New Report Shows US Green Packaging Demand to Exceed $42 Billion in 2014

Reportlinker.com announces that a new market research report is available in its catalogue: Green Packaging.

US green packaging demand to top $42 billion in 2014

US demand for recycled content, reusable and biodegradable packaging is projected to exceed $42 billion in 2014. Growth will outpace overall packaging but will be moderated by the maturity of many products and the already-high prevalence of recycled content in paperboard and metal packaging. Advances for green packaging will be driven by the increased prominence of environmental issues as a result of elevated raw material and fuel costs. This has resulted in heightened activity among product manufacturers and packaging companies to offer product lines that reduce costs and that are more environmentally friendly.

Recycled plastic packaging among fastest growing types

Stimulants promoting solid advances for recycled content plastic packaging will include increased collection activity and processing volume of recycled material, especially food-contact approved resin grades. Gains will also be helped by rising interest among packaged goods producers and retailers in improving the environmental friendliness of their packaging. Preventing faster growth will be supply limitations due to competition for recovered materials from nonpackaging users and the significant level of recycled PET that is exported from the US. Glass recycled content packaging demand will outpace the green packaging average as a result of rising recycling rates for glass containers and concerted efforts by glass packagers to increase collection and incorporate higher levels of recycled content in glass containers.

Reusable packaging to grow at above-average pace

Reusable packaging demand is forecast to expand at an above-average pace, the result of improved manufacturing output as the economy recovers from the recession that began in December 2007. Demand for reusable plastic containers and intermediate bulk containers will expand above the average pace. Good opportunities for reusable insulated shipping containers will be based on rapid growth for temperature-sensitive biotechnology-based drugs. Though reusable drum demand will benefit from an expected rebound in chemical production from a severe downturn in 2009, prospects will be tempered by competition from larger capacity products such as intermediate bulk containers.

Cups, plates, bowls and containers to pace biodegradable segment

Among biodegradable packaging applications, the fastest gains are expected in cups, plates and bowls; and containers. Opportunities in cups, plates and bowls will be stimulated by lower costs, greater product availability, increased spending at eating and drinking places, and growing interest among consumers and restaurants in green products. Gains for containers will be supported by increased cost competitiveness compared to petroleum-based resins, and material performance improvements.

Non-biodegradable "green" plastics to debut in 2011

The green packaging market will be further expanded by the emergence of non-biodegradable plant-based plastics in commercial quantities, such as polyethylene from sugar cane-based ethanol. Packaging from "green" polyethylene will make its debut in the US in 2011. Though higher in price than traditional resins, the willingness of many consumers to pay a modest premium for biobased materials will assure a significant market for these materials.

Study coverage

This new industry study, presents historical demand data (1999, 2004, 2009) plus forecasts (2014, 2019) by product and market. The study also considers market environment factors, assesses company market share and profiles more than 45 industry competitors.

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