Packaging Coating Market

Market Snapshot

Newly-released packaging coating industry analysis by Fact.MR - a market research and competitive intelligence provider, shows that the global market experienced year-on-year (YoY) growth of 3.6% in 2021, to total US% 3.1 Bn in revenue.

As per packaging coating market insights, revenue generated from polyester coatings and polyurethane coatings cumulatively is expected to hold or over 28% of the market share in 2021.  Epoxy coatings account for over 24% of the market share, and are expected to be valued around US$ 744 Mn in 2021.

Key Points Covered in Packaging Coating Industry Survey:

• Market Estimates and Forecasts (2016-2031)
• Key Drivers and Restraints Shaping Market Growth
• Segment-wise, Country-wise, and Region-wise Analysis
• Competition Mapping and Benchmarking
• Market Share Analysis
• COVID-19 Impact on Packaging Coatings and How to Navigate
• Recommendation on Key Winning Strategies

Sales Analysis of Packaging Coatings from 2016 to 2020 Vs Market Outlook for 2021 to 2031

Historically, from 2016 to 2020, use of packaging coatings increased at around 5.7% CAGR, wherein, developed countries such as the U.S., Canada, Germany, and the U.K. held significant share in the global market.

Upsurge in the utilization and requirement of packaging coatings in the food & beverage industry is the reason for overall market growth. Escalating consumer demand for the preservation of taste, nutrition, and aroma in many food products has been defining the product development of packaging coatings. Leading manufacturers are focusing on developing new technologies for food and beverage packaging by addressing these customer requirements.

On a global scale, food packaging costs have doubled in the past few years, which can be attributed to rising expenditure on adopting new technology this packaging.

The food packaging industry is poised to expand at a CAGR 5% from 2021 to 2031 and be valued over US$ 450 Bn by 2031. This would trickle down towards supplementing the sales growth of packaging coatings during the forecast period. Demand for polyurethane coatings for flexible packaging is also expected to rise. Also, demand for packaging coatings in industrial packaging is witnessing steady increase.

Increasing spending on infrastructure development across the globe and rising inclination towards modern lifestyle in developed and well as several developing economics increase demand for fancy packaging in several applications. Packaging coatings for electronic goods have shown a drastic increase in demand during the past few years, and are expected to add US$ 231 Mn to total market value by 2031.

What are the Key Opportunities on Offer for Packaging Coating Manufacturers?

Growing concerns about environmental pollution is triggering several governments to shift towards eco-friendly solutions, which, in turn, increases demand for bio-degradable and recyclable coatings used in several applications.

By looking into the global scenario and rapid adoption of environment-friendly products, packaging coating manufacturers should focus on making eco-friendly packaging solutions. Manufacturers switching to eco-friendly packaging such as cornstarch packaging, mushroom packaging, seaweed packaging, etc., are going to get benefitted in the long-run forecast period.

As per Fact.MR’s forecasts, the eco-friendly food packaging market is projected to reach over US$ 315 Bn by 2031, which will open up demand opportunities for packaging coatings.

What Restraints Do Packaging Coating Suppliers Experience?

Modern food packaging provides a way to make food reliable, safe, clean, and shelf-stable. However, food packaging is mostly designed for single use and can’t be recycled. Almost 85% of the processed food we buy comes in packages.

From grocery stores to restaurants, use of packaging is budding considerably, and this is beneficial for packaging manufacturers. But by looking towards the growing concerns for green product development, it has become a reason that would cause a huge downfall in demand for non-eco-friendly packaging coatings in the long term.

Manufacturers are facing difficulties due to stringent regulations imposed by several governments for using plastic, chemicals, and other harmful raw materials in food packaging. For instance, in 2016, the U.S. Food & Drug Administration (FDA) banned three specific perfluoroalkyl ethyl containing chemicals used in food packaging coatings.

Which Region Offers the Largest Opportunity for Sales of Packaging Coatings?

North America is the most prominent region for packaging coating suppliers, and is anticipated to create an absolute dollar opportunity over US$ 650 Mn during 2021-2031. The U.S. is leading in North American market and is expected to witness double-digit growth through 2031.

With fast-paced growth of its economy and changes in lifestyle, American consumers’ inclination towards packaged food and beverages has resulted complementing the demand outlook for packaging coatings multi-fold in the past half-decade.

Europe and Latin America accounted for 1/3 of the market value and also experienced healthy growth during the past few years. These two regional markets are expected to expand at 5.6% and 6.4% CAGRs, respectively, during 2021-2031.

