In recent years, the impact of the pandemic and challenging economic factors have caused many products and manufacturers to exit the market and cease operations entirely or be absorbed by other brands. Concurrently, others have seized the opportunity, reaping immediate benefits in a less crowded competitive arena.
Packserv has seen increased demand from customers for machinery capable of producing 50-100 units per minute. In response, we are introducing a new range of machinery to cater to mid-tier customers.
We’ve also observed a shift in customer preferences regarding equipment delivery. Some clients are making the most of the instant asset write-off deduction, purchasing and installing equipment before the fiscal year’s end. At the same time, there has been a significant increase in demand for machinery rental services.
With more than 250 products in our range, Packserv stands out as one of the few businesses in Australia providing a packaging machinery rental service coupled with comprehensive client support.
This offering holds particular appeal for enterprises aiming to minimise capital expenditures in this economic environment.
We offer flexible rental terms, including short – and long-term hire options, with no minimum hire period, accompanied by full support, and the freedom to cancel at any time.
In addition to rental options, clients can still purchase equipment outright, or opt for rent-to-buy arrangement. For clients seeking large amounts of customised machinery, our finance partner, Finlease, is readily available to offer more conventional finance avenues such as leases, commercial hire purchase and chattel mortgages.
In tandem with digitisation, sustainability initiatives are reshaping the landscape of packaging and the requirements for packaging machinery. Brands are increasingly prioritising the reduction of material usage in packaging, driving the demand for machinery to be adapted and technical support.
If your machinery needs adapting to new parameters to accommodate these new material packaging designs then you don’t want to have to send it back overseas to be re-engineered.
We also follow trends overseas, and are witnessing greater interest in supply chain transparency, with initiatives such as the Digital Product Passport in Europe providing detail on the product’s origins, material composition and supply chain.
Nevertheless, the grim reality is that Australia remains heavily dependent on imported packaging machinery. This reliance exposes manufacturers to risks associated with supply chain disruptions, rendering us vulnerable to external influences.
To mitigate these risks, Australia must cultivate a self-sufficient packaging industry that works with genuine Australian made packaging machinery manufacturers. This supports local growers and FMCG manufacturers, enables supply chain transparency, and fosters resilience.
This article first appeared in the June/July edition of Food & Drink Business magazine.
