Four key drivers in corrugated packaging

Photo: Richard Wheeler
Photo: Richard Wheeler

Smithers Pira, a worldwide consultancy firm on the packaging, paper and print industry supply chains, has published an report of the key drivers and trends in corrugated packaging.

The corrugated segment of the packaging industry is growing rapidly. Demand for corrugated packaging material is expected to increase by an average of more than 4% annually over the next five years, and will amount to almost 115 million tonnes of converted material worth an estimated $176 billion by 2019.

There are a number of issues driving the growing demand for corrugated packaging materials. In this new and exclusive bulletin, Smithers Pira examines the top four trends in the corrugated packaging sector.

1.) Environmental Issues

The development of innovative designs and reductions in paper grammages are being driven by increasingly demanding environmental and sustainability requirements.

2.) Lightweighting vs. Heavyweighting

Average substance weights continue to show reductions as producers look to improve yields as far as possible. This is driven by the need to reduce overall packaging weight and reduce transport costs. Much of the new capacity being brought into the market is focused on lightweight containerboards of 70-160gsm, especially in the new Chinese machines.

3.) Internet Shopping

Internet shopping as a trend continues to expand rapidly, and is fuelled by the increasing use of smartphones and tech-savvy customers. This represents an opportunity for brand owners to introduce two different packaging types, one geared to traditional store display, featuring high quality graphics, and one designed for internet sale.

4.) Printing

The fact that internet shopping is reducing the need for high quality printed secondary packs is being offset by the growing demand for RRP (retail ready packaging), point of sale displays and merchandising units. These items are under pressure to provide the shelf appeal and brand exposure that brand owners are looking for.