Prospects bright for VN packing firms

Viet Nam’s packaging industry continues to expand, driven by growing demand for food and beverages processed and packaged in a modern way, according to experts.

Visitors at the 2017 Propak Vietnam, which is being held in HCM City’s Saigon Exhibition and Convention Centre from March 21 to 23. — VNS Photo Xuan Huong

Michael Przytulla of the German Engineering Federation – Food Processing and Packaging Machinery Association, said, “It is expected that the demand for packaged food will rise by 38 per cent to 5.4 million tonnes by 2020.”

Vietnamese consumers were also increasingly focusing on food hygiene and quality, with more opting for packaged products instead of buying goods at open market stalls, he pointed out.

Tran Viet Dung, deputy director of VCCI Exhibition Service, said the increase in exports of seafood, garment and textiles, confectionary and some other products also pushed up demand for packaging.

Packaging plays a vital role in terms of protection, storage and hygienic handling of a product, and a key role in the marketing mix and in defining the character of products, and has a massive impact on sales and purchasing decisions.

"It is vital that brand owners understand its importance to create the right packaging," he told at a press conference held on the opening day of the 2017 Propak Vietnam exhibition.

Paolo Lemma, trade commissioner, Italian Trade Commission, said Viet Nam’s food industry had an important role in the economy, significantly contributing to GDP and attracting foreign investors.

"The packaging sector is also one of the most rapidly developing industries, and many foreign suppliers and manufacturers have made a foray into the market," he said.

Przytulla said the increasing demand for foodstuff, processed foods and beverages and packaging, the rising number of supermarkets as well as the development of new products and increasing hygiene requirements led to a rising demand for state-of-the-art machinery.

“Viet Nam is, to a very large degree, dependent on the import of machinery and equipment.”

"In 2015 Viet Nam spent 392 million euros on imports of food processing and packaging machinery, a 10 per cent increase over 2014, with China, Germany, Japan, Italy, and South Korea being the top suppliers.

"Export-oriented manufacturers in Viet Nam favour high-tech solutions to meet international standards and be competitive," he said.

2017 PROPAK Vietnam

Dung said PROPAK Vietnam, a major annual processing and packaging technology exhibition, held in HCM City from March 21 to 23, would provide an outstanding sourcing platform for many industries, enhance business connections and discover new ideas for production line improvement and expansion.

The expo features a wide array of cutting-edge processing and packaging machines, technologies and services for the food and beverages, cosmetics, pharmaceutical, chemicals and other industries.

It has attracted more than 400 exhibitors from 28 countries and territories, including 11 international group pavilions from Germany, China, India, Japan, Korea, Singapore, Taiwan, Thailand, and Italy, BT Tee, general manager of SES Vietnam Exhibition Services, said.

The vast opportunities offered by the event would be enhanced by the joint staging of the first Printech Vietnam, which serves the converting, package printing and labelling sectors, he said.

Conferences and seminars would be held on the sidelines of the expo, including on water quality and management for food processing and improving the quality of rice and rice-based products.

The event at the Saigon Exhibition and Convention Centre, jointly organised by SES Vietnam Exhibition Services and VCCI Exhition Service, is expected to attract more than 7,500 trade visitors.

Source VNS