Flexible Plastic Packaging Coating Market Trends

Growth Drivers

• Increasing Demand for Plastic Coating Packaging in Automotive Industry - Plastic coating is also referred to as polymer coating which gives an excellent finish to automobiles by enhancing their look and quality. In modern times, a huge demand for automobiles is observed resulting in higher manufacturing and distribution of these vehicles. Hence, such a higher requirement is estimated to propel the demand for flexible plastic packaging coating owing to its advantages during the forecast period. The sales of automobiles across the globe were estimated to drop to around 65 million units in 2021.

• Growing Development and Manufacturing of Medicines – The medicines require packaging that is highly resistant to chemicals and provides corrosion protection. Thus, the ability of flexible plastic packaging coating to protect the medicines from external environmental factors is anticipated to increase its demand during the analysis period. It was estimated that in 2021, the total spending on medicines was estimated to be around USD 1.5 trillion.

• Increasing Consumption of Toffee and Candy – Flexible plastic packaging coatings are used for protecting, and decorating toffees and candies. Thus, the increased preference for such sweets by the younger generation is anticipated to create a positive outlook for market expansion. As of 2021, the sales of hard sugar candy were estimated to be about USD 500 million.

• Rising Disposable Income Across the Globe - In 2020, the disposable income per capita in OECD countries was anticipated to be about 50,000 U.S. dollars.

• Worldwide Growth in E-commerce Industry – With the busy lifestyle, people are opting for convenience products that are found in flexible packs. Thus, eye-catching packaging is preferred by sellers in the e-commerce industry to attract consumers through glossy and luxurious finishing which is offered by flexible plastic packaging coatings. For instance, by the end of 2022, global E-commerce retail sales were anticipated to surpass approximately USD 4.5 trillion. It is expected to rise by more than 50% within the next four years.

Challenges

• Presence of Alternatives in the Market – Numerous alternatives in the market exist as good and competitive alternatives to flexible plastic packaging coating. Alternative packaging solutions such as stainless steel, natural fiber cloth, cardboard, paper, and glass are also highly efficient, eco-friendly, and less harmful to the environment, hence the presence of alternatives is anticipated to hinder the market growth.
• Rising Concerns Regarding Harmful VOC Emission During Production Process
• Requirement for Higher Initial Investment