Collation Shrink Films Market to Reach US$ 6.4 Bn by 2030 as Demand Thinner Packaging Across Verticals Gains Momentum
The thriving e-commerce industry is expected to be the key driver for collation shrink films. Demand for high performance packaging solution and reduce transportation cost is expected to make collation shrink film an important packaging material for personal care products, food and beverages, cosmetics, and pharmaceuticals.
Collation Shrink Films Market
A recent market report published by FMI on the collation shrink films market provides glob...
Future Market Insights predicts that e-commerce businesses will opt for collation shrink films as they are easy way to ensure that the product is not tampered with. Furthermore, products sensitive to moisture can stay safe in this type of packaging, thus making it a perfect choice for deliveries.
In the coming years, shifting focus on usage of recyclable materials and production of five-layer collation films is expected to create multiple growth opportunities for collations shrink films market during 2020-2030.
“Most of the key players are continuously focusing on the development of extra thin collation shrink films, which will offer maximum impact protection to the stored products during transportation. Companies are coming up with the new technologies that will manufacture nearly 10-micron thin collation shrink films, which are stiff and provide a firm grip to the package,” says an FMI analyst.
Key Takeaways of Collation Shrink Films Market Study
- As per thickness, 25-50 micron collation shrink films are expected to holds 1/3rd of the market share during the forecast period
- Linear low-density polyethylene (LLDPE) material segment is expected to gain by 50 bps of current market share, by the end of 2030
- Collation shrink films are mostly preferred for bottles and cans packaging applications, pushing these segments to gain a cumulative worth of US$ 774 Mn by 2025
- Food and beverage manufacturers to remain key end users of collation shrink films and estimated to expand 1.8x of current market value during 2020-2030
- North America is estimated to remain at leading position with more than 25% market share in 2020. However, East Asia is expected to outbid other regions during the forecast period.
- South Asia market is anticipated to expand by 2.1x of current market share till 2030, attributing to double digit investment by the key players for manufacturing collation shrink films
- Germany market is anticipated to be highly lucrative as it is poised to represent an incremental opportunity of US$ 24 Mn by the end of 2025 in the Europe region
- Mexico collation shrink films market is anticipated to expand at a potential CAGR of 7.1% during 2020-2030, owing to increasing number of key players
Removing Downgauging Bottlenecks to Drive Collation Shrink Films Market
Manufacturers in collation shrink films are focussing on optimizing the quality by enhancing its multi-layer packaging film concept with five or more layers. These multi-layer collation shrink films are relatively stiff and enable extra thin gauges resulting in low wastage and overall cost.
Five-layer collation shrink films offer the advantage of holding force and stiffness over three-layer films, which are often a bottleneck to downgauging in secondary packaging application.
Recently Saudi Arabia-based Sabic Company introduced a multi-layer film solution for beverage collation. The SABIC multi-layer collation shrink films concept is expected to reduce downgauging and production at approximately 10,000 kg/hr. Its Teesside, UK-based plant, is manufacturing such collation shrink films to cater to the demand of efficiency on all fronts.
Impact of COVID-19 on Collation Shrink Films market
COVID-19 pandemic has created multiple challenges for the packaging industry and reiterated its need to design sustainable solutions to reduce the pressure on landfills. Multiple restrictions of supply chain and logistical hurdles due to lockdown have slowed down the packaging industry, creating a negative impact on the collation shrink films market.
Future Market Insights predicts that collation shrink market will begin recovery in Q4 2020, starting with South and East Asia as they will still have a stronghold over manufacturing activities. China and India started production of collation shrink films with limited resources. Also various key players are planning to invest in developing manufacturing units in these regions, therefore it is expected that by the end of 2021, the demand and supply equilibrium of collation shrink films will be achieved.
Collation Shrink Films Market Report
Future Market Insights, in its new report, offers an unbiased analysis of the global collation shrink films market, analysing historical demand from 2015-2019 and forecast statistics for 2020-2030. The collation shrink films market is segmented into material (low density polypropylene (LDPE), linear low density polypropylene (LLDPE), medium density polypropylene (LDPE), high density polypropylene (LDPE), polypropylene, and others), thickness (less than 25 micron, 25-50 micron, 51-100 micron, and above 100 micron), application (bottles, cans, books and magazines, cartons, and others), end use (food and beverage, cosmetics, personal care & home care, pharmaceuticals, transportation and logistics, printing and publication, and others), across seven regions.
About the Packaging Division at Future Market Insights
The packaging division at Future Market Insights provides an in-depth historical analysis and projections for the next ten years and covers the competition landscape through a unique dashboard view. Ranging from packaging materials, packaging machinery to packaging designs & formats, Future Market Insights has an exhaustive database for these industry verticals, serving clients with unique research offerings and strategic recommendations. With a repository of 1,000+ reports, the team has analysed the packaging industry comprehensively in 50+ countries. The team evaluates every node of the value chain and provides end-to-end research and consulting services; reach out to explore how we can help.
About Packaging Division at Future Market Insights
The Packaging division at FMI provides an in-depth historical analysis and granular projections of the global packaging market. Ranging from packaging materials to designs & formats, FMI has an exhaustive market research database, serving clients with unique offerings and strategic recommendations. With a repository of 750+ reports, the team analyzed the packaging industry comprehensively in 70+ countries. The team evaluates every node of the value chain and provides end-to-end research and consulting services; reach out to explore how we can help
About Future Market Insights (FMI)
Future Market Insights (FMI) is a leading provider of market intelligence and consulting services, serving clients in over 150 countries. FMI is headquartered in Dubai, and has delivery centers in the UK, U.S. and India. FMI's latest market research reports and industry analysis help businesses navigate challenges and make critical decisions with confidence and clarity amidst breakneck competition. Our customized and syndicated market research reports deliver actionable insights that drive sustainable growth. A team of expert-led analysts at FMI continuously tracks emerging trends and events in a broad range of industries to ensure that our clients prepare for the evolving needs of their consumers.
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