(I-BusinessNews.Com, November 24, 2021 ) Cast Polypropylene Market size is forecast to reach $1.9 billion by 2026, after growing at a CAGR of 4.8% during 2021-2026. Cast Polypropylene is known for its flexibility and versatility and hence is growing the popularity in the attractive and flexible packaging material against polyethylene. Cast polypropylene and can also be used as a single film or as a lamination sealant material. The few major trends which are leading towards the growth in the packaging industry are growth in e-commerce, changing of consumer preference, increase in the FMCG and retail markets, sustainability, and digitization. All these trends have led to the growth in the packaging sector and hence in the cast polypropylene market.
Currently the Cast Polypropylene industry has been affected due to COVID-19 pandemic where most of the industrial activity has been temporarily shut down. In in turn has affected the demand and supply chain as well which has been restricting the growth. Due to COVID-19 pandemic the cost of raw materials rose which further hampered the cast polypropylene market. The coronavirus outbreak has already resulted in some of the biggest drops in demand for certain types of packaging in recent memory, while speeding growth for others such as packaging for e-commerce goods, which are quickly becoming lifelines in this new world. Many packaging companies are facing new hurdles as a result of these changes.
Cast Polypropylene Market Segment Analysis - By Type of Film
The Transparent Film held the largest share of 37% in the Cast Polypropylene Market in 2020. Cast Polypropylene varies from thickness 18-150 microns. The transparent films are used for the wrapping of flowers, textile, packets, clothes, and others to make them look presentable. The transparent cast polypropylene film is used because it is good heat resistant, resistant to tears and punctures, provides moisture, and atmospheric barrier and has a very low specific weight.
Cast Polypropylene Market Segment Analysis - By Application
Packaging held the largest share of 44% in the Cast Polypropylene Market in 2020. Cast Polypropylene is used in packaging of different materials like food and beverages, textile, drugs, and others. Cast polypropylene is gaining preference over polyethene because of different benefits. Cast polypropylene is a low-cost thermoplastic with very high clarity, gloss, tensile strength, excellent heat-sealing performance, better heat resistant and moisture barrier. The plastic packaging industry is growing rapidly with a growth rate of 20-25% per annum and is valued as 6.8 million tons. The industry is moving towards growth because of increasing trend of innovative packaging.
Cast Polypropylene Market Segment Analysis - By End Use
Food and Beverage Industry held the largest share in the Cast Polypropylene Market in 2020 with a CAGR of 5.3%. The cast polypropylene is used in the food and beverage industry because it increases the shelf life of the product. With the cast polypropylene it becomes easier to maintain the quality of the product during transportation till the time it is consumed. According to the Food and Agriculture Organization (FAO), when seen in constant value term the global population grew by 34% and the net agriculture production increased by almost 70 % from 1996 to 2020. As there is growth in agriculture level there is a need for increasing the shelf life for the food produces which is increasing the demand for flexible and innovative packaging. The increase in the ready-to-eat segment in the food and beverages industry is driving much of the demand.
Cast Polypropylene Market Segment Analysis - By Geography
Asia-Pacific (APAC) dominated the Cast Polypropylene Market in the year 2020 with a market share of 42% followed by North America and Europe. APAC as a whole is set to continue to be one of the largest and fastest growing packaging markets globally. Food Processing takes of the largest consumer packaging with 45%, pharmaceutical packaging as 25% and 10% for the personal care product. The three markets are dominating in the APAC region which are further driving the demand for the industry. In APAC, China is driving much of the Cast Polypropylene Market demand in Asia-Pacific region followed by India and Japan because of the presence of large number of manufacturing units. The strong and healthy growth in packaging sector is associated with growing population and middle-class economy.
With technological advancement and increasing general awareness about packaging and its different kind, the packaging industry is tending to rise. The increase in the availability of technologically advanced material has led to the growth in the cast polypropylene market as well. Specialty films and laminates are now used in almost every kind of packaging in order to increase the finish and gloss of the product.
Cast Polypropylene Market Challenges
Presence of Substitutes in the market
Innovation is the key to developing new products and because of this there are presence of substitutes in the market which hamper the growth. The presence of alternative solution for packaging like bi-axially oriented polypropylene (BOPP), polyethylene terephthalate (PET), aluminum foils, and others. The growing presence of alternative solution is hampering the growth of the cast polypropylene market.
The emergence of COVID-19 pandemic
The emergence of COVID-19, which is declared a pandemic by the World Health Organization, is having a noticeable impact on global economic growth. Currently the Cast Polypropylene Market has been affected due to COVID-19 pandemic where most of the industrial activity were temporarily shut down. This in turn has affected the demand and supply chain as well which has been restricting the growth in year 2020. The impact caused will lead to the restricted growth for the following year.
Cast Polypropylene Market Landscape
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Cast Polypropylene Market. Major players in the Cast Polypropylene Market are Alpha Marathon, Hubei Huishi, Manuli Stretch, Mitsui Chemicals, Takigawa Seisakusho, Uflex, Shanxi Yingtai, Vista Film Packaging, Taghleef Industries, Achilles Corporation and Others.
In January 2020, Coveris launches greener version of PP film. The Coveris Print Layer (PP CPL) is designed for flexible packaging of a wide range of food, pet food and non-food products. With an improved structure, Coveris said it offers outstanding stiffness that protects the product from external damage.
Asia Pacific dominates the Cast Polypropylene Market owing to rapid increase in usage of cast polypropylene general films in the food and beverages segment.
The market drivers and restraints have been assessed to understand their impact over the forecast period.
The report further identifies the key opportunities for growth while also detailing the key challenges and possible threats.
The other key areas of focus include the various applications and end use industry in Cast Polypropylene Market and their specific segmented revenue.
Due to the COVID-19 pandemic, most of the countries have gone under temporary shutdown, due to which operations of Cast Polypropylene Market related industries has been negatively affected, thus hampering the growth of the market.
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