Plastics packaging continues to cut into paper
In selected packaging markets where paper and plastic compete, plastic will increase its overall volume share as it makes further inroads into paper applications, said The Freedonia Group’s latest study, "Paper versus Plastic in Packaging." While plastic’s share will expand more slowly than in the 2004-2009 period due to the maturity of a number of applications in terms of share controlled by plastics, the benefits and advantages of plastics can’t be overlooked.
December 15, 2010
latest study, "Paper versus Plastic in Packaging." While plastic’s share will expand more slowly than in the 2004-2009 period due to the maturity of a number of applications in terms of share controlled by plastics, the benefits and advantages of plastics can’t be overlooked.
“Material enhancements providing extended shelf life and increased durability, along with reduced material requirements and the addition of convenience features such as resealability and microwaveability, will fuel continued opportunities for plastic packaging,” says the study.
Other advantages such as light weight, moisture resistance, good barrier properties, clarity, and puncture resistance will enable plastic to outpace paper packaging through 2014 in nearly all competitive markets. Demand for plastic in competitive packaging markets the study covers such as meat, poultry, eggs; candy and confections; pet food; frozen food; dry food and other nondairy beverages is projected to increase 2.3% annually through 2014, an acceleration from the 2004-2009 period as manufacturing output improves from a depressed base in 2009.
Plastic has continued to expand its share in a number of markets despite the volatility of resin prices in recent years, and more moderate resin pricing through 2014 should make plastic even more competitive. While paper’s share of the market will decline slightly, paper will experience rising demand in foodservice disposable packaging applications such as paperboard boxes and cartons, paperboard buckets and pails, wraps and bags. Additionally, bans on foam containers in some areas of the U.S. along with growing efforts on the part of some foodservice establishments to convey a green image will moderate advances for plastic containers somewhat, while boosting opportunities for paperboard cartons, according to analyst Ester Palevsky.
Rising interest in environmentally friendly packaging alternatives and restrictions on the use of polystyrene foam disposables in some communities will stimulate demand for paperboard containers. Additionally, growing interest in environmentally friendly packaging and legislative bans on polystyrene foam carryout containers will moderate gains somewhat. —PTStaff
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