Flexible packaging refers to packaging containers made of easily flexible or yielding materials that readily alter shape when filled with goods. It is one of the most rapidly growing segments of the packaging industry, and combines the best qualities of aluminum foil, paper, film and plastic to deliver a wide range of protective properties while using a minimum quantity of material. They are broadly used for institutional and consumer products and in industrial applications, to market, protect, and distribute a vast array of products. Different innovations and changing trends in the packaging industry have led to the growing demand for flexible packaging. Materials such as plastics, paper, aluminum foil and cellulose are majorly used in flexible packaging. Factors such as increasing demand for food products, technological innovation in the packaging industry, rising disposable income of the individual, and changing consumer lifestyle are primarily driving the market. Moreover, flexible packaging is increasingly being preferred over rigid packaging due to several advantages such as less raw material requirement, low storage space, and lower shipping cost. However, fluctuation in crude oil prices which leads to change in prices of its downstream chemicals is expected to slow down the growth of the market. Focus towards R&D activities on flexible packaging technologies is expected to provide new opportunities for the growth of the market.
Plastics were the highest consumed materials in flexible packaging in 2012, owing to their significant properties over other products. They have the ability to be modified by co-polymerization and use of additives to match the precise packaging demands of the product to be packed. However, cellulose is expected to witness the fastest growth over the forecast period owing to its high durability, protection from external environmental factors such as sunlight and high aesthetic value. These factors are expected to contribute significantly to the growing demand for cellulose.
Food & beverages was the largest application segment for flexible packaging in 2012. Changing lifestyles and eating habits of consumers has led to a growing demand for packaged fast foods over the past few years and the trend is expected to continue over the next few years. However, the demand for flexible packaging is expected to be highest from pharmaceuticals over the next few years. The pharmaceutical market is expected to grow significantly over the next few years as a result of various factors including governmental initiatives, rising consumer awareness regarding general health, increase in disposable income, rising number of chronic diseases and growing ageing population among others. Presence of stringent regulations regarding packaging of pharmaceuticals to prevent presence of fraudulent drugs in the market and maintenance of the chemical properties of the drugs is expected to boost the demand for flexible packaging over the next few years.
Demand for flexible packaging was the highest from Asia Pacific in 2012 and is expected to witness the highest growth over the next six years. Several factors such as rising demand of packaged food, changing lifestyles and eating habits, growing demand for retail non-food and pharmaceutical products are expected to drive the demand for flexible packaging in this region. Demand for flexible packaging is expected to be steady in developed markets of North America and Europe in the next few years with respect to applications such as confectionery, cheese and dairy, dried fruits, and medical pharmaceuticals.
Companies such as Amcor Ltd., Bemis Company Inc., Huhtamaki Oyj, Mondi, Sealed Air Corporation and Sonoco Products are key players present in the flexible packaging market. In addition, the flexible packaging market is highly fragmented due to presence of several medium and small scale flexible packaging manufacturers on a global as well as regional level.
Flexible packaging includes bags, pouches, films and envelopes which take the shape of the product. Flexible packaging is made of a variety of materials such as paper, plastics, aluminum foil and cellulose. It is widely used in packaging of foods, beverages, pharmaceuticals, cosmetics and personal care products among others.
The flexible packaging report gives a detailed analysis and forecast of the market on a global as well as regional level. On a global level, the market has been analyzed on the current trends and forecast for a time period ranging from 2013 to 2019. The market has been studied on the basis of volume (kilo tons) and revenue (USD million). For an in-depth understanding of the market on a regional level, the demand has been analyzed and forecast based on volume (kilo tons) and revenue (USD million) for the same time. The study takes into account drivers and restraints of the market and their impact on the growth of the market. In addition, the report includes opportunities available for the growth of the market within the forecast period, on a global as well as regional level.
The market estimates for this study have been based on volumes with revenues being derived through regional pricing trends. The price for each of the materials mentioned in the report has been considered, and customized product pricing has not been included. Additionally, the market has been analyzed based on expected demand and the market data for each segment is based on demand volumes and corresponding revenues. The prices considered for calculation of revenue are average regional prices obtained through primary quotes from numerous regional suppliers, distributors and direct selling regional producers. The forcasts made have been based on expected demand from application segments. Addtionally, inflation has not been accouted for in our market estimates. We have used the bottom up approach to arrive at the global market considering individual market segments and integrating them to arrive at the global market. The products and applications have been further bifurcated using top down approach to derive the regional product market consumption. In addition to this, market data used in this study, is based on current information. Presence of large number of domestic manufacturers in China and India may cause variations in forecast by a small margin.
For an insightful understanding of the market, we have given a detailed analysis of the value chain. Moreover, we have included Porter’s five force model which gives a clear and in-depth understanding of the degree of competition. The study also covers a market attractiveness analysis, where the end-use has been benchmarked based on the market size, growth rate and general attractiveness.
The market has been segmented based on products and end-use and each of these segments have been analyzed and forecast based on volume (kilo tons) and revenue (USD million), for a time period ranging from 2013 to 2019. In addition, the segments have been analyzed and forecast based on current trends on a global as well as regional level, for the given time period. Geographically, the market has been segmented into North America, Europe, Asia Pacific and Rest of the World (RoW), and the demand has been analyzed and forecast based on current trends for a period of six years, ranging from 2013 to 2019.
Profiles of certain leading companies have been covered in this report along with a detailed analysis of their market share. The study has profiled companies such as Amcor Ltd., Bemis Company Inc., Huhtamaki Oyj, Mondi, Sealed Air Corporation and Sonoco Products among others. The company profiles include attributes such as company overview, financial overview, SWOT analysis, business strategies and recent developments. The market has been segmented as below:
Flexible Packaging Market: Product Analysis
Flexible Packaging Market: Application Analysis
- Food & beverages
- Retail non-food
- Others (Includes packaging of industrial machines, vending machines, etc.)
Flexible Packaging Market: Regional Analysis
- North America
- Asia Pacific
- Rest of the World