Growth in global corrugated packaging market

Published on Tuesday, Aug 18 2015 The packaging market is booming and it’s no surprise. Everywhere you look, every product you buy has some sort of packaging related to it, whether it is already on the product or it was transferred in packaging to reach you. One of the largest areas of growth within the packaging industry right now is happening with corrugated packaging, with an estimated 115 million tonnes being converted by 2019. The current forecast shows that the global corrugated packaging market will see growth at a compound annual growth rate (CAGR) of 4% between 2014 and 2020 giving the market a total value of around £113 Billion. This is great news for the packaging industry and has been spurred on by a number of factors, one of those being the growth in many other industries, including all of the following which use corrugated packaging: · Medicine · Rubber · Petroleum · Paper products · Fresh food · Beverages · Household products · Chemicals · Electrical goods · Glass · Tobacco · Processed food Food will be the main contributor enabling the growth within the corrugated packaging industry, with around 30% of the projected volume being used for packaging processed food and another 10% being used for fresh food. The electrical goods market is seeing the fastest growth and will represent an estimated 7% of the corrugated packaging volume by 2019, closely followed by the paper products and household items markets. A change in buyer behaviour has also played its part in this growth. More and more consumers are buying their products online with companies investing in e-commerce websites and the use of smartphones constantly on the rise. This results in an increase in packaging requirements as the products are shipped out individually to each person’s home instead of being shipping in bulk to stores. Another contributing factor is the rising population which has increased the demand for packaging. Corrugated packaging offers a low cost and highly effective solution so most industries will turn to corrugated packaging to meet their demands. Corrugated packaging is also consistently lowering its carbon footprint year on year which contributes to its current popularity. Add all of these factors to a growing global economy and you have the perfect catalyst for a boom in the corrugated packaging market. At Wessex Packaging, we stock a wide range of corrugated cardboard packaging. To find out more, visit our packaging page or get in touch with us today.