Global flexible packaging consumption to top US$100bn by 2022

Global growth in flexible packaging consumption will reach US$107 billion by 2022, according to research by PCI Wood Mackenzie.

FPE chairman Gérard Blatrix – ‘The trend for more convenience and greater variety of formats is clearly being met by innovative flexible packaging styles.’

Its latest research has found that flexible packaging consumption in Europe grew by two percent last year, with both Western and Eastern Europe experiencing growth according to research by PCI Wood Mackenzie. Flexible packaging consumption in Europe equated to around €14 billion (US$17 billion) in 2017. Total annual production exceeded €15 billion (US$18.2 billion), of which 75 percent was accounted for from Western Europe and the remaining 25 percent from Eastern Europe. This region remains the most significant exporter with approximately 10 percent of its production consumed outside Europe.

Forecasts expect growth to continue, with sales achieving nearly €16 billion (US$19.5 billion) in Europe and global consumption reaching US$107 billion by 2022.

Healthy growth for most end user markets, such as coffee, pet food and fresh foods, has driven production higher, according to industry association Flexible Packaging Europe (FPE). Smaller households need more single serve options and there is continuing demand for more product varieties from consumers. This supports the general trend from rigid to flexible packaging, which offer greater convenience and fits better into today’s lifestyle needs. This trend is confirmed by further data measured in units from Euromonitor International. However, this research indicates a stagnation of consumption in confectionery, while growth continues in the categories of savory snacks, cheese, coffee, dry products and pet food.

FPE chairman Gérard Blatrix commented: ‘These figures reveal a strength in depth for European flexible packaging demand and a resilience in core markets. The trend for more convenience and greater variety of formats is clearly being met by innovative flexible packaging styles. FPE and its members are committed to ensuring flexible packaging continues to be at the forefront of modern packaging solutions with a strong environmental message. The main rationale for flexible packaging is to minimize raw material use, generally making it the most resource efficient packaging solution available.’

FPE members manufacture all types of flexible packaging. FPE comprises more than 70 small and medium sized companies as well as the major European producers of flexible packaging for all materials. These companies cover more than 80 percent of the European flexible packaging turnover. Also, six national flexible packaging associations are members of FPE. It is active in sustainability projects within the framework of the EU’s Circular Economy strategy. FPE is also a founding and leading member of the CEFLEX initiative, which is committed to all types of flexible packaging in a circular economy. This supports the development of improved sorting and recycling across Europe.

PCI Wood Mackenzie is a consultant to the petrochemicals industry. The company's films and flexibles consulting business unit, formerly PCI Films Consulting, was acquired by Wood Mackenzie in 2015. Today, as part of the company's Chemicals Research team, the films and flexibles business unit continues to supply market and business-related consulting services to anyone involved or interested in the production and use of speciality and oriented plastic films, special papers, aluminium foils and associated flexible packaging.