Packaging machinery imports into Mexico totaled $751 million in 2017 growing for the fourth consecutive year and by nearly eight percent from 2016,according to a Mexican Packaging Machinery Market presentation from Louis Domenech, Managing Director, Market Intelligence Latin America S.C. (MILA). Nearly 100 members of PMMI, The Association for Packaging and Processing Technologies, registered for the event which highlighted PMMI’s upcoming 2018 Packaging and Processing in Mexico report. The seminar kicked off day two of EXPO PACK México (Expo Santa Fe Mexico, Mexico City, June 5-8).
With a cautious eye towards the potential volatility surrounding Mexico’s upcoming July elections, Domenech believes the growth will continue, offering a ripe opportunity for the packaging and processing industry. The beverage industry continues to set the pace with investments in new breweries making beer the largest subsector. Heineken, AB InBev and Constellations Brands alone project 15 million hectoliters in new capacity in 2018.
“Few companies are stopping or postponing investments due to the elections,” said Domenech. “Most are continuing with packaging machinery investments and have [2018] budgets similar to 2017.”
Retailers, for example, continue to invest in new stores, which is a positive sign that vendors do not fear a change in the current market. Mexico’s demographics, employment growth, increasing middle class and the consumption habits of millennials also point to continued growth in important packaging machinery demand sectors.
