About the Report
The growing demand forsafe packaging formatsamongvarious end-use industries has been driving theGHS labels market.Innovations inthe flexible packaging industry have opened doors for various manufacturers in the market.
Apart from this the demand for packaging hazardous substances with proper labelling which depicts important instructionsto ensure safe handling andtransportation is enabling a wider adoption of GHS labels by the manufacturers. Advancements in the technology, coupled withchanging packaging goals and wide applicability of GHS labels, are expected to drive the market.
In its new study, ESOMAR-certified market research and consulting firm Future Market Insights (FMI) offers insights about key factors driving the demand for GHS labels. The report tracks the global sales of GHS labels in 20+ high-growth markets, along with analyzing the impact COVID-19 has had on the packaging industry in general, and GHS labels in particular.
How the Historical and Future Outlook for GHS Label Market Match Up?
The GHS labels market was valued at US$ 1.46Bn in 2020 and is expected to reach at US$ 2.3Bn by the end of 2030. Rise in export of chemicals, fertilizers, and pharmaceuticalsacross the world, especially from the emerging economies is influencing the expansionofGHS labelsmarket. GHS labels are primarily used for labelling chemical containers that are to be handled with care whiletransportation and storage.
Manufacturers of several end-use industries such as chemicals, fertilizers, agriculture and pharmaceuticalsare expected to showcase increasing demand for GHS labels.The market players have good opportunities as the expenditure on safe packaging and delivery s is rising rapidly.
Furthermore, industrial need for indicating cautiousinstruction regarding the substance being packaged are resulting in soaring demand for GHS labels. End users are following guidelines of American Chemical Society and are classifying hazards chemicals and categorizing them according to their relative risks.
How will Demand for Chemical Industries AffectSales of GHS Labels?
Among various industries exhibiting the demand forGHS labels, the chemical industry has emerged as a leading end user. According to FMI, sales of GHS labelsincreased 1.2 times during 2015 and 2019. The reason behind is the continuous demand of GHS labels from the chemical industry is the need to inform customers regarding hazardous chemicals and to ensure safety.
With the expansion of chemical industry, the demand for GHS labels is rising across the world. The global chemical manufacturinggrew by 1.17% in 2020, much slower than in 2019. Infirm final demand and productiondisruptions in consumer-based industries will have a significant negative effect on growth amid COVID-19 outbreak, especially in China. However, emerging markets of Asia are expected to have lucrative growth opportunities in 2021 as compared to the previous year.
However, due to the increase in challenging situation during COVID-19 pandemic phase, gains in global GHS labels market has shrink significantly. Therefore, the y-o-y growth rate in 2020 year end has been reduced by nearly 6.4% in comparison with 2019.
Market Research Methodology - Perfected through Years of Diligence
A key factor for our unrivaled market research accuracy is our expert- and data-driven research methodologies. We combine an eclectic mix of experience, analytics, machine learning, and data science to develop research methodologies that result in a multi-dimensional, yet realistic analysis of a market.
Why are GHS Labels Made from White Thermal Transfer More Preferred?
GHS labels made of white thermal transfer or direct thermal paper are gaining more traction in the market. This paperchanges its color as soon as it comes in contact of heat and does not require the usage of traditional ink.
Moreover, direct thermal paper is manufactured by the application of special heat-sensitive chemical materials to a paper base and is ideal for thermal transfer printing technology.Therefore, GHS labels are considered classic solutionto have long lasting printing.
Revenue generated in the market is expected to increase due to the expanded use of direct thermal paper material which are also cost efficient and are estimated to expand at a CAGR of 6.8% in next decade.
What is the Effect of Customization Demand onGHS Labels?
Surging demand for customization by several end users is increasing the sales ofGHS labels. CustomizedGHS labels fulfil the end-use industry needs, and allows printing the approved instructions on them.
From a manufacturing viewpoint, the preference ofcustomized GHS labels helps in achieving economies of scale and therefore, is anticipated to create an incremental opportunity of US$ 586.5 Mn by the year 2030. Furthermore, this also enables various end-use companies to meet their required criteria for printing instructions and labelling of a products consisting of different properties.
What are the Recent Trends in the GHS Labels Market Which are Impacting Global Sales?
Internet of Things is gaining popularity among end users, as consumers, manufacturers, and even governments realize the advantage of connecting inert devices to the internet. It is anticipated to be driven by the rising acceptance of cloud platforms and high-speed networking technologies. Labelling plays an important part in this market. Technologically integrated GHS labels are considered to be one such solution. The RFID technology is incorporated into physical objects to offer exclusive identification and an exact real-time representation of an object to the information system.
In the European Union and the Unites States, regulations governing the distribution of chemical products are undergoing changes. Regulators such as European Chemicals Agency have begun the use of advanced technologies to standardize the distribution of chemicals, which will help to determine the identity and authenticity of a particular product. The new proposed method to track and trace the products is using 2D Barcodes.
