Liquid Packaging Market Trends, Outlook, and Opportunity Analysis, 2018–2026

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Liquid packaging is a packaging technology used to protect consumables such as semisolid foods, liquids and beverages from microbial contamination and damage during transport and storage. Liquid packaging helps maintain the freshness of the product, and plays a vital role in protecting the product from moisture. It also helps the product to improve the scuff, tear, and puncture resistance. Liquids and food products including dairy products, syrups, water, cooking oil, fruit juices, shampoos, grease, and motor oil are packaged in tough materials with good seal integrity, to avoid leakage, cracking, and degradation during transportation. Liquid packaging offers increased shell life, high recyclability, high eco-friendliness, and are transport-convenient.

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Aseptic liquid packaging technique is the most widely used packaging technique. This type of packing is usually made from thin layers of aluminum and plastic paperboards This packaging helps preserve food for prolonged period of time without the use of any added preservatives. Rigid liquid packaging type, which includes paperboard, cartons, cans, and PET bottles is extensively used in liquid packaging. Plastic & PET bottles are widely used in the packaging of food & liquid products such as carbonated drinks, water, beverages, dairy products, and alcohol. From a wide range of industrial application, the food & beverages is the largest end-use industry in liquid packaging market. This is due to the increasing population in the Asia-Pacific region, and increasing disposable incomes among the populace in emerging economies such as Brazil, Mexico, China, and India. Increasing inclination towards convenient foods and beverages among the busy population in the North American and European regions, has led to an increased demand for liquid packaging, in turn driving market growth.

Asia-Pacific is the largest and fastest-growing region in the global liquid packaging market. EUSME Center is a European Union initiative that provides a comprehensive range of hands-on support services to small and medium-sized enterprises (SMEs) based in Europe, which is preparing them to carry out business in China. According to EUSME, China was the world’s largest consumer market for food and beverage (F&B) products, surpassing the U.S. in 2011, and it continues to sustain its leading position. In 2015, the number of food & beverage exports from Europe to China, increased by 48% and exports of dairy products from Europe increased by 11%, in 2014. Growth of imported food & beverage products is driven by limited arable land, increasing disposable income, water scarcity issues, improving logistics systems, increasing urbanization, and growing food safety concerns. This, in turn fuels growth of the liquid packaging market in Asia Pacific. In 2015, India’s food processing industry accounted for 32% of the country’s total food market, and is one of the largest industries in India and is ranked fifth in terms of production, consumption, export and expected growth. It contributes around 14% of manufacturing Gross Domestic Product (GDP), 13% of India’s exports and 6% of total industrial investment. Indian food service industry is expected to reach US$ 78 billion by 2018. India's organic food market is expected to increase three times by 2020, as compared to 2015. Hence, there is a large demand for liquid packaging materials in Asia Pacific region, making it the largest and fastest-growing market for liquid packaging.

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Some of the major companies operating in the global liquid packaging materials market are The Dow Chemical Company, Smurfit Kappa, International Paper, Tetra Pak International S.A., Nippon Paper Industries Co., Ltd, Liqui-Box Corporation, Tri-Wall Limited, Evergreen Packaging, Elopak Group, BillerudKorsnas AB and Mondi Plc.

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