Product Code: 61247
The market for water soluble films is expected to witness a CAGR of around 6%. The increased usage in the powdered chemical packaging sector is expected to provide growth to the market. Moreover, the surging demand for detergent and disinfectant is also expected to drive the market growth.
- On the flip side, the recent outbreak of COVID-19 is also expected to hinder the growth, as many countries are in partial or full lockdown, which halts the manufacturing across different parts of the world.
- Usage in the food packaging industry is likely to act as an opportunity for market growth in the future.
- North America dominated the market and accounted for the major market share.
Key Market Trends
Packaging Industry to Dominate the Market
- Packaging is the major end-user industry for these films as water soluble films are easy to use, as the film offers excellent sealing and deep drawing properties, while being completely soluble even in cold water. Moreover, they are considered biodegradable, non-toxic, and non-inhibitory.
- Water soluble films made with natural polymers play an important role in packaged foods, typically at low use levels, i.e., less than 1% by weight. They are also used in making many secret sauces and salad dressings, and serve as stabilizers, preventing oil and water mixtures from separating. In manufacturing of ice cream, these polymers suppress the formation of ice-crystals. In the production of chocolate milk, natural water-soluble polymers retain cocoa powder in suspension. They also act as thickeners in cream cheese, serve as binders for pimento strips in green olives, and provide gummies with their distinctive texture.
- Chemicals used in agriculture are usually highly toxic, cause severe pollution and endanger our health. Additionally, the agricultural chemical packaging with leftover were to be discarded in rivers, rivulets, farms or terra, etc., which would pollute the soil and water, and this would be hazardous to the environment in the long term. To address these issues, many fertilizer manufacturers are coming up with doses based packaging solution for agrochemicals and fertilizers, thus, increasing the demand for water soluble films in the global market.
- The usage of water-soluble films in the packaging of dyes, cement additives, and enzyme is increasing, to minimize pollution and provide a consistent dose during the manufacturing process of the product. By using water soluble films, the mixing operations have become simple and the additive measures are more exact.
- Another major application of water-soluble films is the packaging of liquid detergents. This application hinges on the principle of using water soluble films packaging to deliver unit dosage amounts of liquid detergent products. Active concentrate of liquid detergent ingredients is packaged in water soluble films.
- Thus, with the increasing demand for customized products and minimizing the chemical wastage to improve the environmental health, the demand for water soluble films in packaging is growing at a rapid rate.
United States to Dominate the North America Market
- The United States is the world's largest and most powerful economy, and it had a per capita income of USD 59,610 in 2018. The economy grew at a 2.0% pace during the April-June 2019 period. Furthermore, in the third quarter of 2019, the economy grew by an annualized 1.9%. There were signs that the economy maintained a moderate pace of expansion as the year ended, supported by a strong labor market. The drastic outbreak of COVID-19 in the country has led to a downfall in the economic growth, owing to a fall in consumer spending and business shutdowns.
- In the country, the water-soluble films market is driven by high demand from the packaging, pharmaceuticals, and textiles industries. The changing trends in consumer behavior and the manufacturer's easier convenience benefitted the industries to grow at a faster pace in the country, which is further benefitting the water-soluble films market.
- In the US textile market, apparels account for nearly 12%, while the rest is held by home textiles and floor covering, accounting for almost 40% stake in raw material consumption and technical textile, holding the largest share, with nearly half of the raw materials produced in the United States.
- According to Mordor Intelligence, the packaging industry in the United States was valued at USD 183.92 billion in 2019, and it is expected to reach USD 218.36 billion by 2025, at a CAGR of 4.1% over the forecast period, 2020-2025. This positive momentum encourages the water-soluble films market directly to register strong growth over the forecast period.
- The pharmaceutical sector has been one of the major industries in the United States, as well as one of the most R&D-intensive industries in the country. According to the International Federation of Pharmaceutical Manufacturers & Associations (IFPMA), the share of the pharmaceutical industry in the United States is expected to increase from 40.3%, in 2015, to 41%, in 2020, globally.