The system is based on randomized serial number stamped on every individual pack of chemicals and checking its entry in the system at one or more times in the supply chain. Furthermore, spoil detection-based GHS labels are an important labelling solution among chemical manufacturing companies, which face difficulties of overstocking and expiry. This ensure the product’s tracking and monitor activities associated with it.
Why is Demand for GHS Labels High in China?
The chemicalindustry in China spends for about US$ 14 Bnon chemical research and development, which is the highest among all the countries in the world. The growing chemical industry in China has been fuelling the demand for GHS labels. Therefore, the FMI predicts that the East Asian market is estimated to expand at a CAGR of 5.4% by the next decade and therefore, China will have a considerable growth opportunityof GHS labels with a market share of more than 40% by 2030.
Why Germany is projected to have a Substantial Market?
Germany has emerged as a potential market of GHS labels. It isexpected to outshine other regional markets within Europe because of high production capacities. As per the FMI analysis, the Germany market is expected to be valued at US$ 51.9 Mn and hold a market share of 15% in the GHS labels market by 2030.
Germany exhibits the presence of several industries, which has presented an attractive environment for the expansion of GHS labels. Also the presence of an expanding chemical sector is expected to fuel demand in Germany. The European Union produced approximately 270 tons of chemicals in 2019 according to the European Commission. Germany accounts for a significant share of this, which has been contributing towards the increasing sales of GHS labels.
Why are Key Players Investing Million Dollars in the US Market?
The U.S. has been exhibiting increasing investment in research and development (R&D) in the chemical sector. The U.S. chemicals industry spent approximately $10.1 billion on R&D in 2019. Specialty and basic chemical companies generally allocate 2% to 4% of their annual sales toward R&D.
The U.S. alsoranked to be the world’s second largest consumer of chemicals, contributing about US$ 470 Bn in 2019. The global landscape of chemical industry is changing rapidly, therefore, creating growth opportunities for companies operating within the GHS label market.
How is the Export of Chemicals from Japan Impacting Sales of GHS Labels?
The increasingdemand for chemicalsaround the world has been impacting the sales of GHS labels. Globalization of trade has led to integration of supply chains, where global supply chains are getting more stretched than ever before. Advent of free trade has pushed the chemical manufacturers to sell their products in various markets across the globe. This trend is influencing the manufacturers to adopt GHS labels to present detailed information related to traceability, product origin, safe handling & storage, etc.
GHS labels with multi instructions help manufacturers to trace their product for documentation and efficient distribution. GHS labels are very useful in chemical industry. Japan is one of the major exporters of chemicals in Latin America region. As per World Trade Organization (WTO), chemicals exported from Japan accounted for approximately 18 percent of world exports in 2019. With chemical trade expected to rise, Japan will present a conducive environment for the expansion of the market.
What are the Upcoming Opportunities forManufacturers in India?
In recent years, there have been an increase in usage of GHS labels for labelling of chemicals and other hazardous substances for unified classification especially in the India market. Tracking, managing and managing chemical inventory is a major challenge for several manufacturers, distributors and logistics suppliers. The usage of GHS labels which provided features like tracking and tracing will help in maintaining the chemical inventory for all the participants of value chain.
The benefit of GHS label is not only limited to the tracking and tracing of the chemical inventory but also it aids in reduction of the workplace injuries and incidents.
Which GHS Labels Type is Highly Sought-after?
In today’s era, customization in various products is leading ahead and therefore, by product type, personalized or customized GHS labels have a lucrative opportunity for growth.The category is expected to have a substantial market share of 64% by the next decade.
Which is the Preferred Packaging Formatfor GHS Labels?
Primary containers are considered conventional methods of packaging, which directly contain the product. This packaging format is estimated to hold amarket share of 62.5% in the global market and expected to increase further by +120 BPS of current market share during the forecast period.As per FMI, the growth is expected due to minimized cost and overall protection of chemicals.
Which End Use is anticipated to have More Prominence of GHS Labels in the Market?
By end use, manufacturers of various industries such as chemicals, fertilizers, etc. are anticipated to hold the highest percentage of the market share in the GHS labels market as compared to logistics & transport companies. The reason behind the same is the need of cautioning and labelling hazardous chemicals and substances for safety purpose.
Which is the Preferred Size for GHS Labels?
A surge in the demand of flexible packaging added with industry standards is expected to rule in the packaging industry. The 210mm x 297mm sized GHS labels are anticipated to have a market share of 45% and will have a BPS fluctuation of +140 over the forecast period.End use industries are inclining more towards 210mm x 297mm size of GHS labels because they offer adequate amount of information over them.
Which is the Preferred Material and Printing Technology for GHS Labels?
GHS labelsmade from direct thermal paper and vinyl are opted more in the market and are anticipated to create an incremental dollar opportunity of US$ 631.4Mn by 2030.
In the GHS labels market, direct thermal paper by materialis expected to gain more traction and hold a market share of more than 64% by the forecast period. With excellent finish and printability this material is considered asGHS labels are considered ideal, added with cost efficiency. The vinyl and polyester material segment is expected to have major market share as compared to others and is likely to create an incremental opportunity of US$ 418.5Mn by 2030. Also, direct thermal paper is expected to have most likely BPS change of +260 BPS by 2030.
