Is the automotive industry the sign of growth for 2014?

Can the automotive manufacturing lead the way for other industries towards financial growth? Or is it just a self contained green shoot for the coming year?

However it turns out, the growth figures from the end of last year for the industry make good reading for the manufacturers and good reading for returnable packaging.

Going into a New Year there are always predictions for the coming twelve months, over the last few years these predictions have increased in importance due to the economic downturn.

Keith Barnes, who is Packaging Advisor to Mintel Group, was quoted in the Materials World magazine saying that the packaging industry is “among the first to see an upturn as companies stock up again and look to product development”.

After the period of downturn where manufacturers made cut backs and cost savings they are going to want to capitalise on the predicted growth whilst also making efficiency savings by developing their methods and manufacturing processes. One area that can aid them in becoming more cost effective is returnable packaging.

Having a packaging solution that helps to reduce cost and increases capacity as well as being environmentally friendly is one way of improving the supply chain in the coming twelve months.

Integrating a reusable packing system is also a step in the right direction for years to come.  It provides greater value for money as there isn't a continuous expense of packing materials that are then thrown away. A manufacturer will see increases in efficiency in terms of better use of weight and capacity restrictions and fewer damages. Another efficiency saving is being able to remove unnecessary operations if the packaging solution is able to go straight to the assembly line. This saves on time and money.

Looking to make improvements now can aid the manufacturing process for years to come and returnable packaging is amongst those improvements. This area is increasing in importance due to the continued shift to international business models for the automotive industry.