Product Code: 67060
The BOPP Films market was valued at USD 16.22 billion in 2019 and is expected to reach USD 22.07 billion by 2025, at a CAGR of 5% over the forecast period 2020 - 2025. The market trend is predicted to gain traction in the anticipated years due to the fact that BOPP films are more flexible and enable faster packaging with advanced sealing properties as compared to other packaging materials. This has pushed manufacturers to come up with new techniques pertaining to the manufacturing of BOPP films in order to serve the demand of various industries.
- Environmental regulation paving way for flexible packaging requirements is drivng the market as using flexible packaging instead of rigid packaging results in remarkable benefits to the environment over the package's entire life cycle, which includes material and energy savings during production and lower energy and emissions during the distribution process. Also a case study by the Flexible Packaging Association analyzed the environmental benefits of using a flexible pouch, where the results found an equivalent of 87% less coal or 64% less crude oil utilized during manufacturing when switching from rigid to flexible; 79% lowered CO2 emissions during manufacturing; and 69% reduction of solid waste into landfills.
- Growth in packaged food markets is driving the market due to changing lifestyle and convenience of consumption & increasing health awareness. BOPP film is among the most reccomended packaging material across the industrial spectrum and this film acceptable for the food packaging industry is generally a co-extruded and heat-sealable film. Co-extruded, heat-sealable films are used as a single web for packaging of products unlike polyester films which cannot be heat-sealed on its own.
- Growth of BOPP films market is likely to be restrained due to fluctuation in raw material prices, as these are dependent on the prices of polypropylene, which have a strong correlation with crude oil. This proceeds as a major hindrance to the global market which is projected to hamper market growth during the forecast period.
Scope of the Report
Bi-axially oriented polypropylene (BOPP) is a polypropylene-based film or sheet stretched across two axes in a sequential manner. These films are primarily employed in the food segment for the packaging of frozen food, meat & cheese, pet food, etc. It is also used in adhesive tapes, tobacco packaging, gift packaging, cosmetics packaging, and other applications that initiates the market growth.
Key Market Trends
Flexible Packaging in Dairy Product Expected to Grow Market Share
- Flexible packaging not only plays a crucial role in reducing beverage and product waste but also allows online brands to strengthen their packaging to enhance the e-commerce experience. BOPP film is highly used film in this segment which provides consistent and excellent seal integrity because of narrow gauge spread.
- With increasing dairy product production, BOPP film market is steadily growing. Milk and dairy products require careful storing and protection from oxygen and sunlight. For instance, Danaflex provides a wide variety of BOPP film packaging mostly in transparent and opaque white film for all dairy products which are cost-effective and their protective lacquer protects ink layer from mechanical and heat impact, together with good sliding behavior during filling operations.
- Recently in Dec 2018, Cosmo films launched a new sterilizable conduction sealing film for PP and PE containers which are able to withstand high temperatures during the sterilization process, which is liable to increase the shelf life of products, mostly for dairy products like milk.
- Southeast Asia holds the second-largest market for US dairy exports, and the market was valued at USD 690 million, in 2017 and according to USDEC (US Dairy Export Council), Southeast Asian customers are consciously aware of artificial food ingredients and prefer flexible packaging that significantly preserves the integrity of natural and clean label products. This increases the demand for BOPP films in this region.
Asia-Pacific Account for Significant Market Share
- Asia-Pacific holds the largest market share for the packaging industry, accounting for over 40% of the world's consumption and countries such as China, India, Thailand, and South Korea are the key producers and consumers of the BOPP films market.
- The greatest opportunity for the Asian packaging market for food and beverage packaging lies in the online retail market comprising the largest market China, and the fastest-growing market, India. China consumed 585.7 billion units of flexible packaging, in 2016, and the packaging market in China witnessed ongoing growth, due to the fast-paced growth in the consumer goods segment. Further in 2018, according to US Census Bureau, United States imported 43% of the flexible packaging consumption from China. This says that the growth of BOPP films in these countries holds significant growth.
