According to a research report released by Transparency Market Research, a lot of the players in the global industrial packaging market are currently focusing on product innovation and the development of modern packaging methods such as flexible packaging. Leading players based in North America and/or Europe are showing a keen interest in Asia Pacific as well, citing its booming growth rate in industrial activities as a fruitful opportunity to increase sales. The global industrial packaging market is expected to reach US$53.03 billion by the end of 2016. After expanding in terms of revenue at a CAGR of 4.1% within a forecast period from 2016 to 2024, the global industrial packaging market is expected to reach US$73.25 billion in 2024.
Growth in Manufacturing Sector Bodes Well for Global Industrial Packaging Market
"The manufacturing sector is easily the leading end user of the global industrial packaging market. The sheer size of the share held by the manufacturing sector within the global industrial packaging market is an essential influential factor on the market's overall rate of development. The performance of the manufacturing sector will end up determining a majority of the rate of growth in demand for industrial packaging and will affect a large number of manufacturers in it. Therefore, the recent positive state of growth shown by this sector - especially in the Asia Pacific region - is extremely good news for the manufacturers of industrial packaging," states a TMR analyst.
Another key driver of the global industrial packaging market is the growing use of high-value containers. There is a very favorable rate of adoption of the latest innovations in packaging by clients trying to stay ahead of the curve, further encouraging players in the global industrial packaging market to increase their investments in research and development. The growing demand for use of flexible packaging and green packaging are allowing a lot of players to expand their client pools, thus expanding the global industrial packaging market in general.
Lack of Communication across Distribution Chain Hampers Global Industrial Packaging Market
Players in the global industrial packaging market lie at least two or three nodes away from their clients in several end-user industries. Examples of this would be the industries of pharmaceuticals and chemicals, where lies a large gap in communication between the manufacturers of industrial packaging and the customers that are demanding it. As a result, very few - if any - communication is carried on between the customer and the developers directly. This reduces the rate of development and the overall mobility of the global industrial packaging market by a long mile.
"Players from the global industrial packaging market would therefore benefit vastly by incorporating vendor-managed inventory programs queued with supplies from a strategic growth-oriented perspective," adds the analyst.