The increasing need for operational efficiencies across the 3pl sector is facilitating continued demand for warehouse equipment and machinery.
Southgate, one of Europe’s leading packaging suppliers is reporting sustained growth in demand for its portfolio of packaging equipment which covers mechanised case taping through to shrink wrapping, all of which can help to increase productivity.
Southgate Global serves over 600 distributors across the UK and Europe, with customers specialising in warehousing and logistics.
The warehousing sector continues to experience record vacancies, felt most recently at a time of big growth in demand for peaks times such as Black Friday, Cyber Monday and Christmas.
An increase in online shopping, and the consumer’s expectation for quicker delivery means that its important to be fast and efficient. This ongoing shift to e-commerce from physical stores also means more manpower is much needed in warehouses. Southgate has seen its business in the sector grow substantially, which is why machinery and equipment is a big focus.
In an increasingly competitive market, levels of automation within manufacturing, assembly and despatch can certainly help improve efficiencies, when pressures on the workforce continues to be a cause for concern. A multimillion-pound market, it has been reported that the global packaging machinery sector is worth around USD 42.8 billion and expected to grow (CAGR) by 4.1 per cent between 2021 to 2028.
Case taping, stretch wrapping, shrink wrapping and strapping when automating is utilised can significantly increase productivity, improving throughput and quality with reduced manual handling as well as reducing material usage.
The use and growth of new machinery has increased over the past decade and is expanding across numerous end-of-line processes, such as wrapping.
This market growth has enabled Southgate to extend its portfolio of machinery and equipment, such as the new Xtegra Tegrabond Water Activated Tape Case Taper.
Water activated tape (WAT), also known as gummed paper tape, is rapidly becoming the carton sealer of choice throughout the order fulfilment sector, with the world’s largest operations using it exclusively in favour of plastic tapes. As the need for sustainable solutions continues to grow in importance, WAT is only predicted to rise in demand.
As well as improving efficiencies, the majority of Southgate’s machinery launches have been designed to offer a more sustainable solution. Environmental concerns have increased the requirement for lighter packaging materials. To facilitate this, equipment suppliers are ensuring by leading the continued development of machines to help improve line speeds whilst adapting to the increased use of thinner packaging materials.
Southgate is committed to developing alternative products to significantly reduce packaging waste and plastic content. The company continues to expand its sustainable range whilst reducing plastic content and finding more sustainable alternatives whilst maintaining quality. Its focus on sustainability feeds into Southgate’s wider ambition to develop and promote the idea of a circular economy – inspiring businesses to embrace the global solution to eliminating waste.
Southgate has achieved a Silver EcoVadis rating, showcasing its focus on driving sustainability within its business and the wider industry. The rating recognises Southgate’s continued focus on cultivating innovative, eco-friendly packaging alternatives.
The pioneering packaging supplier is prioritising product innovation alongside investing in its people and brand to continue to drive business growth.
This year, the company also featured for the first time in The Sunday Times HSBC International Track 200. The listing ranks Britain’s mid-market private companies with the fastest growing international sales, measured over the last two years.
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