Global corrugated board packaging market projected to hit US$67B by 2017, up from US$52B in 2011, Pira study projects, citing increasing demand for certain end-use products that correlate with hectic lifestyle of modern consumers

Sandy Yang

LEATHERHEAD, England , September 11, 2012 (press release) – The corrugated board packaging industry, worth $52 billion as of 2011, is set to see its value swell by an additional $15 billion over the next five years according to the latest market intelligence from Smithers Pira.

A new study - The Future of Global Markets for Corrugated Board Packaging to 2017 - examines the development of the containerboard packaging market over the 2007-2012 period and provides forecasts for the evolution of the industry until 2017. The 558-page report links the rapid expansion of the sector - a growth of 29% - to increasing demand for certain end-use products which correlate with the hectic lifestyle of the modern consumer.

Actual consumption of corrugated board currently stands at 102 million tonnes as of 2011, itself a significant increase on 99.5 million tonnes for the preceding year. This figure is expected to undergo an average annual growth of 4.4% throughout the timescale of the study, achieving an end value of 130 million tonnes.

Packaging for chilled, takeaway and ready-cooked foods is set to be a primary factor for growth in the market, with Smithers Pira identifying the rising demand for convenience as a key propellant. It is increasingly clear that the ever-accelerating momentum of urban life is generating a need for time- and effort-saving solutions that fall within the corrugated board packaging market's remit.

Environmental concerns also are acting as a catalyst to drive research, such as new developments in lightweighting and resource-effectiveness. As such, contemporary realities both require and provide that corrugated board packaging remain a technological and scientific leader. The report investigates some of the industry's upcoming cornerstone developments for the near future.

The balance of consumption is likely to shift ever further towards economically developing regions such as China, India, Brazil and Eastern Europe, indicative of the increasing urbanisation and growing consumer markets present in these areas. Already the largest containerboard market, Asia is set to dominate demand with over half of corrugated board consumption in the next 5 years. China, especially, will be accountable for 70% of the net rise in containerboard production. Conversely the North American and Western European markets are both likely to shrink in relative importance, each contracting by around 3% by 2017 according to Smithers Pira's projections.

Source: Smithers Pira

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