World demand for bulk packaging is forecast to increase by 5.0% annually up to 2018, when it will reach USD 59.2 bn. This projection represents a higher rate than the 3.2% recorded in the 2008 to 2013 period, when growth in demand was particularly sluggish in developed markets around the world, especially Japan and western Europe, says market researcher Freedonia (Cleveland, Ohio / USA; www.freedoniagroup.com) in its recent report “World bulk packaging”.

Accelerating growth in global manufacturing activity will be the primary driver of demand gains, the researcher said. The fastest gains will be in developing regions such as the Africa/Middle East (6.7%), Asia Pacific (6.4%) and Central and South America countries (6.1%). According to Freedonia analyst Mike Richardson: “India and Indonesia will be among the fastest growing national markets. Growth in China’s manufacturing sector is beginning to decelerate after a few decades of world-leading growth – but advances in bulk packaging demand in China will still be among the world’s fastest.”

In developed markets, advances will be more modest, the report says. In the US, gains will be driven by increased demand in food and chemical applications, as growth in both food and beverage processing and chemical and pharmaceutical production are expected to accelerate. These same developments are expected to drive demand in western Europe and Japan, though gains will be slower as the manufacturing slump in these areas has been more enduring and the recovery is expected to be less aggressive.

Flexible bulk packaging is forecast to record slightly faster growth than rigid packaging. Gains in flexible bulk packaging will be led by film wrap and flexible intermediate bulk containers (FIBCs). Film wrap is expected to post healthy gains thanks to its increased use in securing pallets and other packaging formats during shipment, and the growing use of film to bundle bulk and multipack items in retail facilities such as warehouse-style stores.

The report says that FIBCs will register strong advances due to the advantages they offer in terms of efficiency, loading and unloading products, and their ability to handle greater quantities of product per container. Rigid intermediate bulk containers (RIBCs) and material handling containers are projected to record faster growth than more established drums and pails. Drums will remain the largest rigid bulk packaging product type, even as they lose market share to FIBCs and competitive rigid formats.