Global functional additive sales for plastic packaging are forecast to grow during 2020-25 at an annual average rate of 5.3% to approximately $2.3 billion from $1.7bn in 2019. Global barrier coating sales for plastic packaging meanwhile are forecast to grow at an annual average rate of 4.9% to $2.4bn to $1.8bn in the same timeframe.
With the rapidly increasing demand for packaging materials that give even greater protection, a variety of barrier technologies have been commercialised that preserve, protect and optimise product shelf life, reduce the need for preservatives, provide transparency and gloss, and serve as a printing substrate.
Smithers’ analysis for The Future of Functional Additives & Barrier Coatings for Plastics Packaging to 2025 identifies the following key trends and drivers for the industry over the next five years:
Economic influences: The outlook for functional additives and barrier coatings demand for plastic packaging will be influenced by global economic growth.
Demographic & lifestyle influences: Recent changes across consumer lifestyles are influencing consumer decisions, from growing urbanisation, growing middle class, a greater increase in health and wellness, on-the-go consumption and more.
Convenience: Time-pressured consumers want convenience products and packagings such as microwavable ready meals and pre-cut vegetables.
Sustainable packaging: Brand owners are responding to consumers’ environmental concerns in several ways; these include package lightweighting by reducing material usage without impairing pack performance, using recycled plastic and adopting bioplastic packaging.
Modern retailing: A shift towards a more centralised grocery retailing has led to higher levels of packaging, particularly for fresh foods and baked products.
Food waste and safety: A growing use of active packaging technologies such as ethylene and oxygen scavenging, antimicrobial, antioxidant and antifungal additives.
Regulatory developments: The EU has introduced regulations in relation to food contact, recycling of packaging waste and greater use of recycled plastics in product packaging. Smithers’ report examines and quantifies current and future sales of functional plastic packaging additives and barrier coatings and explains key market drivers and emerging technology trends. It gives market sizes and forecasts for functional packaging additive and barrier coating products, end-use sectors and selected national markets from 2020-25.