According to World Packaging Machinery, a study by the Freedonia Group, Inc., world demand for packaging machinery is projected to rise 5% per year through 2008 to over $31 billion. This represents a substantial improvement over the 1993-2003 period, with Latin America and the Asia/Pacific regions expected to register the strongest gains. China will experience strong demand at a projected 8% increase per year. India's increasing demand will result from ongoing industrialization. Mexico and Argentina will benefit from economic recovery. Industries such as food, beverages, chemicals, pharmaceuticals and personal care products will experience gains from increasing levels of industrial output. The U.S. is the largest producer of packaging machinery, with 2003 shipments of $4.9 billion, followed by Japan, with shipments of $4.1 billion. Other leading producers include Germany, Italy, China, all with annual shipments in excess of $1 billion. The major net exporters of packaging equipment in 2003 were German and Italy, followed by Sweden and Japan.