The European Aluminium Foil Association (EAFA) said that demand for aluminium packaging production in Europe rose 1.3% to 214,400 tonnes in the first quarter of 2011.
The EAFA said demand for thicker gauge alufoil, used for semi rigid foil trays and technical applications rose by 6%, while demand for thinner gauges used for manufacturing of flexible packaging and household foil declined by 0.7%.
EAFA director Stefan Glimm said that expectations are positive for the rest of 2011 with a number of events providing the aluminium foil sector with the opportunity to show off its packaging and industrial prowess.
EAFA said overall production of packaging based aluminium rose by 13.6% in 2010. The body said nearly 405,100 tonnes of aluminium foil, tubes, flexible packaging and aerosol and beverage cans were produced by German manufacturers in 2010, compared to 356,000 tonnes in 2009.
Glimm said EAFA estimated there was a 5% increase in food packaging and around 10% each for the pharmaceutical and cosmetic packing sectors.
The aluminium packaging sector is benefiting from strong consumer sentiment with climbing demand seen both in the domestic and foreign markets, said GDA aluminium foil chairman Manfred Mertens.
Mertens added that export sales accounted for about 70% of the turnover of the companies in the sector.