Flexible Packaging Market Will Continue To Grow Into 2019
By Isaac Fletcher, contributing writer, Food Online
Due to consumer preferences shifting away from rigid food packaging formats in favor of flexible formats, coupled with rising disposable income in emerging markets, the flexible packaging market is expected to continue demonstrating growth throughout the next several years.
With growing demand in many regions throughout the world, the global market for flexible packaging is expected to reach $99.1 billion by 2019. In recent years, flexible packaging has become a highly sought after format and is the fastest growing segment within the packaging industry, demonstrating a CAGR of 4.4 percent.
The Asia Pacific region has been identified by experts as the most lucrative regional market for flexible packaging. The rapid development of food and beverage industries in the region is playing an important role in spurring market demand, as rising disposable income and shifts in consumer preferences encourage food manufacturers to seek out flexible packaging options for their products. The market in the Asia Pacific region is expected to match the global CAGR of 4.4 percent between 2013 and 2019. The rest of the world shows potential growth prospects as well thanks to emerging markets, such as Brazil. Other key market segments include Europe and North America.
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Among other industries, the food and beverage industries are expected to significantly contribute to growth in the flexible packaging market throughout the foreseeable future. Conveniences such as transportability, durability, and re-sealability are primary factors attracting consumers to flexible packaging formats.
Key materials used in flexible packaging include PVC, paper, aluminum, polyamide, polypropylene, and polyethylene. The properties of these materials allow flexible packaging to be both lightweight and durable. Manufacturers have been eager to adopt flexible formats due not only to consumer demand, but its cost-effectiveness as well. As a highly-durable and relatively cheap material, plastics have been the material of choice for many flexible packaging applications.
Data shows that in 2012, plastics accounted for roughly 70 percent of the global flexible packaging market. However, growing environmental concerns and various governmental initiatives are helping to increase demand for biodegradable packaging such as cellulose. Cellulose packaging offers high durability, as well as effective protection against external factors, such as sunlight. These benefits will greatly aid in the development of biodegradable flexible packaging in the next several years.