interplastica,and upakovka 2020 Reflect Stabilizing Russian Market

At the recent concurrent staging of interplastica, International Trade Fair for Plastics and Rubber, and upakovka – Processing & Packaging,  in Moscow indications of the stabilization of the Russian market were reportedly evident.  A total of 937 exhibitors from 40 countries attracted about 24,950 visitors, mainly from Russia and the neighboring states. The atmosphere in the halls was positive and exhibitors praised the high quality of the leads.

As a member of the interpack alliance, upakovka, addresses the target groups food, beverage, confectionery, bakery, pharmaceuticals, cosmetics, non-food and industrial goods. The food industry is one of the most important manufacturing industries in Russia and of high strategic relevance. Since the start of the food embargo this industry has experienced stable growth and high added value. Russia continues its efforts to increase domestic production to lessen the dependence on imports of some products. In late 2019, Russian President Vladimir Putin therefore adopted a “food doctrine” that stipulates further increases in the self-sufficiency rate for the most important staple foods.

Strong Demand for High-Quality Foods

Demand especially for high-quality foods as well as for convenience and fast-food products continues to be high although the current weak purchasing power is limiting sales.  According to the VDMA (Mechanical Engineering Industry Association),  sales of pre-packed foods increased  by 1.2 percent in 2019 to 31.3 million tons compared to the previous year. Market researchers expect demand to pick up again and rise to just under 6 percent reach 33 million tons by 2024. Above-average growth rates are expected especially for ready-meals, baby food, breakfast cereals, savory snacks, high-quality chocolate products as well as sweet pastry goods and snack bars.

Bottled Water und Functional Beverage in High Demand

Due to the growing health and wellness trend, demand for bottled water and functional and enhanced beverages is increasing. In 2019, sales of soft drinks stood at just under 14 billion liters and are expected to go up by 14 percent by 2024. Disproportionately high growth is expected for bottled water but also for energy drinks. upakovka 2020 was therefore supported by the Russian Bottled Water Producer Union (BWPU) and Russian Union of Producers of Soft Drinks and Mineral Water (UPSD).

To meet the consumer demand for high-quality and innovative products, the Russian food and beverage industry continues to invest in expanding its production capacities – and they find the matching suppliers and solutions at upakovka. As before, the most important supplier of modern processing and packaging technology to the Russian industry is Germany. upakovka 2020 again showed that machinery “Made in Germany” is in high demand. According to the VDMA, German exhibitors were satisfied with the results of the trade fair and expected good post-show business. Over the first 11 months of 2019, German manufacturers exported food and packaging machinery worth EUR 324 million to Russia.

Strong Interest in innovationparc Forums

Since upakovka has been organized as part of the interpack alliance portfolio of Messe Düsseldorf, the special theme “innovationparc” – adapted from the interpack trade fair in Düsseldorf, Germany – was again an integral part of upakovka 2020. At the well-attended forums the SAVE FOOD theme played a pivotal role. Involving the FAO and experts from government organizations as well as research institutes, the forum “From Food Loss to Circular Economy” dealt with sustainability and the opportunities for corresponding food production. The contribution made by the packaging sector and related industries for circular economy and recycling was discussed at the “Circular Economy in the Area of Packaging – Expectations and Reality” session. The Russian government placed this topic on the agenda to especially address the problems of disposing household waste in the country. The recycling rate of currently about 7% is to be increased to 36% in 2024. Topics, trends and problems related to the beverage sector were covered in the session “Beverage Industry and Bottling Technologies – Global Initiatives, Challenges and Opportunities”, while the session “Packaging Market Current State and Development Prospects” covered the global packaging market and local trends.

“innovationparc has increasingly developed into a key attraction and special highlight at upakovka where the exchange on trending and future themes in the industry is at the center of attention. This is precisely what a quality trade fair is all about,” stated Bernd Jablonowski, global portfolio director processing and packaging at Messe Düsseldorf.

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