U.K. Packaging Market Data Review (2016 - 2027)

The U.K. Packaging Market has generated a revenue of $19,329.0million in 2016. The packaging industry is the umbrella term for the packaging manufacturing industry. Industrial items are large, bulky, sensitive to the external environment, and environmentally dangerous. As a result, it is important to store and transport the product for a longer period of time, preferably in hermetically sealed packaging that is protected from external contamination. The major factors anticipated to drive market growth during the period of study include an increase in building and construction activities in the majority of the UK's emerging sectors, an increase in the food and beverage industry to meet the demands of a growing population, and rapid growth of exports, which necessitates superior packaging standards for the international market. Companies in the U.K. are gradually shifting toward delivering paper and paperboard packaging solutions as a result of rising environmental concerns and severe government policies. A lot of effort has gone into product development in order to produce cost-effective items with equivalent utility and consumer pleasure. Researchers have developed an environmentally friendly coating for paper packaging as part of their research. Not only does this coating conserve plastic, but it also improves the shelf life of the food by coating it with plant-based proteins and waxes. After usage, the packaging can be thrown in the waste paper recycling bin for disposal.

The report: “U.K. Packaging Market (2016 -2020)", by Industry ARC covers an in-depth analysis of the following segments of the U.K. Packaging Industry.

By Packaging – Paper, Plastic, Metal, Wood, Glass, and Others.

• The U.K. Packaging market growth is attributed to the increasing purchasing power of consumers, the growing consumer packaged goods market, and the rise of smartphones. Product developments and technological advances in the market are poised to generate significant investment possibilities for companies. 
• The main limitations for the industry are projected to be regulatory and structural guidelines. The key obstacles are projected to be changing demand patterns and developments in alternative technologies, as well as high input costs and environmental concerns.
• A detailed analysis of strengths, weaknesses, opportunities, and threats will be provided in the U.K. Packaging Market Report. 

 

The U.K. Packaging market based on packaging type can be further segmented into Paper, Plastic, Metal, Wood, Glass, and Others. In 2016, plastic had the highest proportion of the market. From the point of manufacture to the point of consumption, plastic packaging is an integral aspect of the multi-faceted system for delivering products. Its primary goal is to safeguard and ensure the safe and secure delivery of the product to the end-user in flawless and ideal condition (manufacturer of product or consumer). During the study period, flexible packaging is anticipated to develop at a steady rate in the U.K. The demand for more flexible packaging in the region has been fuelled by the healthy expansion of end-users such as pet food, fresh food, and coffee. The necessity for single-serve solutions is growing as the general trend of shifting from rigid to flexible to accommodate changing lifestyles, as well as the growth of smaller households. Plastic packaging for the food business is becoming more popular. Because of their advantageous qualities, such as being lightweight and low cost, they are progressively replacing traditional materials such as paperboard, metals, and glass. Over the projection term, however, it is predicted to boost at a slow pace. The slow growth of the market in this region can be attributed to strict rules restricting the usage of plastic products, as well as increased consumer awareness about sustainability.

Consumers nowadays prefer environmentally friendly items. Packaging is no exception, as it has been seeing a similar trend. Customers that are environmentally concerned now choose paper or paperboard packaging over other types of packaging. The waste or recovered paper market is predicted to rise, and consumers have indicated an increased interest in buying recycled items. It is also projected that as emerging sectors become more industrialised, there will be greater demand for paper and paperboard packaging. Paper and paperboard containers are currently biodegradable and more environmentally friendly than plastic, making them more appealing to consumers. Paper and paperboard containers are environmentally good since they are recyclable, reusable, energy-efficient, and conserve natural resources. As a result of the environmental benefits associated with paper and paperboard containers, businesses in a variety of industries, such as retail, will adopt these products, driving the U.K. paper and paperboard container demand thereby, and packaging market.

One of the potential trends that have emerged in both developed and developing sectors of the U.K. that is fuelling the expansion of the personal care sector is a growing tendency toward organic personal care products. Furthermore, the arrival of the fashion sector in Western European countries, particularly the U.K., has created a plethora of attractive potential for the expansion of packaging materials in the personal care industry over the period of 2016-2020. Furthermore, the growing trend of fashion weeks around the world is helping to the rise of personal care products, which in turn is driving the market's growth over the study period. For example, according to Cosmetic Europe, the personal care and cosmetics business grew by 1.3 percent in 2018 when compared to 2017. 

To ensure the safety of these packaging items, the European Union imposed strict laws that required producers to submit data on the long-term health impact of the various personal care packaging products, including hormonal effects and contributions to antibiotic-resistant bacteria. This, combined with tightening regulations around the world addressing over-the-counter single-use packaging products, will stifle market growth in U.K. Plastic and glass are the most common packaging materials for personal care goods. For increasingly ecologically conscious consumers, the poor recycling rate of single-use personal care bottles is a key source of concern. This is to have a negative impact on the personal care packaging of the U.K. sector as well, possibly leading to a gradual phase-out of single-use items.

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the U.K. Packaging Market. The top 10- U.K. Packaging Market companies’ are-

1. ABC Packaging Ltd.

2. Amipak Ltd 2018.

3. Belmont Packaging Limited.

4. CBS Packaging Limited.

5. H-Pack Packaging UK Ltd

6. Manupackaging U.K. Ltd.

7. Euro Packaging UK Ltd

8. Crown Holdings, Inc., 

9. Ribble Packaging Ltd.

10. The Box Factory Ltd 

• In November 2019, Coveris Group launched a shrink film-based plastic Duralite™ R range offering a next-generation shrink film solution that is both 100% recyclable and contains up to 50% post-consumer recyclate (PCR). The product was launched across the U.K. and is available to its local market enhancing its country portfolio.
• In February 2019, Greif, Inc. announced that it has completed an acquisition with Caraustar Industries. The acquisition helped enhance Greif's existing margins, earnings, and free cash flow; and also, to strengthen and balance Greif's existing portfolio.
• In April 2016, Amcor announced an agreement to acquire Alusa, the largest flexible packaging business in South America. The purchase price of US$435 million represents 8.5 times PBITDA. Alusa – which includes Alusa (Chile), Peruplast (Peru), Aluflex (Argentina), and Flexa (Colombia) – is owned by Techpack S.A. and Nexus Private Equity.