- The United States is turning out to be the global hotspot for COVID-19. The rapid spread and threat from the virus in the country are expected to take a toll on not only the economic growth and jobs in the country, but also deteriorate the growth of the manufacturing sector. Subsequently, the growth of the market studied in the near future.
- Despite the advanced equipment of ventilators, the country is currently facing a shortage of the same. This scenario is likely to affect the economy and manufacturing activities due to lockdowns for a longer period.
- However, Texas State being an exception regarding lockdowns is a positive factor helping the growth of the economy in this scenario, and it is also likely to have a positive impact on the water-soluble filmsmarket.
The global water-soluble films market is consolidated in nature, with more than 80% of the market shares being shared among the top five players. Some of the key players of the market include KURARAY CO., LTD., SEKISUI CHEMICAL CO., LTD., Mitsubishi chemical corporation, Aicello Corporation, and Arrow GreenTech Ltd, among others
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- The market estimate (ME) sheet in Excel format
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TABLE OF CONTENTS
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Drivers
- 4.1.1 Increasing Applications in the Powdered Chemical Packaging Sector
- 4.1.2 Surging Demand for Detergent and Disinfectant
- 4.2 Restraints
- 4.2.1 Unfavorable Conditions Due to the COVID-19 Pandemic
- 4.3 Industry Value Chain Analysis
- 4.4 Porter's Five Forces Analysis
- 4.4.1 Bargaining Power of Suppliers
- 4.4.2 Bargaining Power of Consumers
- 4.4.3 Threat of New Entrants
- 4.4.4 Threat of Substitute Products and Services
- 4.4.5 Degree of Competition
5 MARKET SEGMENTATION
- 5.1 Type
- 5.1.1 Cold Water-soluble Films
- 126.96.36.199 Z-Type
- 188.8.131.52 C-Type
- 184.108.40.206 W-Type
- 5.1.2 Hot Water-soluble Films
- 220.127.116.11 M-Type
- 18.104.22.168 H-Type
- 22.214.171.124 S-Type
- 126.96.36.199 N-Type
- 5.2 Dissolution Rate
- 5.2.1 Fast Soluble Films
- 5.2.2 Medium Soluble Films
- 5.2.3 Difficult Soluble Films
- 5.3 End-user Industry
- 5.3.1 Packaging
- 5.3.2 Textile
- 5.3.3 Pharmaceuticals
- 5.3.4 Other End-user Industries
- 5.4 Geography
- 5.4.1 Asia-Pacific
- 188.8.131.52 China
- 184.108.40.206 India
- 220.127.116.11 Japan
- 18.104.22.168 South Korea
- 22.214.171.124 Rest of Asia-Pacific
- 5.4.2 North America
- 126.96.36.199 United States
- 188.8.131.52 Canada
- 184.108.40.206 Mexico
- 5.4.3 Europe
- 220.127.116.11 Germany
- 18.104.22.168 France
- 22.214.171.124 United Kingdom
- 126.96.36.199 Italy
- 188.8.131.52 Rest of Europe
- 5.4.4 South America
- 184.108.40.206 Brazil
- 220.127.116.11 Argentina
- 18.104.22.168 Rest of South America
- 5.4.5 Middle-East and Africa
- 22.214.171.124 Saudi Arabia
- 126.96.36.199 South Africa
- 188.8.131.52 Rest of Middle-East and Africa
6 COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Market Share Analysis
- 6.3 Strategies Adopted by Leading Players
- 6.4 Company Profiles
- 6.4.1 Aicello Corporation
- 6.4.2 AMC (UK) Ltd
- 6.4.3 Arrow GreenTech Ltd
- 6.4.4 Cortec Corporation
- 6.4.5 KURARAY CO., LTD.
- 6.4.6 Mitsubishi Chemical Corporation
- 6.4.7 Mondi Group
- 6.4.8 Neptun Technologies GmbH
- 6.4.9 SEKISUI CHEMICAL CO., LTD.
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Growing Awareness Toward Plastic Pollution