The global glass packaging market size was estimated at USD 48.97 billion in 2013, growing at a CAGR of 4.5% from 2014 to 2020. Rising demand for alcoholic beverages along with a rapid increase in the beer industry in Eastern Europe and the Asia Pacific is expected to augment market growth over the forecast period.
The global market is highly fragmented in nature owing to the presence of numerous small- and medium-sized companies. Besides, ongoing product innovation and technological advancements to make glass bottles lighter, thereby reducing the energy required to produce and transport them are expected to generate growth opportunities in the future.
Growing consumption of glass packaging in pharmaceuticals along with the food & beverage sector on account of its non-corrosive nature is expected to drive the demand. Besides, various properties including recyclability, non-permeability, and zero rates of chemical interaction make it suitable as a packaging material for various applications including beer, soft drinks, beverages, and medical.
Increasing consumer health awareness along with high living standards will increase glass demand in pharmaceutical packaging. Glass being eco-friendly along with numerous ongoing R&D to develop packaging, which is 50% lighter as compared to traditional forms, is expected to witness immense potential over the projected period.
Plastic bottles and metal cans can be used as substitutes to glass on account of their lightweight and low cost. Growing demand for plastic bottles and metal cans in chemicals, perfumes, and aerosols is expected to restrain the industry demand. Rising consumer awareness towards hygienic packaging in the food & beverage sector is likely to open new avenues over the forecast period.
Developing the healthcare sector for pharmaceutical storage on account of sterility and reusability is expected to augment industry demand across the globe. Also, increasing the use of glass packaging in the food industry owing to durability is expected to offer lucrative opportunities for new market players in the upcoming years.
Alcoholic beverages (excluding beer) segment emerged as a dominant application in 2013, accounting for 44.9% of the total revenue share and is expected to continue its dominance over the forecast period. This can be attributed to aesthetic appeal offered by the glass in comparison to plastic.
Beer was the second largest application that accounted for 21.6% of the revenue share in 2013 and is expected to grow at a substantial rate over the projected period. The segment is expected to gain momentum owing to rising demand from the younger generation, particularly in Eastern Europe and the Asia Pacific.
Also, the availability of various shapes, colors, and graphics in beer packaging is expected to be a major factor responsible for the high growth rate. Whereas, rising demand for an alcoholic beverage in various countries including India, China, Brazil, Germany, and the U.S. is likely to stimulate industrial growth.
The pharmaceutical segment is expected to witness the fastest growth rate over the projected period owing to its non-toxicity and reusability. Moreover, expanding the pharmaceutical sector in the U.S., Canada, Brazil, India, China, and Saudi Arabia will boost industry growth. The food & beverage sector is expected to reduce its share as a result of increasing demand for flexible packaging including paper and plastics.
The Asia Pacific emerged as a dominant leader in 2013 and accounted for 37.2% of the total industry revenue. The regional market is expected to grow owing to the accelerating use of glass in various end-use industries including food & beverages, pharmaceuticals, and alcoholic beverages in China and India. Also, the high availability of raw materials including silica is expected to propel industry growth.
The glass packaging industry in the Asia Pacific region is majorly dominated by India and China on account of the presence of a huge consumer base in these countries. The growth of the industry in this region is attributed to the rising demand for beverages and a rising urban population. Globally, China is a major consumer for glass packaging products in this region.
Europe was the second largest region that accounted for 31.9% of the total revenue share in 2013. The factor attributable to high market growth includes the expansion of the beer industry across France and Germany. Also, the high consumption of glass packaging in Russia and Turkey is further expected to stimulate growth.
North America is expected to show high growth in pharmaceutical packaging on account of technological advancements along with a high manufacturing base in this region. Saudi Arabia is expected to witness immense growth potential on account of the growing pharmaceutical industry over the forecast period.
Owens Illinois Inc., Saint-Gobain, Ardagh, Gerresheimer, and Vetropack dominated the global glass packaging market share in 2013 accounting for over 33%. Other participants include Amcor, Nihon Yamamura, Tamron Co., Ltd., and Piramal Glass Limited. Various players have to comply with the FDA, the EU, and the U.S. EPA regulations regarding manufacturing, usage, and disposal of glass.
Companies offer packaging for numerous applications including beer, wine, spirits, non-alcoholic beverages, food, chemicals, pharmaceuticals, food, and cosmetics. Owens Illinois Inc. offers transparency and purity with packaging options across a broad array of sizes, shapes, and colors, which improve the image of beverage products, including juice, soda, juice, ready-to-drink coffees, milk, and bottled water.
The base year for estimation
Actual estimates/Historical data
2012 to 2013
2014 - 2020
Volume in Kilotons, Revenue in USD Million, and CAGR from 2014 to 2020
North America, Europe, Asia Pacific, Rest of the World (RoW)
Volume and Revenue Forecast, company share, competitive landscape, growth factors, and trends
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