The growing demand for lightweight packaged products will spur demand for caps & closures during the forecast period
Launch of SyLon Sports Closure by Coca-Cola Amatil to boost market prospects. (Credit: Willfried Wende from Pixabay)
The global Caps and Closures Market size is predicted to reach USD 82.30 billion by 2026, exhibiting a CAGR of 5.52% during the forecast period. The growing demand for lightweight packaged products will spur demand for caps & closures during the forecast period. Moreover, the growing demand for packaged drinking water, carbonated drinks, and cold-pressed juices will create business opportunities for the Caps and Closures Market in the forthcoming years. The growing awareness regarding the physical properties of caps such as impact, stress, crack resistance along with odor restraining properties will impel companies to utilize caps and closures in the packaging, which in turn will boost the Caps and Closures Market revenue in the foreseeable future.
According to the report, published by Fortune Business Insights in a report, titled “Caps & Closures Market Size, Share & Industry Analysis, By Material (Plastic, Metal, and Others), and By Application (Food & Beverage, Pharmaceuticals, Consumer Goods, Cosmetics & Personal Care Products and Others) and Regional Forecast, 2019-2026″ the market size stood at USD 54.32 billion in 2018. The report offers informative insights into all the prevailing trends of the Caps and Closures Market analysis. It shares a comprehensive summary of all the segments and regions. It provides statistical data on all the recent developments in the market. It is created after extensive research followed by an all-encompassing analysis to benefit companies, stakeholders, financers, and potential investors. It is designed to provide a clear picture of the market size. Moreover, it also includes product launches, acquisitions, collaborations & partnerships, and innovations and industry developments.
Launch of SyLon Sports Closure by Coca-Cola Amatil to Foster Growth
Coca-Cola Amatil Limited, world-renowned bottlers of non-alcoholic ready-to-drink beverages, launched SyLon Sports closure, an innovative solution for Powerade bottles. These Australian-grown innovative bottles are designed, tested, and prototyped by the Amatil Services Division in Sydney. The introduction of SyLon Sports closure will contribute positively to the Caps and Closures Market trends due to the improved quality and recyclability of the closure through its component.
Furthermore, Coca-Cola Amatil’s Group Managing Director, Alison Watkins, said in a statement, we believe the SyLon Sports closure is an Aussie-manufacturing success story. Until now, we have imported closures from Europe and faced challenges with global supply.” She also added, “our Packaging Services Division team at Eastern Creek took initiative and designed, tested and prototyped a closure cap which is more cost-effective, better for the environment, and will be made in Western Sydney.
Stringent Government Regulations to Hamper Market Revenue
The growing environmental threats and concerns can be a crucial factor in hampering the growth of the Caps and Closures Market during the forecast period. The increasing government policies for disposal of landfills will consequently dampen the growth of the market. Moreover, the rising plastic waste from various industries such as food & beverages, cosmetics, and consumer goods will impel the government to take strict actions, which in turn will hamper the market growth.
For instance, as per Plastic Industry Association, America used about 50 billion plastic water bottles in 2016, and the recycling was only 23%, signaling the need to focus on industry efforts to reduce plastic waste.
Regional Analysis
Rising Demand for Beverages to Augment Growth in Asia Pacific
North America generated a revenue of USD 15.34 billion in 2018 and is likely to witness a high growth rate during the forecast period. The growth in the region is attributed to the surge in health-conscious consumers. The rising inclination towards juices and health drinks will also aid growth in the region. Asia Pacific is predicted to grow rapidly in the forthcoming years owing to the rising demand for beverages.
Moreover, the low production cost in China and India will create new opportunities for the market in the foreseeable future.
Source: Company Press Release