Encouraging Economic Indicators Bode Well for the Process Industries & the 2013 Chem Show
Good news for the chemical, food, pharmaceutical and other process industries. According to a recent survey conducted by the Chem Show and Processing magazine, production and capital spending will increase this year, and next.
The jointly sponsored survey of process industries professionals revealed:
- 88% said production will either increase (55%) or stay about the same (33%) over the next 18 months in the areas they work at in their companies.
- 73% predict capital expenditures in 2013 will either increase (43%) or be about the same (30%) for equipment upgrades, new systems, etc. , in the area they work.
- 72% predict capital expenditures in 2014 will either increase (47%) or be about the same (25%) over 2013.
"These survey results indicate that processing companies will actively be planning to buy new equipment to increase their production, which is very encouraging news for both the chemical processing industry and the Chem Show," said Clay Stevens, President of International Exposition Company, which produces and manages the Chem Show. "The Chem Show takes place December 10 - 12 in New York City, so many CPI professionals will be planning ahead for active projects and needs in 2014."
The findings of the recent Chem Show/Processing magazine survey are consistent with other recent economic studies that indicate an improving economy will stimulate growth across many process industries, including:
- The American Chemistry Council (ACC) calculates that chemical production could grow by nearly 5.4% in 2014 on top of a 3% gain in 2013.
- The global pharmaceutical industry is projected to emerge from its modest growth phase and rise 5% to 7% by 2016.
- According to Accenture, food production/processing is expected to grow at 3% worldwide this year.
- The Manufacturers Alliance for Productivity and Innovation (MAPI) predicts equipment expenditures will be up in significant numbers, advancing 5.2% in 2013 and 8.6% in 2014.
Stevens concluded, "What all these positive economic forecasts mean for the several thousand process engineers, production/plant personnel and other CPI decision makers attending the 2013 Chem Show is that the timing couldn't be better to see and buy the latest equipment they need."