Rapid economic development and construction activities being undertaken in the MEA region make it one of the prominent regions in the long-term forecast period. The Middle Eastern and African market is set to progress at a moderate pace and reach US$ 121 Mn by 2031.

Country-wise Analysis

Why is the Packaging Coating Industry in the U.S. Still Growing at a Rapid Pace?

The market in the U.S. grew 5.3% during 2016-2020, and is expected to reach US$ 265 Mn by 2031. Consumers in the U.S. have busy schedules, which make them purchase packaged food from convenience stores on their way to work.

Apart from that, the adult population of the country is very much open to the modern world and consumes health drinks and beer on a daily basis. More than 80% of the adult population and 35% of the population over 28 years of age consume beer and health drinks on an everyday basis. This, in turn, leads to increased demand for can packaging solutions.

What Makes Brazil a Hub for Packaging Coating Demand?

In 2020, Brazil accounted for over 45% share of the Latin American market for packaging coatings. Besides, the metal packaging market is anticipated to witness fast growth in the country over the coming years. The country is known for being one of the prominent consumers of beer and cold drinks.

Beer packaging is mostly preferred by consumers in metallic cans, because of ease of portability. The packaging coatings used for metallic beer cans is estimated to generate revenue of above US$ 113 Mn every year from Brazil itself.

Category-wise Insights

Why are Acrylic Coatings the Most Used in Several Applications?

The acrylic packaging coating type is anticipated to expand at a 5.8% CAGR through 2031 and capture over 24% of the global market share.

Acrylic resin has properties such as transparency and fast dye, which can be used with these coatings. The stability and weather resistance tendency make it preferable in the packaging industry for several coating applications such as wine coatings, foodstuff, and more.

In addition, they are resistant to stains, blisters, and cracks. These unique properties make acrylic resin a good choice as a coating material. Acrylic packaging coatings are highly demanded in the food & beverage industry. Consumers are attracted by the innovative and visual appeal of the packaging. This, in turn, drives the sales of acrylic packaging coatings for several food and beverage packaging.

Besides, several food & beverage manufacturing companies are adopting acrylic packaging instead of old coating types.

Which Packaging Coating Type Generates the Highest Revenue?

Globally, the beverage cans market reached US$ 49 Bn in 2019, and the requirement for beverage cans is likely to grow at a CAGR of 4.6% during the period of 2021-2031. Metal packaging is one of the most chosen packaging solutions globally for the preservation of food & beverage products. Nowadays, packaged F&B products have become an integral part of everyone's daily life.

In addition, with increase in demand for packaged food and grocery products, large organized retailers have started packing groceries and delivering it to consumers. Apart from this, metal cans used for F&B packaging can be recycled and do not require the addition of primary material and additives, which is an added advantage manufacturers.

Owing to extensive usage of metal cans in the F&B industry, consumption of packaging coating additives for metal cans had increased in the past half-decade. Furthermore, it is expected that demand for packaging coatings in food cans will show a lucrative growth and reach over US$ 800 Mn by 2031.

Will the F&B Industry Remain the Most Lucrative End User for Packaging Coating Manufacturers?

The food and beverage industry is witnessing highest demand for packaging coatings due to fast-growing consumption of packaged food across the globe. Growing requirement of essential consumer products globally is driving demand for packaging coatings. Over 85% of consumer products purchased globally come with some sort of packaging, in which over 58% use packaging coatings.

Consumer electronics packaging has also shown drastic demand growth in the last few years, and is expected to register a CAGR of 9.3% over the next ten years.

Packaging of industrial products had gained traction during the period of 2016-2020, owing to fast-growing industrialization throughout the globe. In terms of value, the market for packaging coatings for consumer electronics packaging is anticipated to reach US$ 360 Mn in 2021.

Competitive Landscape as per Packaging Coating Industry Research

According to Fact.MR’s market research analysis, DuPont, Solvay S.A., Nippon paint, Kansai Paints, Evonik Industries, BASF SE, Sherwin Williams, AkzoNobel, and PPG Industries are identified as key packaging coating manufacturers. Majority of the companies discussed in the report have focused on expansion, investments, acquisitions, delivery, portfolio expansion, and brand development.

