Market Trends of Vietnam Rigid Plastic Packaging Industry
Polyethylene (PE) Segment is Estimated to Have the Largest Market Share
- In Vietnam, the demand for plastic bottles is primarily fueled by the packaging requirements of various sectors, notably food and beverages, personal care, and pharmaceuticals. Polyethylene (PE), a key player in this market, is categorized into high-density polyethylene (HDPE), low-density polyethylene (LDPE), and linear low-density polyethylene (LLDPE). The segment's growth is primarily attributed to the increasing adoption of PE in rigid packaging, thanks to its durability and chemical resistance.
- In Vietnam, the surging application of PE in food and beverage packaging, spanning trays, containers, and bottles, stands out as a significant driver of market expansion. Notably, manufacturers, including Alpla Group, are tailoring their offerings to this demand, producing HDPE bottles and jars via extrusion blow molding technology. They focus on food and beverage applications, catering to sauces, spreads, dairy products, juices, and other non-alcoholic beverages.
- Vietnam's thriving cosmetics and personal care sector is significantly boosting the demand for plastic bottles and jars, essential for storing creams, moisturizers, and various liquids. Factors such as rising disposable incomes, shifting beauty standards, and the popularity of organic skincare products propel this market growth.
- Vietnam's industrial production index for plastic products saw a notable uptick in 2023 compared to the prior year. Data from the General Statistics Office (GSO) reveals a rise in the industrial production index of plastic products from 102.4% in 2021 to 112.8% in 2023, underscoring the escalating demand for plastic packaging solutions.
Understand The Key Trends Shaping This Market
Download PDF
Food Segment Expected to Dominate the Market
- Data from the United States Department of Agriculture (USDA) indicates that Vietnamese consumers are becoming increasingly health-conscious and seeking a broader array of food options and flavors available in convenience stores and supermarkets in the country. In 2023, Vietnam's food retail sales reached an estimated USD 68.5 billion, marking an 11.4 percent increase from the previous year, bolstering the demand for plastic packaging solutions.
- Urbanization and changing consumer lifestyles fuel the rise of food delivery services in Vietnam, subsequently increasing the demand for plastic containers, trays, bottles, and other rigid packaging solutions. As reported by the Vietnam Investment Review, a local newspaper, in 2023, Vietnamese consumers spent USD 1.4 billion on online food delivery platforms such as Grab, ShopeeFood, and GoJek, further propelling the market's growth.
- Manufacturers in Vietnam, including Bericap Holding GmbH and ALPLA Werke Alwin Lehner GmbH & Co KG, are concentrating on delivering innovative packaging solutions tailored to the food industry. Their focus is on enhancing product durability, convenience, and shelf life. These companies produce bottles and containers from recycled materials such as PET and HDPE, which are available in various fill volumes, thereby boosting product demand domestically.
- According to the USDA, Vietnam's 2023 imports of consumer-oriented food products approached USD 1 billion, significantly supporting the nation's plastic packaging industry. The robust consumer appetite for premium food products has spurred remarkable growth in the demand for plastic bottles, jars, trays, and containers. China and the United States emerged as the leading exporters to Vietnam, further fueling this market expansion.
