The global packaging resins market size is projected to grow from USD 202.46 billion in 2021 to USD 326.56 billion in 2028. The surging development of bioplastics and the increasing concerns regarding sustainability are set to affect growth positively. In June 2021, for instance, Avantium opened the world’s first commercial FDCA plant in the Netherlands to manufacture bioplastics. FDCA is a key ingredient in making bioplastic. As per the published report by Fortune Business Insights™, titled, “Packaging Resins Market, 2021-2028,” the market stood at USD 189.03 billion in 2020. It is set to exhibit a CAGR of 7.1% during the forecast period in 2021-2028.
SABIC Introduces TRUCIRCLE™ Initiative and Services at K 2019
In October 2019, SABIC, a multinational chemical manufacturing company headquartered in Saudi Arabia, unveiled its wide range of advanced packaging technology solutions and materials at K 2019. It would help manufacturers to develop sustainable packaging options for reducing waste and surging performance. It also showcased TRUCIRCLE™ initiative and services under the ‘Making a World of Difference Together’ theme. As per one of the company officials, “Our aim is to provide sustainable products as it is a major concern among customers today. We are committed to following recycling and manufacturing processes.” Such initiatives by reputed companies would propel the demand for this type of resins.
High Demand for Packaged Food and Consumes Good to Aid Growth amid COVID-19 Pandemic
The COVID-19 pandemic has resulted in the high demand for consumer goods as people are unable to leave their homes because of nationwide lockdown measures. Hence, e-purchasing activities have surged rapidly. At the same time, the rising need for packaged food products to prevent shortage amid the pandemic would aid growth. Our research report would help you select the best strategy to surge sales of packaging resins.
To get to know more about the short-term and long-term impact of COVID-19 on this market, please visit: https://www.fortunebusinessinsights.com/packaging-resins-market-105633
The research report contains an in-depth study of various regions. It was curated by our team of highly skilled analysts after studying and observing numerous factors that determine regional growth, such as political, technological, social, economic, and environmental status of that particular region. The competitive landscape section was developed to help our clients better understand the collaborations and strategies that key manufacturers of packaging resins are focusing on to compete with their rivals globally.
Drivers & Restraints-
Rising Demand for Ready-to-Eat Meals to Augment Growth
The high demand for these resins from the food and beverage industry is expected to propel growth. At the same time, the rising disposable income and population worldwide would also boost the demand for ready-to-cook, ready-to-eat, and processed products. According to Statista, China earned USD 126,580 million in terms of revenue in 2021 under the ready-to-eat meals segment. Additionally, the usage of good packaging would help in lowering food wastage. The rising in-store merchandise, surging shelf-ready packaging, and increasing number of store visits are expected to bolster the packaging resins market growth in the near future. However, government bodies have implemented stringent rules to ensure the safety of the environment and people. Couple with this, the disposal of plastic can lead to pollution, which, in turn, may hinder growth.
Polypropylene Segment to Hold Largest Share Backed by Rising Usage by End-users
Based on type, the market is divided into HDPE, LDPE, PET, polypropylene, polystyrene, PVC, and others. Out of these, the polypropylene segment is anticipated to generate the largest packaging resins market share in the upcoming years. This growth is attributable to its rising usage in various end-use sectors and robust production.
Asia Pacific Stood at USD 91.26 Billion in 2020: Fortune Business Insights™
- Asia Pacific is likely to remain dominant throughout the forthcoming years on account of the presence of renowned manufacturers of packaging resins, especially PVC, polystyrene, and propylene. It stood at USD 91.26 billion in 2020.
- In North America, the high demand for plastic packaging is estimated to surge in the near future because of the rising consumer preferences and demographics. At the same time, ongoing advancements in production methods, coupled with the availability of state-of-the-art packaging solutions would spur regional growth.
- Europe would showcase considerable growth on account of the presence of favorable taxation norms and novel waste recycling laws.
- In Latin America, Brazil is expected to contribute to this growth fueled by the increasing disposable income of people and high population.
Key Companies Aim to Broaden Production Capacities to Intensify Competition
The global market houses various leading vendors of packaging resins that are majorly striving to capture the maximum share. To do so, they are participating in multiple organic and inorganic strategies. A few others are launching new products and expanding production capacities to gain a competitive edge in the market. Below is one of the significant industry developments:
- April 2015: Reliance Industries Limited (RIL) opened a new manufacturing plant to produce polyethylene terephthalate (PET) resin in Gujarat, India. It has a capacity of 650 kilo tonnes per annum and was developed with Buhler AG Technology for Solid State Polymerization and Invista Technology for Continuous Polymerization.
A list of prominent manufacturers of packaging resins present in the global market:
- China Petroleum & Chemical Corporation ( Beijing, China)
- Exxon Mobil Corporation (Texas, US)
- BASF SE ( Ludwigshafen, Germany)
- LyondellBasell Industries Holdings B.V. (Rotterdam, Netherlands)
- SABIC (Riyadh, Saudi Arabia)
- PetroChina Companies Ltd. (Beijing, China)
- Dow Chemical Company (Michigan, U.S.)
- Indorama Ventures Public Company Limited (Bangkok, Thailand)
- Reliance Industries (Mumbai, India)
- Other Key Players