The global lamination adhesives for flexible packaging Market is projected to reach US$ 4.1 Billion by the end of 2030, in terms of revenue, growing at CAGR of 7.3% during the forecast period (2023-2030).
Surging demand for packaged food across the globe
Growing spending on packaged food across developed as well as developing regions is expected to propel the market growth of Lamination adhesive for flexible packaging. According to the U.S. Department of Agriculture Economic Research Service, in 2021, the consumers, businesses, and government entities based in the U.S. spent US$ 2.120 trillion on food and beverages in grocery stores and other retailers and on away-from-home meals and snacks. Thus, growing spending by the consumers on packaged food is projected to augment the global lamination adhesives for flexible packaging market growth.
Developing markets, such as Brazil, Russia, India, China, and South Africa (BRICS), are projected to experience a surge in Gross Domestic Product (GDP) growth over the forecast period. This is projected to boost the manufacturing industry, which is expected to propel the market growth of Lamination adhesive for flexible packaging.
Fluctuating raw material prices leading to higher cost of adhesives
The high cost of adhesives due to the fluctuating prices of raw materials used in the manufacturing of lamination adhesives is expected to hinder the lamination adhesives for flexible packaging market growth. This is due to the rise in prices of oil which has affected the production process. Rising concerns over energy consumption as the production of adhesives is an energy-intensive process, and is expected to hamper the market growth. Moreover, the process is time-consuming, which is also expected to restrict the market growth of the global lamination adhesive for flexible packaging market.
Figure 1. Global Lamination Adhesives for Flexible Packaging Market Value Share (%), By Region, 2022
Asia Pacific region dominated the global lamination adhesives for flexible packaging market in 2022, accounting for a 37% share in terms of value, followed by North America and Europe, respectively. The urban population in Asia Pacific is growing along with growing e-commerce pharmaceutical, and consumer durables this is leading to increase in end users of adhesives resulting in driving the market in Asia pacific.
Impact of COVID-19
The raw material consumption and supply was not severely impacted across the globe owing to the rise in the demand for packaging solutions during the pandemic. Major players functioning in the market are adopting new strategies in order to mitigate the impact of the COVID-19 pandemic. Producers are opting to expand their production lines of polypropylene, one of the key raw material for packaging products. This scenario is expected to fuel the production of raw materials used for packaging solutions in various countries worldwide.
|Base Year:||2022||Market Size in 2023:||US$ 2.5 Bn|
|Historical Data for:||2018 to 2022||Forecast Period:||2023 to 2030|
|Forecast Period 2023 to 2030 CAGR:||5.7 %||2030 Value Projection:||US$ 4.1 Bn|
H.B. Fuller, Henkel AG & Co. KgaA, The Dow Chemical Company, 3M, Flint Group, Arkema Group, Ashland Inc., COIM Group, Morchem, DIC Corporation, and Chemline India Ltd
|Restraints & Challenges:||
The growing demand for lamination adhesives from the automotive industry is projected to augment the market growth over the forecast period. Lamination adhesives provide strong bonding than conventional technology, which makes it ideal for automotive applications such as fenders, body panels, heat shields, Grille Opening Reinforcement (GOR), headlamp reflectors, and picks up boxes. Thus, the emerging applications of lamination adhesives across the automotive industry are expected to propel the market growth.
Figure 2. Global Lamination Adhesives for Flexible Packaging Market Value Share (%), By Product Type, 2022
On the basis of product type, solvent based dominated the global lamination adhesives for flexible packaging market in 2021 with around 42% of market share in terms of revenue, followed by solvent less and heat/cold seal, respectively.
Global Lamination Adhesives For Flexible Packaging Market: Key Developments
Global Lamination Adhesives For Flexible Packaging Market: Key Companies
The major players operating in the global lamination adhesives for flexible packaging market include H.B. Fuller, Henkel AG & Co. KgaA, The Dow Chemical Company, 3M, Flint Group, Arkema Group, Ashland Inc., COIM Group, Morchem, DIC Corporation, and Chemline India Ltd.
*Definition: Sodium Propionate is the sodium salt form of propionic acid, a Short Chain Fatty Acid (SCFA) and food additive, with Potential Gastrointestinal (GI) protective activity. Upon the oral administration of sodium propionate, it converts to propionic acid which may protect the GI tract and reduce the incidence and severity of GI toxicity from radiation therapy.