Packaging Adhesives Market Estimated To Witness High Growth Owing...

Packaging Adhesives Market Estimated To Witness High Growth Owing To Increasing Demand From Food & Beverage Industry

Posted 2024-01-29 12:30:51

Packaging adhesives are versatile bonding materials used for joining packaging components and closures. They are used across various packaging applications such as case & carton sealing, flexible packaging lamination, and label applications. Packaging adhesives provide excellent adhesion and help protect products from damage, contamination, and tampering. Their properties such as high bond strength, resistance to heat and moisture make them suitable for bonding in high-speed packaging lines.

The global packaging adhesives market is estimated to be valued at US$ 9.81 Mn in 2023 and is expected to exhibit a CAGR of 4.4% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:
Increasing demand from food & beverage industry is one of the key drivers for the packaging adhesives market growth. Packaging adhesives play a vital role in food packaging by providing defense against moisture, oxygen, and microbial penetration to increase shelf life of packed food products. They help prevent spoilage and contamination. Rising consumption of packaged and convenience foods is fueling the demand for packaging adhesives in the food industry. Additionally, growing demand from corrugated packaging owing to increasing e-commerce sales is also contributing to the market growth. Corrugated packaging provides protection during shipping and transportation of goods and packaging adhesives are crucial to assemble corrugated boxes and ensure strength and durability.

SWOT Analysis

Strength: Packaging adhesives provide protection and extend the shelf life of products. They can withstand extreme temperatures and offer durability. They also allow for aesthetic and innovative packaging designs. Water-based adhesives are environment-friendly with low VOC emissions. Adhesives ensure tight seals and prevent leakage during transportation and storage.

Weakness: Strict environmental regulations regarding solvent-based adhesives limit their use. Changing raw material prices can increase adhesive production costs. R&D for innovative adhesives requires heavy investment. Dependency on economic and infrastructure development influences demand cycles.

Opportunity: Growth of e-commerce is boosting demand for efficient packaging of smaller packages. Rising health awareness increases need for tamper-proof, leak-proof packaging. Rapid urbanization in developing nations expands markets. Innovation in adhesive technologies and production processes can increase efficiencies.

Threats: Sustainability initiatives drive preference for eco-friendly products. Alternatives like closure systems pose competition. Economic slowdowns lower industrial and consumer spending on packages. Trade policies and global supply disruptions impact availability and prices.

Key Takeaways

The global Packaging Adhesives Market Growth is expected to witness high growth driven by expanding e-commerce, food and pharmaceutical industries. The global packaging adhesives market is estimated to be valued at US$ 9.81 Mn in 2023 and is expected to exhibit a CAGR of 4.4% over the forecast period 2024 to 2031.

Regional analysis comprises: The Asia Pacific packaging adhesives market accounted for over 40% share in 2023 and is forecast to maintain dominance through 2031. China leads both production and consumption with its huge manufacturing base and growing domestic demand for packaging from numerous industries. India and other Southeast Asian countries are also major contributors to regional growth due to their rapidly developing economies and Industries.

Key players related content comprises: Key players operating in the packaging adhesives market are Solvay, Sakai Chemical Industry, Quimicos Aragonesas, Jinyan Strontium Industry, Joyieng Chemical, Hongkong XinRunDe Chemicals, Huaqi Fine Chemical, Barium & Chemicals, American Elements, ABASSCO. They are focusing on production expansion, new product launches and mergers/acquisitions to strengthen their regional presence and market share.