Global Packaging Market 2017-2021
Packaging is closely linked to the 3PL market, as packaging is an important aspect of the logistics supply chain. Packaging is a technology that refers to the process of enclosing or wrapping of products for various purposes, such as storage, distribution, safety, and adding aesthetic value and protection from the external environment for sales.
Technavio’s analysts forecast the global packaging market to grow at a CAGR of 5.76% during the period 2017-2021.
Covered in this report
The report covers the present scenario and the growth prospects of the global packaging market for 2017-2021. To calculate the market size, the report considers the revenue generated from the sales of packaging.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Packaging Market 2017-2021
Technavio recognizes the following companies as the key players in the global packaging market: Amcor, Ball, Bemis Company, Berry Global, DS Smith, International Paper, Mondi, Owens-Illinois, Sealed Air, Smurfit Kappa, and Sonoco
Other Prominent Vendors in the market are: Allied Glass, AptarGroup, Ardagh Group, Can Pack Group, CCL, CKS Packaging, DuPont, Evergreen Packaging, Excel Packaging, Genpak, Gerresheimer, Stora Enso, and Westkey Graphics.
Commenting on the report, an analyst from Technavio’s team said: “The latest trend gaining momentum in the market is Focus on sustainable packaging solutions. Consumer product manufacturers prefer various types of eco-friendly packaging designs and materials for supporting sustainable business operations. For instance, paper can be recycled up to seven times, thereby giving corrugated packaging vendors an advantage over other types of packaging product vendors. Thus, packaging vendors are focusing on the production of the packaging solutions, such as corrugated boxes, which are 100% recyclable. For instance, in 2015, Mondi launched eco-friendly ProVantage Fluting Aqua and ProVantage Kraftliner Aqua paper grades using containerboard paper grades of high-quality. These materials or products are eco-friendly and water-resistant.”
According to the report, one of the major drivers for this market is Growth of the global e-commerce market. The global e-commerce market, which includes online retail shopping, has witnessed a substantial growth during the period 2014-2017, and it is further expected to witness a high growth rate during the forecast period. The growth in the online retail sales has boosted the demand for packaging products for the safe shipment of products. The ease of online shopping due to the increase in penetration of the Internet in the emerging countries, such as India, China, Brazil, Mexico, and South Africa, has encouraged many customers to switch from the traditional shopping method to online shopping.
Further, the report states that one of the major factors hindering the growth of this market is Volatility in raw material prices. Various types of raw materials used in the packaging industry are plastic, wood, glass, and corrugated paper. The cost of the raw material is one of the vital factors in determining the end-products cost. Thus, the fluctuation in raw material prices is a major challenge faced by vendors operating in the global packaging market. The widening of the gap in the demand-supply in the last few years has led to a considerable increase in the price of raw materials. For instance, in November 2015, the global wood pulp price reached $903 per metric ton - $908 per metric ton. The price of the wood pulp is expected to grow further by 5.0%-5.2% during 2016-2019. Thus, the increase in the wood pulp prices has increased the production cost of the paper-based-packaging manufacturers. Any such increase in the price of raw materials increases the manufacturing cost of the packaging as well as reduces the profit margin of the vendors.
Amcor, Ball, Bemis Company, Berry Global, DS Smith, International Paper, Mondi, Owens-Illinois, Sealed Air, Smurfit Kappa, Sonoco, Allied Glass, AptarGroup, Ardagh Group, Can Pack Group, CCL, CKS Packaging, DuPont, Evergreen Packaging, Excel Packaging, Genpak, Gerresheimer, Stora Enso, and Westkey Graphics.