Asia Polypropylene Packaging Market size is forecast to reach $210 billion by 2025 after growing at a CAGR of 5% during 2020-2025. Rising demand by the packaging industry for polypropylene is expected to increase market demand over the forecast period. Superior barrier properties, high tensile strength, excellent surface finish and low cost make polypropylene an ideal commodity for a wide variety of packaging applications. The exceptional optical clarity of the polypropylene films and low moisture/ vapor transmission make it suitable for use in food packaging.
- China dominates the Asia Polypropylene Packaging market owing to the rising demand for Packaging material, widely used in emerging industries, such as e-commerce, express delivery and food delivery, underpinned by booming internet business.
- China and India exhibit the highest Asia Polypropylene Packaging consumption in Asia region. Polypropylene is one of the most versatile polymers and is used in almost every modern industry.
By Type– Segment Analysis
Polypropylene Homopolymer segment held the largest share in the Asia Polypropylene Packaging market in 2019. Polypropylene Homopolymer are stiffer and stronger than copolymer. It can run in the temperature range 30º to 180º F. It has good weldibility, high thermoforming efficiency, and good chemical resistance and is compliant in natural color with USDA, FDA, NSF, and 3-A Dairy. PPH is available in natural, white, and black colours; and in rod, panel, line, and film form. Also, due to its chemical resistance and elasticity, it can be used in a variety of applications. The homopolymers can be used in different processing technologies, such as injection molding, blow molding, film, fiber, sheet extrusion and thermoforming.
By Plastic Type – Segment Analysis
Rigid Plastic segment held the largest share in the Asia Polypropylene Packaging market in 2019. The market for rigid plastic packaging is driven by increasing demand from the food and beverage industry, which is one of the leading end-users of rigid plastic packaging. Consumer eating habits are evolving globally as consumers are gradually opting for processed goods, which in turn is further driving demand growth for rigid plastic packaging. However, it has been observed that the non-biodegradable properties of rigid plastic packaging have a significant effect on the environment, which may pose as a limitation to the growth of the demand for rigid plastic packaging over the projected period. Rigid plastic packaging in different markets will continue to benefit from the push to replace materials such as glass and metal with lightweight, cost-effective, and high-performance plastic materials.
By Film Type – Segment Analysis
Cast Polypropylene Film segment held the largest share in the Asia Polypropylene Packaging market in 2019. Cast Polypropylene (CPP) film is a plastic film based on polypropylene which is produced using casting process. This product is widely used as sealing layer in food packaging in the flexible packaging industry, particularly for solid food products. CPP films are usually cheaper as the fixed investment is much lower than a BOPP line as the latter is bi-axially oriented as compared to mono orientation of CPP films. These films are typically multi-material structures. Such multi-layer film solutions are of tremendous advantage in optimizing packaging performance, functionality and cost because they combine in a synergistic way the properties of the various components.
By End Use – Segment Analysis
Food and Beverages segment held the largest share in the Asia Polypropylene Packaging market in 2019 growing at a CAGR of 11%. Food and beverage packaging is an integral part of a successful new product launch and serves as the interface between you and the consumer. There are food and beverage trends that influence decisions on how to package products that will be appealing to consumers. The packaging industry is always seeking innovative packaging solutions to preserve the condition of products as they’re transported from facility to consumer. Packaging ensures product safety to eliminate or reduce food recalls and hazards, as well as help with traceability. Proper packaging will improve the freshness of a product and maintain its look, taste, shelf life and quality. Regardless of the formula for your food or drink product, if it doesn’t taste good, you probably have lost a potentially loyal customer. The time from when the product is made to the time it is consumed with the packaged products will vary from days to years.
Country – Segment Analysis
China dominated the Asia Polypropylene Packaging market consisting share of 38% followed by India, Japan, South Korea and Others. In China packaged consumer goods are shaped by changing market conditions as well as changes in consumer demand and behavior. New innovations and subcultural elements are commonly used on labels within drinks, making the items more appealing to young groups.
Small pack sizes saw strong growth in 2018 and this trend is linked to the wider availability of a more comprehensive range of beauty and personal care products in smaller pack sizes as companies and brands seek to attract first-time consumers looking to make purchases for tests. This is especially noticeable in color cosmetics, where lip items have been introduced in mini sizes to increase the frequency of sales and to enable consumers to buy a broader range of colors and styles. Currently the Asia Polypropylene Packaging industry has been affected due to COVID-19 pandemic where most of the industrial activity has been temporarily shut down. In in turn has affected the demand and supply chain as well which has been restricting the growth in year 2020.
Drivers –Asia Polypropylene Packaging market
- Ecofriendly packaging will drive the market.
Ecofriendly Packaging are quickly gaining popularity, which is creating a domino effect on the sales of natural, sustainable, and green products that can potentially reduce the burden on the ecosystem. That translates directly into increased consumer demand for sustainable and environmentally friendly packaging. This drives the market for biodegradable polymers, while helping vendors achieve their sustainability efforts and allowing their products to be branded green.
Challenges – Asia Polypropylene Packaging market
- Environmental concern can restrict the market growth.
The most obvious source of plastic packaging related pollution is discarded plastic that is sent to landfills. Plastics are very durable and therefore remain in the atmosphere for a long time after being discarded, especially if they are shielded from direct sunlight by being buried in landfills. Plastics also place a considerable chemical burden on the environment. The Oakland Recycling Association commissioned a toxic chemical burden study, which relied heavily on information from EPA data, especially the Toxics Release Inventory.
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Asia Polypropylene Packaging market. In 2019 the Asia Polypropylene Packaging market has been consolidated by the top five players accounting for xx% of the share. Major players in the Asia Polypropylene Packaging market rare Toray Plastics Inc., Berry Plastics, Asia Plastic & Packaging, Bemis Company Inc., Daibochi Plastic, and Others.
Acquisitions/Technology Launches/ Product Launches
- In December 2019, Eka Global Thai plastic packaging company, aims to become Asia’s largest producer of longevity plastic packaging in five years following the acquisition of the Asian operation of a US packaging manufacturer. By 2024, Eka Global expects to achieve revenue of 5 billion baht from three plants — two in China, and one in Thailand with a capacity of 2.5 billion packaging units per year.