Developing economies are driving growth for the labels market
Economic, lifestyle changes and the focus on sustainable packaging will drive market growth for the labels market by 5.4% annually during the period 2016-21 to $44.8 billion, according to a new report by Smithers Pira. In “The Future of Labels and Release Liners to 2021” Smithers Pira’s analysis shows label market growth is being driven by economic, social, demographic and lifestyle changes.
These include brand owners’ increasing focus on source reduction and sustainable packaging, consumer demand for convenience food, and the growing presence of large retail chains. Label market demand is also being driven by the relatively low cost with which labelling can be replaced or changed; and a continuing need for barcodes and other secondary packaging applications that support food safety and pharmaceutical compliance issues.
Drinks markets are dominating label consumption; alcoholic drinks are the main end-use market for labels, accounting for a projected 27.5% share of global label consumption in 2016. The alcoholic drinks market growth is supported by the booming hospitality and tourism industries in large cities, the influence of western culture on young people in emerging economies, and increasing disposable incomes among the growing middle class in Asia.
“The outlook for label market growth will be negatively influenced by an expectation of moderate global economic growth over the forecast period.” states Dan Rogers, head of publishing at Smithers Pira. “The emerging and developing economies are forecast to grow at twice the rate of advanced countries and offer the best opportunities for label market growth.”
The Future of Labels and Release Liners to 2021 is said to provide actionable information, including projections through to 2021.
