The global packaging wax market size was estimated at USD 2.23 billion in 2017. It is estimated to witness a CAGR of 3.1% over the forecast years. Packaging wax is used in the production of folding cartons, corrugated containers, bottles, cans, jars, tubes, drums, wrapper, pouch, label, sack, and bag. It offers improved rigidity, stacking and dry strength, and prevention against ply separation. This factor is projected to spur product demand in the coming years.
In flexible packaging, paraffin wax blends easily with other additives including UV stabilizers, antioxidants, and antimicrobial to provide freshness seals, grease barriers, gloss, and moisture resistance to F&B products. Paper waxes act as barriers to odor and gas to prevent the contamination and/or loss of flavor and offer properties, such as water resistance. These factors are projected to spur the overall market growth over the upcoming years. Continuing further, the products are used to seal the packaging material and provide an aesthetic appeal by increasing the gloss of the printed card or paper.
Most materials are based on paraffin wax; however, the use of natural and synthetic waxes, such as Fischer-Tropsch and polyethylene, has shown significant improvements in the packaging formulation. The Middle East and Europe regions are among the largest manufacturers and consumers of petroleum and mineral waxes. This is primarily due to the strong presence of end-user industries in these regions. Asia Pacific is presumed to witness substantial growth owing to low operational, labor, and raw material costs.
The market share and supply of the product are expected to be dynamic in nature owing to changes in the global petroleum industry; which, in turn, is likely to impact the pricing and supply of petroleum-derived waxes. Similarly, natural gas and crude oil price changes are anticipated to the impact of synthetic wax capacity. In addition, agricultural commodity prices are projected to impact the production of natural waxes.
On the basis of product, the market has been divided into mineral, synthetic, and natural waxes. The mineral product segment held around 70.0% of the overall industry share in terms of volume in 2017. The segment is further classified into petrolatum, paraffin, and microcrystalline waxes. Major manufacturers include Hebei Banner Chemicals Co., Ltd.; Omnova Solutions, Inc.; and Stevenson-Cooper, Inc. The consumption of mineral wax is anticipated to show high growth as a result of its application in flexible packing, including label, wrapper, bag, pouch, and sack.
Furthermore, growing usage of paraffin wax in the packaging of personal care goods, such as hair care, moisturizers, creams, and balms, is projected to drive the product demand over the next few years. The synthetic product segment is categorized into GTL, Fischer-Tropsch, polyethylene, montan, and polyolefin waxes. The product is likely to witness significant growth in the upcoming years. This growth is attributed to increasing application in glass and metal packaging industry due to their superior protection and longevity as compared to mineral and natural counterparts.
Food & beverages, pharmaceutical, furniture, and personal care are the key application areas in the global packaging wax market. In 2017, the F&B segment held just over 58.0% of the global market. Rising consumption of semi-rigid packaging materials, such as food cans, is anticipated to propel the product demand in this segment.
The food industry uses aluminum grades in applications including smooth wall containers and pet food cans as they offer enhanced mechanical properties and high-quality surface facilitating the application of labels or paints. These factors, in turn, are anticipated to drive the product demand in F&B. The personal care segment is also likely to have a considerable growth. It is attributed to growing product usage in the packaging of mascara, eyebrow pencils, lipsticks, and so on due to properties, such as specific dimensional tolerances, high-luster finish, and optimal drawing finishes.
On the basis of packaging type, the industry is segmented into flexible, semi-rigid, and rigid. In 2017, flexible segment led the. The flexible material prompts pre-cycling benefits of their packaged materials, in which it helps enhances the product safety and moisture barrier and sustains freshness.
Films, paper, and aluminum-based materials form a significant part of flexible packing. These materials are economically viable and resilient in nature than metal, plastic, and glass materials. Rising demand for paraffin, Fischer-Tropsch, and microcrystalline waxes owing to their utilization in the coating, laminating, and impregnating paper and paper board is likely to augment the segment growth.
The semi-rigid segment is also likely to have significant growth over the forecast period. The demand for aluminum, one of the significant constituents of the semi-rigid category, is anticipated to exhibit a high growth owing to its ability to manufacture multi or single compartment packaging, such as lined carton, in several proportions and shapes.
Europe is home to major companies including Evonik Industries AG, BP P.L.C., BASF SE, and Royal Dutch Shell Plc. The presence of major personal care product manufacturers, such as Estée Lauder Cos Inc. and Procter & Gamble Co., in Europe, will further augment the market growth in the coming years. Moreover, extensive R&D for the development of advanced and innovative personal care goods is also expected to spur product demand over the forecast period.
India is one of the fastest-growing economies in the Asia Pacific regional market with a substantial percentage of the population without access to safe and affordable medical assistance. Thus, major government rollouts to improve public health infrastructure is projected to have a positive impact on the demand for medical devices, thereby fueling the consumption of the product in the packaging of these devices.
Major companies use market strategies, such as joint ventures, M&A, and diversification of distribution channels, to enhance the industry share and strengthen the position. These firms also aim at establishing strategic partnerships with buyers to build new and customized materials, which is anticipated to remain a critical success factor for them. Rising number of end-user applications is considered a key opportunity for market entrants to reach a significant position in the global industry. Some of the key companies in the global market are Mitsui Chemicals; Royal Dutch Shell Plc; Dow Corning Corporation; Honeywell International, Inc.; Evonik Industries AG; Sasol NA Limited; and Baker Hughes, Inc.
Base year for estimation
Actual estimates/Historical data
2014 - 2016
2018 - 2025
Volume in Kilotons, Revenue in USD Million & CAGR from 2017 to 2025
North America, Europe, Asia Pacific, Central & South America, and MEA
Revenue forecast, company share, competitive landscape, growth factors and trends
U.S., Canada, Germany, U.K., Netherlands, China, India, and Brazil
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This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global packaging wax market report on the basis of product, packaging type, application, and region:
Product Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
Packaging Type Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
Application Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
Food & Beverage
Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)
Central & South America
Middle East & Africa
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