Introduction and Need of the Product:
Globally, the plastic punnets are prominently used packaging solutions for the packaging of the fresh produce, food, and vegetable products. This type of packaging format has gained significant attention in the last few years due to the substantial increase in the demand for lightweight packaging solutions across the globe to reduce overall waste generated due to high consumption of the materials in conventional packaging formats. The plastics punnets are also used for the packaging of some agricultural, food, and dairy products. It provides optimum transit protection and shelf life to the products stored in it. Due to increase in demand for the efficient and cost-friendly packaging solution in the food industry, plastic punnets have become the first choice for most of the food processors for packaging of their products. Also, plastics punnets are substantially replacing the paper-based packaging products in the food packaging market due to its cheaper cost and better characteristics.
Market Dynamics:
The demand for plastics punnets is expected to increase at a CAGR value of 4%-5% during the next five years. Some of the key players in the plastics punnets market are engaged in the research and development of this product to further reduce cost factor and increase profitability margin.
It has been analyzed that almost half of the packaged fresh-cut fruits available in the market are packaged in the plastics punnets. Moreover, the demand will further increase due to high growth in the packaged fresh-cut fruits market which is estimated to grow at approximately 15% annually. The plastics punnets market is highly fragmented with the strong presence of small manufacturers in the domestic market.
Market Taxonomy:
By Material Type
PET and Polypropylene are the most prominent materials used for the production of the plastics punnets globally.
Growing concerns over the use of PET material in most of the countries is expected to decline its growth in the next few years. However, few countries have recently established domestic PET recycling plants in order to cope with this problem. For eg. - In Aug. 2017, Flight Group Ltd. started a first PET recycling plant in New Zealand with an investment of US$ 12 million.
By Capacity
It has been analyzed that the 250 – 500 grams and 500 – 1000 grams segments dominate the plastics punnets market. Most of the fresh-cut fruits and vegetables are packaged in these two capacity segments. Also, most of the prominent companies such as INFIA Srl, offer a large variety of plastics punnets in these packaging capacities.
By Sales Channel
On the basis of sales channel, the plastics punnets market is segmented as B2B and B2C Sales. Plastics punnets are purchased in bulk by the B2B customers such as food and vegetable processors. Packaging companies also offer a wide range of branding and customization options to these customers. However, B2C sales include some standard shapes and sizes widely available in the market.
By End Use
The primary applications for the plastics punnets packaging are fresh produce, fruits, and vegetables. All of these account for more than 50%-60% of the overall plastic punnets market, by end use. Also, the growth in the fresh-cut fruits market has boosted the demand of plastic punnets packaging in the segment. Growing awareness towards more healthier and convenient lifestyle in the developed countries has boosted the demand for packaged food, fruits, and vegetables. Increase in demand for these products will further boost the demand for plastic punnets in these segments.
Some of the indicating factors which may further increase the demand for plastics punnets in near future are:
Regional Overview:
On the basis of region, the plastics punnets market is segmented into seven regions which include North America, Latin America, Eastern Europe, Western Europe, Asia-Pacific, Middle East & Africa, and Japan.
The North America and Europe are the second and third most prominent region in terms of consumption of the Plastics Punnets. The demand for plastics punnets has increased significantly in these regions due to changing consumer preferences towards more healthier and convenient lifestyle. Consumers are even ready to pay more for the healthy food in these countries. Almost half of the packaged fruits and vegetables supplied in these markets are packaged in the plastics punnets and the number is expected to increase in the near future as more options with recycled materials will be introduced in the market. In some of the countries in Europe, it is found that more than 80% of the consumers now prefer buying any grocery item in the recyclable packaging format. It also creates an opportunity for the new entrants in the market to gain significant market share by offering plastic punnets made up of recycled material.
Market Players:
Some of the key players in the plastics punnets market are LC Packaging International B.V., Carters Packaging Limited, T&B Containers Limited, Nicholas Packaging, YV Packaging, Sullivan Packaging, Velkan Engineering Pvt, Ltd., Raptis Pax Pty Ltd, Evesham Specialist Packaging Ltd., Holfeld Plastics Ltd., Tacca Industries, INFIA Srl, Peter Grice Packaging Ltd, Marinucci Australia Pty Ltd., Ampulla Ltd., GROUPE GUILLIN, NGP Plastic SA, Pactiv LLC, and Element Pack Pty Ltd.
Market Structure:
Tier 1 Companies: INFIA Srl, LC Packaging International B.V., Pactiv LLC, Groupe Guillin, Holdfeld Plastics Ltd.
Tier 2 Companies: T&B Containers Limited, Nicholas Packaging, Sullivan Packaging, Velkan Engineering Pvt, Ltd., Marinucci Australia Pty Ltd., NGP Plastic SA
Tier 3 Companies: YV Packaging, Raptis Pax Pty Ltd, Evesham Specialist Packaging Ltd., Tacca Industries, Grice Packaging Ltd, Ampulla Ltd., and Element Pack Pty Ltd.
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