Recent Developments and Trends in the Bag-in-Box Container Industry
Bag-in-Box Container Market Trends and Recent Developments
COVID-19 pandemic has caused a global slowdown in the manufacturing, production and processing of plastics. This has resulted in global decline in manufacturing of Bag-in-box containers.
Alcoholic beverages are observing increasing consumption, especially in developed countries. Among this, wine industry is proving to be major consumer of the Bag-in-box containers. Seemingly upward growth of the alcoholic beverages will boost the demand in the bag-in-box container industry in the coming years.
Urban population is growing day-by-day in today’s world. This has led to increase in the demand for hygiene products among them. This has resulted in growing demand for bag-in-box containers as hygiene products are increasingly using bag-in-box containers to cater to their customers.
Asia Pacific is expected to be the fastest growing region in the world. Growing food and beverage market in Asia Pacific is expected to have a positive impact on the bag-in-box container industry growth. Along with this, the growing industrialization and urbanization in the countries like China, India among others is boosting the regional market.
In 2018, Smurfit Kappa Bag-in-Box developed the Thermo Bag to meet the specifications of hot filling which is a commonly used processing method in the drinks industry. The product, in the hot filling process, is pressed, filtered, pasteurized, heated and filled at a high temperature to facilitate sterilization and then immediately cooled for preservation and taste. This process extends shelf life, removes any harmful microorganisms, reduces costs and simplifies the process.
In June 2018, Smurfit Kappa purchased the Netherlands-based paper and recycling business for €460 million.
The acquisition of Reparenco will strengthen SKG’s integrated business model and adds 405,000 tonnes of recycled containerboard capacity to their system.
In June 2019, DS Smith Plc, a leading international packaging business, announced the acquisition of Creo Retail Marketing Ltd (“Creo”), a specialist in point of sale and display products and services for in-store marketing. Creo’s primary focus is on FMCG, retail and media markets and significantly builds on DS Smith’s capability within the UK market. This investment in display further enhances DS Smith Plc’s leading customer offering in this important and growing market segment.
On Feb 27, 2020, Liquibox, a portfolio company of Olympus Partners, has completed the acquisition of DS Smith plc’s Plastics Division. The acquired division includes both rigid and flexible packaging businesses. The combined companies will have 35 manufacturing facilities and a global workforce of nearly 3,000 employees. The acquired division’s flexible packaging and Worldwide Dispensers businesses will be consolidated into the Liquibox brand. The consolidation brings together two strong management teams and skilled workforces to help the company realize a shared vision and purpose — One Liquibox. As a global leader in liquid packaging and dispensing, Liquibox will be dedicated to servicing customers through a commitment to quality, sustainability, partnership and innovation.
Access full research report on global bag-in-box container market: