Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Liquid packaging cartons are mainly used to package the beverages and dairy products to ensure proper preservation, convenience, and others provide protection from damage. They are mostly made up of paperboard and aluminum and plastic products. These containers enable safe and easy transportation of liquid food products such as soft drinks and juices. Also, they prevent contamination and other damages to the liquid food product. These are highly in demand among manufacturer due to its various benefits such as maneuverability, recyclability, convenience, and eco-friendly nature. They are available in various shapes and size as per the application and also offer easy manufacturing as per the demand.
The global liquid packaging cartons market is projected to surpass US$ 16.0 billion by the end of 2027, in terms of revenue, growing at CAGR of 5.9% during the forecast period (2020 to 2027).
Growing consumer preferences for convenience food across developing regions is expected to drive the market growth of liquid packaging cartons. Packaged food is rapidly gaining demand among the consumer due to growing preferences for disposable income coupled with the hectic lifestyle. Moreover, rapid urbanization and industrialization around the globe are further expected to accelerate the market growth of the liquid packaging cartons.
Growth in the packaging industry due to increasing investment and rising demand for eco-friendly and convenience packaging solutions is expected to augment the market growth of the liquid packaging cartons. Rising demand for easy recyclable liquid packaging solutions coupled with the strict government policies regarding the emissions of the harmful gases and greenhouse gases is further expected to accelerate the market growth of liquid packaging cartons over the forecast period.
Regionally, Europe dominated the global liquid packaging cartons market in 2019, reporting 36% market share in terms of revenue, followed by North America and Asia-pacific, respectively.
Figure 1. Global Liquid Packaging Cartons Market, Revenue Share (%), By Region, 2019
High preferences for a plastic container for packaging of the liquid food product as it offers easy transportation and cost-effective benefits is expected to hamper the demand for liquid packaging cartons. High-density polyethylene and polyethylene terephthalate are highly preferred plastic material. Moreover, plastic is also lightweight, corrosion resistance, and offers excellent thermal insulation properties which are further expected to augment the market growth over the forecast period.
The high price of raw materials used to manufacture packaging cartons for food is expected to restrict the demand for this product. This is expected to curb the market growth of liquid packaging cartons.
Increasing focus of manufactures on visual presentation and attractive packaging for increasing sales and brand value is expected to serve potential growth opportunities to the market of liquid packaging cartons. The visual presentation not only helps in purchasing decision of the consumer but also attract more customers. Thus, visual presentation and attractive packaging is an easy marketing tool and enable product differentiation.
Strict governmental regulations regarding the usage of polyethylene and high-density polyethylene for packaging of the liquid product is expected to provide immense growth opportunities to the market. Polyethylene and high-density polyethylene have numerous environmental impacts and also affect the health of humans. Such environmental issues encouraging manufacturers to switch to other environmental packaging solutions such as packaging cartons which in turn is expected to propel the market growth.
Figure 2. Global Liquid Packaging Cartons Market – Opportunity Analysis
Growing demand for large-size liquid packaging cartons is expected to propel the market growth of the liquid packaging cartons. Moreover, the growing trend of shaped cartons for advertising and promotional tool in order to create brand awareness is expected to bolster the market growth. Various companies are shifting their focus towards increasing the production of shaped cartons in order to stand apart from their competitors. This is expected to foster the market growth of the liquid packaging cartons.
Increasing demand for ready to carry food due to growing number of working population is expected to accelerate the market growth of the liquid packaging cartons. Moreover, the advent of twist cap for liquid packaging cartons is another major trend observed in the liquid packaging market for providing easy handling and closure options for the consumers. Hence, this trend is expected to augment the market growth of the liquid packaging cartons over the forecast period.
Figure 3. Global Liquid Packaging Cartons Market, Revenue Share (%), By Application, in 2019
On the basis of application, juice & drinks dominated the global liquid packaging cartons market in 2019 with around 44% of market share in terms of revenue, followed by dairy products and wine & spirits, respectively.
Global Liquid Packaging Cartons Market - Impact of Coronavirus (Covid-19) Pandemic
The demand for packaging solutions from food & beverages industry has grown rapidly owing to rising consumer preferences for packaged food products. The global liquid packaging cartons market is expected to grow at a CAGR of around 9.5% for a short period till end of the 2021. Manufacturers will still face a major challenge to shift their production facilities out of China owing to the rapid reduction in production rate of materials during region lockdown.
Key players are operating in the global liquid packaging cartons market are Elopak Inc., Evergreen Packaging Inc., IPI S.R.L., Refresco Gerber N.V., SIG Combibloc GmbH, Tetra Pak Inc., Weyerhaeuser Company, Nippon Paper Industries Co., Ltd, TidePak Aseptic Packaging Material Co., Ltd, and Adam Pack S.A.
Few Recent Developments
Nippon Paper Industries Co., Ltd.
- In June 2017, Nippon Paper Industries Co., Ltd. enter into a licensing agreement with Elopak AS with Nippon Paper Industries for the development and selling of the Pure-Pak Diamond and Pure-Pak Diamond Curve chilled liquid packaging cartons.