Technavio, a tech-focused research firm, has published a new report on the global plastic caps and closures market, which is expected to grow at a compounded annual growth rate of almost 6 percent from 2015-2019.
The report draws attention to the continuous rise in the alcoholic and non-alcoholic beverage consumption, which is driven by the growing populations and the launch of value added offerings.
“Traditionally, glass was used to package CSDs and alcoholic drinks but the transportation, maintenance and recycling of glass substrates is energy intensive. As a result, there is an increasing shift toward plastic, as it is lightweight, reduces transportation costs, and facilitates instant disposal,” said Faisal Ghaus, vice president of Technavio.
The increased demand for caps and closures for water packaging is the fastest-growing segment of the beverage market, according to the report, and PET is widely used for it.
“Most packaged products are designed for single use, so plastic is the preferred material on account of its low cost. This is boosting the demand for packaging material, including caps and closures, thus leading to market growth,” Ghaus said.