Many paper products have declined in use in recent years. Envelopes are an example. As the digital age presses into every corner of our lives, humble, physical products like envelopes have been diminished form their peaks recorded less than two decades ago. Source: IndustryEdge
But far from being consigned to the dustbin of history, envelopes live on. Sure, they are in a diminished state, but they continue to be part of the trade landscape. Indeed, envelopes remain part of the manufacturing landscape.
In Australia, Opal leads manufacturing at its Preston (Victoria) plant, where brands like Tudor are manufactured.
New Zealand’s Candida Stationery operates primarily from Auckland but also converts in Adelaide, following the acquisition of ES Wigg in 2016.
Here we show how trade in envelopes has changed over the course of the pandemic, by comparing 2021 imports and exports with shipments in 2019.
Australia’s envelope imports lifted 5.5% compared with 2019, reaching 1.022 billion units in 2021.
As the chart here shows, import supply continues to be dominated by shipments from New Zealand, and mainly from the trans-Tasman operator Candida Stationery. Compared with 2019, their shipments to Australia were up 65% and totalled just short of 500 million units or 49% of total imports.
Australian Envelope Imports by Country: Jan ’17 – Dec ’21 (Millions)
Declining supplies from Asian producers are notable, albeit modest, and may have a little to do with Australia’s exports declining 90% in 2021, compared with 2019. However, the magnitude of that fall is immaterial, because the total fell from just 44.6 million units to 4.9 million units over the period.
Other drivers of lower imports to Australia include the rising costs of shipping and freight and their impact on these relatively low-priced paper products in a very price sensitive sector.
The table here shows Australia’s envelope exports since 2019.
Australian Envelope Exports by Country: 2019 – 2021 (Millions & %)
New Zealand’s envelope market saw imports fall 41.7% in 2021, compared with 2019, with total imports slipping to a modest 89.0 million units. As the charts and table show, the main contributors to New Zealand supply saw some very significant shifts in the balance of their imports over the year.
New Zealand Envelope Imports by Country: Jan ’17 – Dec ’21 (Millions)
Inevitably, the greatest interest will be in the declining shipments from Australia. Given New Zealand has supplied an increased volume into Australia and – as the table below shows – increased its total exports in line with that supply to Australia, either New Zealand envelope manufacture has increasedsharply, or demand has fallen very sharply indeed.
Visit IndustryEdge at www.industryedge.com.au
