Last year, Baking & Snack’s annual capital spending survey anticipated a rebound in spending in 2011, and that’s exactly what’s expected as the year begins. Following a successful IBIE show last fall, bakers and snack producers indicate that they’re stepping up their investments this year, but they also want a shorter return on investment, according to a preliminary review of the data.
Specifically, 58% of bakers and snack producers responding to the survey indicated that they will increase their 2011 capital spending budget compared with 2010’s real spending. At this time, the outlook for 2012 is conservatively optimistic, although a good percentage of respondents isn’t sure what their spending plans will be going forward.
Overall, bakers and snack manufacturers are looking for a quick return on their investments. Nearly 45% of those surveyed suggested that their companies look for a ROI cycle of one year or less.
Check out our February 2011 issue for more exclusive information from Baking & Snack’s recently conducted survey of the industry.