Strong consumption in packaging & non-packaging applications fuels global plastic films market

The global market for plastic films is projected to reach 68.4 mln tons translating to US$117.6 bln by 2020, driven by growing demand from packaging as well as non-packaging applications, as per StrategyR.com. The largest sub-sector of the plastic processing industry, plastic films find widespread applications in packaging of both food and non-food products. In addition, these films are also used in construction, agriculture, healthcare and other non-packaging sectors. Competitive advantages over paper and foil will continue to spur demand for plastic films in the coming years. The growth in the market also continues to be driven by growing demand from developing markets and technology advancements in product improvements. Growing population, demand for complex packaging from the pharmaceutical sector, and increased consumption of packaged foods are driving the need for shelf stable packaging. Shifting preference towards flexible packaging of foodstuffs is also stimulating demand for plastic films. Given the growing government focus on curbing greenhouse gas emissions, and issues associated with disposal and recycling of plastic packaging, producers are increasingly using bio-degradable materials and reducing weight of films by reducing thickness. Restrictions on the use of non-biodegradable plastic bags will further create new opportunities for growth of bioplastic films in countries such as China. Expanding middle class population in key Asian countries, especially in China and India, continues to spur demand for packaging films. Companies are focusing resources towards the development of films with innovative molecular architecture designed to meet customer specifications such as high humidity and temperature resistance, print receptivity, high speed wrapping, heat sealability, high clarity, and low permeability. Trends such as High Pressure Processing (HPP) in food packaging sector are driving demand for specialized high performance films. In the pharmaceutical sector, packaging is shifting towards strip/blister packs away from bottle packs, as a result of the growing dominance of cheaper generics, which creates a need for low-cost packing solutions. Given its recyclable characteristics and compatibility with several food and non-food products, BOPP films are growing in popularity in emerging as well as developed economies. Asia-Pacific represents the largest market worldwide. The region is also forecast to emerge as the fastest growing market with a projected CAGR of 6.1% over the analysis period. Growth in the region is mainly supported by growing population, rising standards of living, changing food consumption patterns and increased preference for packaged foods. Polyethylene films represent the most widely used material, guided by beneficial attributes such as superior sealing, and resistance to extreme cold, and moisture.