Asian tigers in the US$45 billion World Flexible Packaging Market

23-Jan-07

A major new study by UK based market intelligence firm, PCI Films Consulting, forecasts that world flexible packaging growth will increase in value terms by an average of 4.6% per annum to reach approaching US$56 billion by 2010 when Asia Pacific will emerge ahead of North America and Europe as the world's largest regional flexible packaging market. The most dynamic major markets will continue to be China and India where flexible packaging sales are forecast to grow at more than three times the global average. The highly mature West European market is forecast to grow by no more than 1% per annum on average as packers increasingly target growth opportunities in Eastern Europe with local production and the leading flexible packaging converters reposition more of their capacity in the region to supply them. Commenting on the report, study author Paul Gaster said "Global demand will be underpinned by continuing rapid economic growth in many Asian markets, especially India and China. Other positive factors include the trend from rigid to flexible packaging in pursuit of lower costs, environmental demands for less packaging together with rapid population growth and expanding food processing industries in many emerging economies. Moreover, the huge volumes of food products in the developing world, which continue to be sold without any packaging represents an incalculable opportunity for flexible packaging over the long term." The 480 page study notes that the world consumer flexible packaging market has grown by an average of 3.7% in value terms over the last five years to reach approaching US$45 billion in 2005, including both converted and unconverted materials. With the exception of Western Europe all world regions experienced solid growth ranging from around 4% per annum in North America to 7% in Asia Pacific and Eastern Europe. By far the most dynamic of the major markets have been China and India, each growing historically in value terms by around 15% per annum. "The World Flexible Packaging Market 2006" is the 2nd report on the global market published by PCI Films Consulting. The new report updates historical data and provides market analysis and statistics for 2000, 2005 and forecasts to 2010. The report is based on original research conducted by PCI consultants across the world in 2006.