US pouch demand to top $10bn

According to Pouches, a new study from industry research firm Freedonia Group, the food and beverage markets comprise the vast majority of pouch demand, accounting for nearly 80 percent of the total in 2015. Their use for pet food, in applications for meat, poultry, and seafood, and proliferation in beverages are to record the fastest growth. Non-food applications will see growth also, with increased pouch use in medical, consumer and industrial markets boosting gains. 

Other findings from the report include:

• Stand-up pouch formats will continue to grow in popularity, since the greatest growth opportunities for pouches lie in previously popular rigid packaging applications.  The greatest penetration has occurred in markets that were early adopters of stand-up pouch packaging, such as beverages and pet foods.  However, the fastest gains will be observed in the cheese and produce markets, which have only recently begun to transition from bags or flat pouches to this more shelf-ready package option. 
• Demand for flat pouches is forecast to increase 3.7 percent annually to 7.3 billion USD in 2020. Side-seal pouches will bolster flat pouches, benefiting from the continued adoption of unit-of-use packaging in detergents, pharmaceuticals, medical supplies, and some food products.
• Pillow pouches still lead pouch packaging overall with nearly 40 percent of total sales through 2020, and have an entrenched position in markets such as candy and snacks.

Further, pouches with value added features will continue to stimulate growth overall, with spouted products and resealable systems posting fast gains. The increased use of pouches employing these attributes can be linked to lifestyle trends that see traditional meals replaced by snacks, according to the report. Spouted pouches have seen rapid adoption in baby food and healthy snack markets, especially products marketed to children.  Resealable closures for pouches also make products more convenient for those with fast-paced lifestyles with a secure fastener allowing the pouch to be stored in a bag or vehicle for easy snacking. Resealable pouches can also extend the shelf life of foods, making the products more desirable to small households.