bottles, for example, have undergone both a weight reduction and significant restyling, marked by a high degree of customization.
In terms of safety, the neck length of plastic bottles has been reduced thanks to new screw-on caps, while in terms of look and service content the containers are produced in different shapes and sizes, with an expanded capacity range.
An equally important innovation is the production of bottles partially made from recycled PET (rPET).
Cans, both aluminium and steel, in addition to progressive weight reduction, have developed advanced lithography techniques.
Laminated cellulose containers, in addition to a slight reduction in average weight, have been innovated in interesting ways in terms of shape, graphics and closure systems. This values account for disposable as well as reusable packaging, as well as primary, secondary and transport packaging.                                        

Plinio Iascone
Istituto Italiano Imballaggio