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August 13, 2019 10:09 AM

Recyclability key market “touchpoint” in PP packaging industry

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    Mondi plc

    Global sales of polypropylene (PP) packaging films reached 11.3 million tonnes in 2018, and are set to grow at a CAGR of 6%  through to 2029, according to a recent research by Future Market Insights.

    With the market being primarily influenced by sustainability concerns, flexible packaging is seeing an unprecedented growth in demand, the report said 13 Aug.

    Consumer tendency to buy recyclable products, combined with exceptional strength and durability, will continue to provide a boost to sales of polypropylene packaging films over the next decade, the study noted.

    “As flexible packaging continues to steal the spotlight, it is highly likely that a multitude of opportunities will be created for the key market players in the near future,” the analysts wrote.

    According to the report, end users are likely to continue to “markedly prefer” films with thickness in the range of 18 to 50 microns, with global sales poised to reach 5.1 million tonnes this year.

    Demand for films with a thickness range of 51 to 80 micron is also estimated to increase through to 2029, as end users seek user-friendly formats that are less vulnerable to external damage.

    Sales of BOPP type of packaging films, which offer moisture resistance and barrier properties, have been and will continue to remain bullish, the study revealed.

    While clear films evidently stand out in terms of being the most ‘sought-after’ film types, the study found that end users are “developing a fad” for metallised films that would help them create visual cues for their brands.

    Players to double investments in East Asia 

    Food & beverages will continue to drive demand for PP packaging films, as they offer high chemical resistance, low odour, and exceptional inertness, the research suggested.

    According to the study, market players are picking up pace in East Asia, with investments set to double in the region.

    The growth of regional industrial ecosystems such as food & beverages and pharma, as well as the expanding middle-class population and urbanisation will contribute to the growth of PP packaging demand in that region.

    The study also found that key players in the market will continue to draw upon the global sustainability trend by including ‘green’ offerings in their existing portfolios.

    Mondi plc., for instance, has made an official announcement that its coex PP food packaging film grades have been certified as ‘recyclable’.

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