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ECONOMY<br />
CEMA reports <strong>20</strong>08 shipments flat<br />
AT THE ANNUAL MEETING, CONVEYOR EQUIPMENT MANUFACTURERS WERE HOPEFUL FOR A<br />
MARKET REBOUND IN <strong>20</strong>10.<br />
BY BOB TREBILCOCK, EXECUTIVE EDITOR<br />
THE CONVEYOR EQUIPMENT<br />
MANUFACTURERS ASSOCIATION<br />
(CEMA, www.cemanet.org) recently<br />
reported that <strong>20</strong>08 shipments in<br />
North America were fl at for the<br />
conveyor industry while new orders<br />
declined an estimated 15% last<br />
year.<br />
These results were delivered by<br />
Dan Fannin, CEMA president, at<br />
the association’s 76th annual meeting<br />
in Marco Island, Fla., in March.<br />
According to CEMA, conveyor<br />
shipments totaled $7.82 billion last<br />
How is the economy affecting<br />
spending on conveyor parts<br />
and accessories?<br />
8%<br />
will be spending more on<br />
conveyors in <strong>20</strong>09.<br />
Source: Reed Business Information survey<br />
12%<br />
will be spending the<br />
same on conveyors<br />
as in <strong>20</strong>08.<br />
year, an increase of $1 million over<br />
<strong>20</strong>07 shipments. That modest growth<br />
followed two strong years, with shipment<br />
increases of 4.98% in <strong>20</strong>07 and<br />
5.9% in <strong>20</strong>06.<br />
Orders for new conveyors, however,<br />
decreased by $1.22 billion in<br />
<strong>20</strong>08 to $6.89, a 15% year-over-year<br />
decline from <strong>20</strong>07.<br />
CEMA members who attended<br />
the annual meeting expressed reservations<br />
for <strong>20</strong>09 but were hopeful<br />
for a market rebound in <strong>20</strong>10. Those<br />
same cautious sentiments were<br />
evident in a survey of 437 readers of<br />
<strong>Modern</strong> <strong>Materials</strong> <strong>Handling</strong> about<br />
17%<br />
will be spending less<br />
on conveyors in<br />
<strong>20</strong>09.<br />
their conveyor purchasing plans<br />
for the next 18 months. The survey<br />
was conducted in February by the<br />
research division of Reed Business<br />
Information, <strong>Modern</strong>’s parent<br />
company, and the results were also<br />
presented at the CEMA meeting.<br />
Asked how the economy is impacting<br />
their spending on conveyor<br />
parts and accessories:<br />
• 30% are taking a wait-and-see<br />
approach with no present plans to<br />
invest.<br />
• 27% reported their overall materials<br />
handling budget has been cut<br />
for <strong>20</strong>09.<br />
27%<br />
reported that their<br />
overall materials<br />
handling budget has<br />
been cut for <strong>20</strong>09.<br />
Di@blog<br />
best of <strong>Modern</strong>’s blogs<br />
Company Briefi ngs | Bob Trebilcock<br />
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supply chain end global warming?<br />
www.mmh.com/blog/globalwarming<br />
Takeaways | Tom Andel<br />
Forklifts: train-out the pain<br />
www.mmh.com/blog/forklift-training<br />
30%<br />
are taking a wait-andsee<br />
approach with no<br />
present plans to invest.<br />
8 APRIL <strong>20</strong>09 / MODERN MATERIALS HANDLING mmh.com
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