Polyolefin Shrink Film Market Size, Share & Trends Analysis Report By Product (General, Cross-linked), By Application (Food, Beverage, Industrial Packaging, Pharmaceuticals, Consumer Goods), By Region, And Segment Forecasts, 2018 - 2025

Report Overview

The global polyolefin (POF) shrink film market size was valued at USD 4.50 billion in 2016. The increasing penetration of the product in the food, consumer goods, industrial packaging, pharmaceuticals, and beverage application owing to the improved characteristics of the product is expected to drive demand over the forecast period.

The market is expected to witness significant growth owing to the increasing technological innovations and improved formulations about the product. Innovative cross-link technology provides the product with high tensile strength, durable heat sealing, and enhanced shrink ability which is expected to be a key aspect driving the market growth.

The U.S. cross-linked shrink film accounted for over 78.0% of the overall revenue share in 2016. Higher shrinkage as compared to its counterpart and improved durability fit for sharp corners or edges of the product are expected to drive demand for the product over the forecast period. Also, enhanced impact resistance is likely to have a positive impact on market growth.

Constant R&D in the industry with regards to improving the physical properties, aesthetic features, and processing durability is expected to augment the adoption of the product in application industries. Also, higher resistance to temperature fluctuations enhanced seal quality, and high tear resistance during the packaging is likely to complement growth.

High clarity and excellent print capabilities of the films have improved product marketability and increased the use of the product in labels. The consumer goods industry widely uses printed packaging films to advertise their products, which is likely to propel the growth of the product in application industries.

The companies in the industry are highly competitive and compete based on the quality of the product manufactured and in terms of regional expansion. Widespread distribution channels of the major players benefit the company in catering to the global industry and provide optimum quality services to its customers.

Polyolefin Shrink Film Market Trends

Owing to the physical and chemical properties such as availability, clarities, variety of thickness, strength, and shrink ratio polyolefin is preferred over the shrink firms made by other substances. Due to the various applications of these shrink films in the food and beverages industry, the demand for polyolefin shrink films is increasing. These films can also be molded into various shapes and sizes for different purposes such as storage, transportation of edible items, and packaging, owing to these various characteristics of the product driving the market.

The polyolefin films are approved by Food and Drug Administration for direct food contact, therefore, these are used for wrapping edible and non-edible items. Polyolefins are popular due to their low odor after sealing, greater flexibility, and higher seal strength. These factors are responsible to drive the shrink film market.

The alternatives available for the plastic are expected to be major factors hindering the growth of the polyolefin shrink films market. The cost of shrink plastic films and the cost associated with the tools used for it is much more than the regular plastic films used for packaging, this limits the demand for the shrink film. The growing environmental awareness is expected to create a large number of opportunities for the biodegradable shrink film market.

Product Insights

General POF shrink films have good optical properties and high & balanced TD/MD shrinkage which is in the range of 40% to 70%. The product offers low to medium stiffness at a lower cost as compared to its counterpart. As a result, the product dominates the market in developing countries including Brazil, India, and China.

Cross-linked shrink film permits a lower amount of residue on sealers and promotes longer sealing blade life offering enhanced clarity to display packaged products. As a result, the product finds applications in the packaging of business cards, baked goods, light uniform products, toys, and crafts.

The cross-linked POF films offer various advantages over standard films including total protection, hygiene, instant identification, prolonged shelf life, which is expected to propel the growth of cross-linked POF shrink film market. North America is the mature market with cross-linked POF films contributing to over 70% of the revenue share.

Application Insights

The POF shrink film is used in several application industries including food, beverage, industrial packaging, pharmaceuticals, and consumer goods. Besides, it finds applications in cosmetics & toiletries, multimedia, packaging of toys & sporting goods, and promotional items. Increasing the use of the product in the food industry is expected to drive demand.

There is a high demand for fresh produce, and ready-to-eat products among the consumers are developed and developing economies. As POF packaging is widely used for food packaging, the demand for the product is expected to grow in fresh and packaged food applications over the forecast period.

Industrial packaging is expected to grow at a CAGR of 5.9% in terms of revenue on account of the growing demand from the construction and automotive industries. Tidy, durable, and waterproof packaging solution offered by the POF films is expected to propel the product demand in industrial packaging applications over the forecast period.

Regional Insights

The industry in the Asia Pacific is driven by the increased demand for the product in packaged foods, and consumer goods in emerging economies including China, which accounts for majority revenue share in the region. Growing penetration of the product in the construction industry is expected to have a positive impact on market growth.

North America accounted for 23.5% of the revenue share in 2016. Increasing demand the product for various consumer goods packaging such as toys, furniture, recreational boats, sporting goods, musical instruments, and home appliances is expected to drive the market for POF films over the forecast period.

The rapid growth of medical and pharmaceutical industries in developed economies of Europe is expected to propel the demand for pharmaceutical products. Besides, increasing penetration of polyolefin (POF) shrink films in the pharmaceutical packaging is expected to drive the demand for the product market over the projected period.

Key Companies And Market Share Insights

The companies invest in R&D projects to enhance the formulations of polyolefin films. Established players including Sealed Air Corporation compete in terms of innovation, new product development abilities, and offering high-performance packaging solutions.

Recent Developments

• In April 2022, Amcor, a global leader in packaging solutions announced an investment to expand its medical packaging capabilities in Europe. This will strengthen Amcor’s leadership in the growing industry of sterile packaging

• In February 2022, Sealed Air, a packaging solutions provider, acquired Foxpak Flexibles Ltd., an Irish packaging solution company. This acquisition is based on the commitment to invest in disruptive technologies and business models to accelerate growth

• In May 2021, Amcor launches its first designed to be recycled packaging for powdered chocolate in South America. Amcor has taken another step toward its objective of providing more sustainable packaging solutions with this launch.

Players in the industry compete based on improved cross-linking technology for food and display applications. The industry constitutes a large number of small-scale industry players catering to the local market. However, the major players target developing economies in search of potential markets.

Polyolefin Shrink Film Report Scope

Global Polyolefin Shrink Film Market Segmentation

This report forecasts revenue growth at global, regional & country levels and provides an analysis of the industry trends in each of the sub-segments from 2014 to 2025. For this study, Grand View Research has segmented the global polyolefin (POF) shrink film market based on the product, application, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • General

  • Cross-linked

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Food

  • Beverage

  • Industrial packaging

  • Pharmaceuticals

  • Consumer goods

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • North America

    • The U.S.

  • Europe

    • Germany

    • UK

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

    • Brazil

  • Middle East & Africa