The global leading company in developing and producing high-quality, responsible packaging, Amcor has provisionally retrenched supplies to some of its lower-margin customers after raw materials shortfall in specialist resins, PET plastic and aluminium contrived its production in the September quarter.
Ron Delia, CEO of Amcor said: “Amcor had been forced to make some hard choices as it grappled with the shortages of the raw materials, which he said should right themselves by the second half of the 2021-22 financial year.”
“Certainly in the first quarter it provided a bit of a headwind,” Delia added.
He said: “Amcor allocated more packaging products to higher-margin customers. We’ve just had to make some choices about what to do.”
However, the shortages are starting to subside but still, it would likely to pursue for the next few months. Despite the disruptions, Amcor was positioned well than competitors to secure limited stocks of speciality resins utilized in producing PET plastic bottles and other products, empowering it to gain market share. Several speciality aluminium products applied in pharmaceutical packaging had also been dire to acquire.
During an investor briefing session, he said: “We’re going to wear these conditions now for the next few months.”
Amcor was transfigured into the largest consumer packaging company in the world following the $9 billion purchase of Bemis in the United States in 2019.
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