• DIC Corporation in 2019 acquired BASF's global pigment business segment which used to be known as BASF Colors & Effects. The acquisition widened the product portfolio of DIC Corporation. As a global manufacturer of pigments including those of coatings and inks, the company offers range of versatile solution to the consumers.
• Ardagh Group, a leading metal can manufacturer on April, 2019 announced the expansion of their production facility in Brazil by looking into the growing demand for aluminum packaging.
• In 2019, a North American company named Crown Beverage Packaging developed a new graphic studio for beverage cans. The Aim of the development was to attract customer through visual graphics designs.
• In September 2017, Akzonobel acquired a French manufacturer named Disa Technology, the acquisition between both the companies made a great global footprint by supplying innovative performance coatings.

Similarly, recent developments related to companies manufacturing packaging coatings have been tracked by the team at Fact.MR, which are available in the full report.

Report Scope

Market Segments Covered in Packaging Coatings Industry Analysis

• By Coating Type

  • Acrylic Packaging Coatings
  • Epoxy Thermoset Packaging Coatings
  • Fluoropolymer Packaging Coatings
  • Plastisol Packaging Coatings
  • Polyester Packaging Coatings
  • Polyurethane Packaging Coatings
  • Others

• By Packaging Type

  • Metal Can Packaging Coatings
  • PET Bottles Packaging Coatings
  • Glass Packaging Coatings
  • Flexible Plastic Packaging Coatings
  • Rigid Plastic Packaging Coatings
  • Liquid Carton Packaging Coatings
  • Others

• By End-Use

  • Food & Beverage Packaging Coatings
  • Consumer Product Packaging Coatings
  • Chemical Packaging Coatings
  • Paint and Coating Packaging Coatings
  • Industrial Product Packaging Coatings
  • Semiconductor and Electronics Packaging Coatings
  • Others

• By Technology

  • Coil & Sheet Packaging Coatings
  • Roll Packaging Coatings
  • Spray Packaging Coatings
  • Functional Packaging Coatings

Packaging Coating Market- Scope of Report

A recently revised study by Fact.MR on the packaging coating market offers a 10-year forecast for 2021 to 2031. The study analyzes crucial trends that are currently determining the growth of the market. This report explicates on vital dynamics, such as the drivers, restraints, and opportunities for key market players along with key stakeholders as well as emerging players associated with the development of packaging coatings.

The study also provides the dynamics that are responsible for influencing the future status of the market over the forecast period. A detailed assessment of value chain analysis, business execution, and supply chain analysis across regional markets has been covered in the report.

A list of prominent companies manufacturing packaging coatings, along with their product portfolios, enhances the reliability of this comprehensive research study.

Report Summary

The study offers a comprehensive analysis on diverse features, including production capacities, demand, product developments, revenue generation, and sales of packaging coatings across the globe.

A comprehensive estimate on the market has been provided through an optimistic scenario as well as a conservative scenario, taking into account the sales of packaging coatings during the forecast period. Price point comparison by region with global average price is also considered in the study.

Analysis on Market Size Evaluation

Packaging coating market has been analyzed for each market segment, in terms of value (US$ Mn).

Market estimates at global and regional levels for packaging coating is available in terms of “US$ Mn” for value. A Y-o-Y growth contrast on prominent packaging coating market segments, along with market attractiveness evaluation has been incorporated in the report. Furthermore, absolute dollar opportunity analysis of all the segments adds prominence to the report. Absolute dollar opportunity plays a crucial role in assessing the level of opportunity that a manufacturer/distributor can look to achieve, along with identifying potential resources, considering the sales and distribution perspective in the global packaging coating market.        

Inspected Assessment on Regional Segments

Key sections have been elaborated in the report, which have helped deliver projections on regional markets. These chapters include regional macros (political, economic, and business environment outlook), which are expected to have a momentous influence on the growth of the packaging coating market during the forecast period.

Country-specific valuation on demand for packaging coatings has been offered for each regional market, along with market scope estimates and forecasts, price index, and impact analysis of dynamics of prominence in regions and countries. For all regional markets, Y-o-Y growth estimates have also been incorporated in the report.

Detailed breakup in terms of value and volume for emerging countries has also been included in the report.

In-depth Analysis on Competition

The report sheds light on leading manufacturers of packaging coatings, along with their detailed profiles. Essential and up-to-date data related to market performers who are principally engaged in the production of packaging coatings has been brought with the help of a detailed dashboard view. Market share analysis and comparison of prominent players provided in the report permits the report readers to take preemptive steps in advancing their businesses.

Company profiles have been included in the report, which include essentials such as product portfolio and key strategies, along with all-inclusive SWOT analysis on each player. Company presence is mapped and presented through a matrix for all the prominent players, thus providing readers with actionable insights, which helps in thoughtfully presenting the market status, and predicting the competition level in the packaging coating market.