Bulk Container Packaging Market size is set to exceed USD 6 billion by 2024, according to a new research report by Global Market Insights.
According to the report, increasing edible oil export from SEA, particularly Malaysia and Indonesia, is one amongst the major factor propelling the overall bulk container packaging market size over the projected timeframe. For instance, Indonesia exported more than 14 million tons of palm oil in 2007 and reached roughly around 20 million tons in 2013. In addition, more than 30% of the total edible oil exports from Southeast Asia was done through flexitanks owing to its high operational efficiency along with low cost.
Flexitanks tanks are widely preferred by the oil exporters, as it helps in increasing the profit margin, by reducing the operational expenses. Increasing palm oil demand from Europe, India and China will complement the bulk packaging container market size over the estimated period. Furthermore, increasing biofuel production across the globe on account of its environment friendly characteristics along with government support will subsequently boost the product demand for transportation applications. Thereby propelling the global bulk container packaging market size by 2024.
Flexitanks are widely preferred in the foodgrade product such as malts, edible oil and fruit concentrates, beverage and non-hazardous chemicals transportation due to its high efficiency along with superior protection against contamination. These tanks offer value added traits as compared to prevailing substitutes including barrels and drums. It is easily disposable, and hence there is no associated cleaning cost as in the case of tank containers and barrels. This, in turn, diminishes the product contamination risk. In addition, flexitanks can transport over 20 times more quantity of liquid than other substitutes in the same cost. These above mentioned flexitanks features will consequently boost the bulk container packaging market size over the projected timeframe.
Major raw material including PE or PP, used in the bulk container packaging market share are petrochemical derivatives, therefore the industry is influenced by similar price dynamics. Oscillating crude oil price trends is likely to obstruct the global business size over the estimated period. For instance, PP price in 2010 was around USD 0.75/kg and was close to USD 0.90/kg in 2012.
In 2015, flexitank segment was valued close to USD 150 million and is likely to observe highest gains by 2024. Superior and value added product characteristics makes the product suitable in transportation of fruit juices, edible oil, beer and wine. For instance, these tanks offer minimum food grade product contamination threats.
In 2015, FIBC (flexible intermediate bulk container) led the overall bulk container packaging market size in 2015. FIBC is broadly used in the transportation of polymers, building materials, chemicals and detergents.
In 2015, food grade & beverage application was valued roughly around USD 900 million. Growing population has substantially increased the food demand in massive volume along with low prices. This has positively influenced the food grade & beverage trade across the globe and thus will push the bulk container packaging market size by 2024. Bulk container packaging market size for chemicals will observe growth more than 10% by 2024.
In 2015, North America accounted for the largest chunk in the bulk container packaging market. The region is the major exporter corn, soybean, oilseeds and feeds and therefore has enormous product demand. However, Asia Pacific, mainly led by India and China, will observe highest growth close to 11% by 2024.
In 2015, bulk container packaging market size was extremely consolidated with top three companies holding over 50% of the industry share. BLT Flexitank Industrial, MY Flexitank (MYF), SIA Flexitanks and Braid Logistics are few key industry players.