By printing technology, thermal transferis expected to showcase a BPS fluctuation of + 240 in the coming years. Many GHS labels manufacturers are focusing towards optimization by performing many R&D.
Some of the leading manufacturers of GHS labels are focusing on R&D initiatives and product innovations to make their products stand out from others. Manufacturers are specializing in short lead times, fast turn-around, and production of GHS labels in small quantities. Big players such as Avery Dennison Corporation, UPM Raflatac, PPG Industries, Inc., Brady Worldwide, Inc., 3M Company, CCL Industries Corpare currently boasting competitive edge in the GHS labels market.
“In 2020, Avery Dennison completed acquisition of Smartrac's RFID transponder business.”
“Herma GmbH introduced BPA-free thermal labels in June 2019.”
Some of the leading companies operating in the market are:
- Avery Dennison Corporation
- UPM Raflatac
- PPG Industries, Inc.
- Brady Worldwide, Inc.
- 3M Company
- CCL Industries Corp.
- Reliance Label Solution, Inc.
- HERMA GmbH
- Weber Packaging Solutions, Inc.
- SATO AMERICA, LLC
- Brandywine Drumlabels, LLC
- TCI America, Inc.
- Loftware, Inc.
- Nippon Shokubai America Industries, Inc.
- Teklynx Newco SAS.
*The list is not exhaustive, and only for representational purposes. Full competitive intelligence with SWOT analysis available in the report.
Scope of the Report
Historical Data Available for
USD Million for Value and ‘000 Sq. meters for Volume
Key Regions Covered
North America, Latin America, Europe, East Asia, South Asia, Middle East and Africa (MEA), Oceania.
Key Countries Covered
US, Canada, Germany, U.K., France, Italy, Spain, BENELUX, Poland, Russia, China, Japan, India, ASEAN, Brazil, Mexico, Australia, New Zealand, GCC Countries, Turkey, Northern Africa, South Africa.
Key Segments Covered
Product type, Material, Size, Packaging format, Printing Technology, End Use and Region.
Key Companies Profiled
Market Forecast, brand share analysis, competition intelligence, DROT analysis, Market Dynamics and Challenges, Strategic Growth Initiatives
Customization & Pricing
Key Questions Answered in the Report
Which is the most lucrative market for GHS labels?
East Asia currently leads the global market for GHS labels market. Production and sales in China and Japan together will account for over 70% of total demand throughout the forecast period.
Which is the top-selling GHS labelsby product type?
Personalized or customizedGHS labels are highly preferred by various end users. Thus, the demand for the same is expected to remain high in the near future.
Which are some of the leading companies offering GHS labels?
Some of the leading companies offeringGHS labels areAvery Dennison Corporation, UPM Raflatac, PPG Industries, Inc., Brady Worldwide, Inc., 3M Company, CCL Industries Corp., Reliance Label Solution, Inc., HERMA GmbH, Weber Packaging Solutions, Inc., SATO AMERICA, LLC, Brandywine Drumlabels, LLC, TCI America, Inc., Loftware, Inc., Nippon Shokubai America Industries, Inc. and Teklynx Newco SAS among others.
Who is the leading end user ofGHS labels?
The growing number of manufacturers inchemicals, fertilizers, pharmaceuticals industry across the world is fueling the demand GHS labels.
Enquiry before Buying
- Is this research conducted by Future Market Insights?
Yes, the research has been conducted by expert analysts of Future Market Insights through a combination of primary research and secondary research. To know more about how the research was conducted, you can speak to research analyst.
- What research methodology is followed by FMI?
FMI follows a methodology that encompasses demand side assessment of the market, and triangulates the same through supply side analysis. This methodology is based on use of standard market structure, methods and definitions. Request detailed methodology.
- Who are the respondents for primary research?
FMI speaks to stakeholders across the spectrum, including C-level executives, distributors, product manufacturers, industry experts. For a full list of primary respondents, please reach out to us.
- What are the sources of secondary research?
FMI conducts extensive secondary research through proprietary databases, paid databases, and information available in the public domain. We refer to industry associations, company press releases, annual reports, investor presentations, and research papers. More information about desk research is available upon request.
- Is a sample of this report available for evaluation?
Yes, you can request a sample and it will be sent to you through an email.
- How can I buy this report?
FMI provides a secure online payment system to buy report seamlessly. You can buy the report securely and safely.
GHS Labels Market by Category
- Personalized (On-demand)
- 215mm x 279mm
- 215mm x 355mm
- 210mm x 297mm
- 148mm x 210mm
- Any Other Label Size
- Polypropylene (PP)
- Polyethylene (PE)
- Polyester (PET)
- White Thermal Transfer/Direct Thermal Paper
- Primary Containers
- Secondary Containers
- Thermal Transfer
- Pigmented Ink Jet
- Color Laser
- Logistic & Transport Companies
- North America
- Latin America
- Middle East & Africa
- East Asia
- South Asia