With the continuous improvement of paper price, low-carbon economy and environmental protection requirements, the competition in paper packaging industry is becoming more and more fierce. The following analysis of the current market situation of the paper industry in the second half of 2017 is for reference only.
The upstream paper industry market has more concentrated production capacity
1. Paper enterprises have successively entered the mid year maintenance period, and leading enterprises take the initiative to stop production and control production capacity. It is reported that on June 7, 8 and 9, 2017, the three paper giants of Zhonghua paper, Chenming Paper and Bohui paper took the initiative to start the shutdown plan in response to the national supply side reform, accelerate the capacity removal, and improve the quality and environmental protection policy requirements.
2. Supported by the price rise of raw material waste paper, at present, there is a shortage of waste paper supply, and some enterprises are difficult to maintain continuous production.
3. Environmental protection supervision ordered small factories to withdraw continuously and the production capacity was more concentrated.
It is reported that the gross profit margin of paper enterprises is usually 10% - 12%. It is estimated that the investment in up to standard environmental protection equipment is about 200 million yuan. At present, the net profit per ton is 400 yuan, and the investment of a production line with a capacity of 500000 tons can be recovered in the first year, which will limit the production capacity of small paper mills.
Under such an industry pattern, what impact will the downstream paper bag factory be affected?
Insiders predict that the rise in paper prices may continue until the end of this year. Due to the current high rise in paper price and limited supply of paper, in the long run, some secondary factories will be unable to support due to insufficient capital, while tertiary factories will find it difficult to implement the price rise, which is a process of industry reshuffle and re integration. Now, many powerful large secondary plants are expanding new projects, and the number of small orders will gradually decrease, which will speed up the process of industry reshuffle.
Fierce competition in downstream packaging market
According to the following analysis data, paper packaging enterprises are obviously affected by material price fluctuations. For example, the gross profit margin of the listed company Hexing packaging in the first quarter showed a slight year-on-year decline. In the first quarter of 2017, the gross profit margin was 15.5%, down 2.1% year-on-year. The decline in the gross profit margin was more due to the sharp rise in the price of raw material box board corrugated paper. If the gross profit of leading enterprises decreases, the impact of other enterprises can be imagined.
The future development of paper packaging still faces good development space. However, in view of the excessive packaging problems caused by FMCG industries such as tea and alcohol and express delivery industry, relevant national departments may urge industry leading enterprises to curb excessive packaging and resource waste through scientific design and resource conservation. This may affect small enterprises or enterprises with inferior quality.
As a paper enterprise, in such an industry reshuffle period and an increasingly competitive environment, how should it develop to face the storm and not be eliminated? How can we not only meet the requirements of low-carbon, but also comply with the green development trend and achieve profit growth in the fierce competition?
Expert suggestion: the application of Internet drives the development of packaging and printing industry
Internet packaging connects all parties in the industrial chain to the same platform. Informatization, big data and intelligent production will greatly improve operation efficiency, reduce costs, and provide customers with fast, convenient, low-cost and high-quality integrated services.
Save energy and reduce consumption, and transform high energy consumption equipment
As a paper packaging enterprise, we should broaden our thinking, reduce energy consumption and make more efforts. Through appropriate transformation of high energy consumption equipment, changing the original production technology level and conditions, and improving the management level, we can effectively save water, electricity and other resources and improve their utilization rate, so as to reduce energy consumption expenditure and achieve the purpose of reducing cost.
Upstream, middle and downstream industrial chains complement each other and share information
The upstream and downstream industrial chains are close to each other. You have me and I have you. If either party falls into a dilemma, it will bring a devastating blow to the other party. Taking interests as the starting point, industrial chains should fully realize complementary advantages and information sharing.
In addition to holding together for heating, enterprises also adapt to local conditions, learn from each other's strengths to make up for their weaknesses, and accumulate development power. As an enterprise, if we consider from a long-term perspective, production reduction and job rotation training are also good methods. In addition, to reduce the management cost, we should start from the management and quality of enterprises, make full use of their own characteristics, upgrade new products, and improve the scientific and technological content and economic added value of products.