- Various players are planning to invest in the Asia region to increase the market of BOPP films, recently in Sep 2019, on 8th Speciality Films & Flexible Packaging, Bobst company of Switzerland said that India has been an important market for metalizing and label printing segments. due to high customer base and have a high opportunity to move towards BOPP from the polyester segment and the company is seeing an opportunity to invest in this segment. These demands will drive more companies to invest in this segment that enhances the production capacity and market growth.
The bopp films market is moving towards fragmented market and its competitive rivalry is increasing because of the increasing presence of many players running their business in national and international boundaries, as the market is changing in the direction of substituting the materials such as cellophane, waxing paper, and aluminum foils by means of BOPP films because it functions exceptional closing. Key players are Vitopel, Cosmo Films, Innovia Films, etc. Recent developments in the market are -
- Sep 2019 - Max Specialty Films introduced new solutions at Labelexpo Europe 2019 and this Max's new BOPP manufacturing line is expected to induce the growth of specialty films for the company. The advanced design of their new state-of-the-art BOPP line commissioned last year enables the company to go through deeper into labels and barrier films as important market segments. This new investment enables the company to produce 12- to 85-micron films to cater to in-mould labeling and pressure-sensitive labeling segments.
- June 2019 - At Labelexpo Europe 2019, Russia's SIBUR BIAXPLEN announced to introduce an extensive range of BOPP-films for different label segments. All films are produced on modern high-speed lines and meet international standards of quality offering value proposition according to customer needs.
- June 2018 - SRF Ltd, an Indian manufacturer of BOPET (bi-axially oriented polyethylene terephthalate) and BOPP (bi-axially oriented polypropylene) films has announced to build its first European production site in Hungary. With addition to this facility, SRF's total production capacity for BOPET and BOPP films will reach 220,000 ktpa, with manufacturing sites in four countries in India, Thailand, South Africa and Hungary.
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Table of Contents
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Introduction to Market Drivers and Restraints
- 4.3 Market Drivers
- 4.3.1 Environmental Regulation Paving Way for Flexible Packaging Requirements
- 4.3.2 Growth in Packaged Food Markets
- 4.4 Market Restraints
- 4.4.1 Fluctuation in Raw Material Prices
- 4.5 Value Chain Analysis
- 4.6 Industry Attractiveness - Porter's Five Force Analysis
- 4.6.1 Threat of New Entrants
- 4.6.2 Bargaining Power of Buyers/Consumers
- 4.6.3 Bargaining Power of Suppliers
- 4.6.4 Threat of Substitute Products
- 4.6.5 Intensity of Competitive Rivalry
5 MARKET SEGMENTATION
- 5.1 End-User Vertical
- 5.1.1 Flexible Packaging
- 220.127.116.11 Food
- 18.104.22.168 Non-Food
- 5.1.2 Industrial
- 22.214.171.124 Adhesives
- 126.96.36.199 Capacitors
- 188.8.131.52 Laminations
- 5.1.3 Other End-User Verticals
- 5.2 Geography
- 5.2.1 North America
- 184.108.40.206 United States
- 220.127.116.11 Canada
- 18.104.22.168 Mexico
- 5.2.2 Europe
- 22.214.171.124 Germany
- 126.96.36.199 United Kingdom
- 188.8.131.52 France
- 184.108.40.206 Rest of Europe
- 5.2.3 Asia Pacific
- 220.127.116.11 China
- 18.104.22.168 Japan
- 22.214.171.124 India
- 126.96.36.199 Rest of Asia-Pacific
- 5.2.4 Latin America
- 5.2.5 Middle East & Africa
6 COMPETITIVE LANDSCAPE
- 6.1 Company Profiles
- 6.1.1 Vitopel
- 6.1.2 Cosmo Films
- 6.1.3 Innovia Films
- 6.1.4 Taghleef Industries Inc.
- 6.1.5 SIBUR International GmbH
- 6.1.6 SRF Limited
- 6.1.7 Treofan Group
- 6.1.8 Polinas
- 6.1.9 LC Packaging
- 6.1.10 Jindal Poly Films Ltd.
- 6.1.11 Irplast S.p.A
- 6.1.12 Plastchim -T
- 6.1.13 Toray Industries Inc.
- 6.1.14 Uflex Ltd.
7 INVESTMENT ANALYSIS
8 MARKET OPPORTUNITIES AND FUTURE TRENDS