Market Trends of United Kingdom Plastic Packaging Films Industry
The Polyethylene Segment is Expected to Hold a Significant Market Share
- Polyethylene, known for its flexibility, robust moisture barrier, and seal-to-self capability, is a go-to material in the packaging market. It boasts durability and excels even in low temperatures. Often, it is used in its pure form or blended with other materials to enhance its barrier properties. Notably, its eco-friendly nature propels its popularity among packaging film manufacturers in the United Kingdom.
- Advancements in PE resin have enhanced barrier film performance and shattered barriers to recyclability. The newest polyethylene resins do not allow substituting multi-material, non-recyclable barrier films with all-PE structures. The structures are recyclable, lightweight, thin, and durable, making them easy to process. This innovation significantly contributes to sustainability efforts by reducing plastic waste and promoting the use of eco-friendly materials in packaging.
- Product visibility plays a pivotal role in shaping consumer choices. Transparent packaging, particularly in the form of polythene films, is witnessing heightened demand across diverse industries. This surge is fueled by the consumer preference for visually assessing a product before buying, which fosters trust and boosts purchase intent. Consequently, producers of polyethylene barrier films are strategically emphasizing transparency to bolster their market presence.
- The demand for polythene-based packaging films is rising in the food and beverage industry, driven by increased packaging activities. Clear packaging plays a pivotal role in showcasing product quality and freshness. The packaging market’s revenue in the United Kingdom increased from USD 5,309.06 million in 2020 to USD 5,505.10 million in 2023. The growing preference for transparent packaging solutions across industries like food and beverage, pharmaceuticals, and consumer goods primarily fuels this growth.
- The recyclability of polyethylene barrier films benefits both end users and manufacturers by reducing tax duties. In Europe, non-recycled plastics incur extra taxes. Moreover, a recent regulation mandates a tax on plastic packaging containing less than 30% recycled material. Consequently, manufacturers of polyethylene barrier films are intensifying efforts to create sustainable options, aiming to sidestep these levies in the region.
Understand The Key Trends Shaping This Market
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Food and Consumer Products are Expected to Hold a Significant Share in the Market
- The plastic packaging film market in the United Kingdom is on the upswing, propelled by a burgeoning food industry and a surge in private investments. Notably, these investments are steering the development of innovative, fully compostable packaging solutions, particularly in bags and pouches. The demand for sustainable packaging options is increasing as consumers become more environmentally conscious, further driving market growth. Technological advancements enable the production of high-quality, flexible packaging that meets consumer and regulatory standards.
- Packaging innovations are paramount in the realm of frozen foods. They help preserve freshness, enhance user convenience, and boost shelf appeal. Consequently, manufacturers are channeling investments into crafting specialized plastic packaging solutions specifically designed for frozen foods. This strategic move caters to the segment’s unique demands, propelling the expansion of the flexible plastic packaging market.
- The UK grocery retail sector’s value is expected to increase from USD 269.6 billion in 2022 to USD 281.7 billion in 2024. Projections indicate a further surge, with the sector expected to hit the USD 300 billion mark by 2027. This upward trajectory is expected to reshape the packaging market owing to the increasing demand for various modes, notably plastic film, driven by its visibility and recyclability. The increasing consumer preference for sustainable and convenient packaging solutions also contributes to this trend. Retailers are investing in innovative packaging technologies to meet regulatory requirements and consumer expectations, further fueling the growth of the packaging market within the grocery retail sector.
- The household and personal care market is witnessing a surge in the region, necessitating packaging solutions to match the heightened production and distribution. Plastic film packaging, known for its lightweight nature and customizable designs, is becoming the go-to choice for companies seeking efficient packaging solutions. Factors like the enhancement of quality of life, the positive impact of personal care on self-esteem and social interactions, and a growing consumer preference for premium and luxury brands are set to drive the market in the coming years.
- Consumers are increasingly gravitating toward personal care and household products that boast upscale packaging. This attractive and innovative packaging catches the eye and plays a crucial role in influencing purchase decisions. Beyond aesthetics, adequate personal care packaging ensures the product remains in optimal condition, extending its shelf life. Moreover, it is a crucial differentiator, setting products apart in the market.
