David Savastano, Editor01.21.20
Years ago, folding cartons were the primary means of packaging found in the supermarket. For a variety of reasons, flexible packaging has made significant gains in food packaging over the years. However, as concerns over the merits of single-use packaging have come forward, some brand owners are looking for alternatives, and a return to folding cartons is one option.
In its report, “The Future of Folding Cartons to 2024,” Smithers placed the global folding carton market at $110 billion, forecasting it to grow to $150 billion by 2024.
“Shareholders are demanding more sustainable packaging, and many companies and corporations have begun recognizing that sustainable business practices can improve financial performance,” Smithers reported.
According to Mordor Intelligence’s recent report, “Folding Carton Packaging Market – Growth, Trends and Forecast (2019-2024), the worldwide folding carton market was valued at $117.13 billion in 2018, with 4.4% CAGR forecast over the next five years.
Ink manufacturers are seconding these findings.
“The carton market has grown steadily year on year on average by 2%,” said Tyler Newsom, product manager, sheetfed North America for Flint Group. “This has translated into growth for sheetfed packaging inks.”
Todd Dragoo, offset/digital technical director for INX International Ink Co., noted that a small increase in offset sheetfed ink folding carton was noted at the last NPIRI meeting.
“I believe most have been through increased use of energy curable ink systems,” Dragoo said. “Consolidation of the print market is occurring as we lost some printing companies during this period of time. Printers continue to invest in equipment that brings added efficiencies to their printing operations, and increasing outputs on these new printing presses allow other equipment to be sold off.”
“In the past five years we have seen new capital investments being made in the sheetfed offset market, but I’m not certain it is comparable to the rate of installations a decade ago,” noted John Pettus, Wikoff Color’s director, corporate sales and marketing.
“The sheetfed ink market, in general, has slowly decreased,” Josef Sutter, hubergroup’s product management Packaging Inks Offset Europe reported. “The packaging market, however, remained solid. In this segment, we even noticed a small growth.”
Energy curing is one area of growth for sheetfed packaging. Dragoo pointed to UV LED in particular as a growing segment.
“We at Flint Group are seeing growth in UV/energy curable products with a focus on the specialty, pharma and luxury brand products,” said Trevor Amps, commercial/technical director UV at Flint Group.
“UV curing is a growing segment of the packaging sheetfed market but not as much as many expected,” Sutter added. “But conventional inks do still own the market majority.”
Environmental Issues
Environmental drivers are leading to a resurgence of interest in folding cartons, with ink companies reporting more interest from customers.
“There has been no decline in folding cartons; both folded cartons and plastic packaging occupy their own space. As in many cases, the print application is linked directly to the functionality and end-use of the packaging,” said Amps. “Due to the environmental awareness in relation to plastic waste, we have recently received inquiries and questions with a heavy focus on sustainability, bio-degradability and microplastics, as well as paper alternatives for traditionally plastic products, for example, paper cups, drinking straws, etc.”
“I believe that package designers are looking at reduced waste in their packaging designs overall,” Dragoo said. “It’s not just materials used but the construction of new package designs, so I believe this to be true although I have no concrete evidence this has happened.”
“I have not seen any recent market reports to suggest a shift from plastic to paperboard that will impact market share percentages; however, there have been a lot of conversations surrounding that topic,” said Pettus. “No smoke without fire, right? We’ll see how the market responds.”
“In Central Europe, there has always been a big market for folding cartons,” Sutter noted. “Since the concerns of using plastic have come up, the awareness from the packaging industry on this topic has grown again for sure. But brand owners rarely change their packaging design when a product is already established as a known brand. But companies consider intensely the topic folding cartons vs plastic packaging for sure when they launch a new product.”
Commercial Printers Migrate to Packaging
Another driver for change has been the slump in commercial sheetfed printing. This has led quite a few commercial printers to look for ways to use their presses, and folding cartons are one clear example. For example, Pettus reported that there is a movement towards packaging from commercial printers.
“Some decline in the general sheetfed commercial market has led to clients looking to utilize their current presses and resources to move into packaging, albeit this has mainly been in the non-food sector,” Newsom reported. “CPS has continued to support our valued customers with technical advice and guidance on the potential transition into packaging.”
“We don’t see many commercial printers moving into packaging,” Sutter noted. “Why is that? The packaging industry needs special technology. The effort and investment for commercial printers would be massive to set up change. That’s why just a few established commercial printers try to move in that business.”
Outlook for Sheetfed Packaging
Consolidation is a key trend heading into 2020.
“I believe current trends will continue with mergers and acquisitions of printers,” said Dragoo. “There will likely be further consolidation of ink manufacturers as more manufacturers push to offshore their products. I also see a continued tightening of regulatory requirements and chemicals of concern.”
“We expect further consolidation in the sheetfed packaging industry and an ever-changing landscape, with a focus on sustainability and reinvention in the way packaging is consumed,” Newson noted.
“We expect that the packaging market in Europe and the United States will grow slowly in the coming years,” Sutter observed. “The expected growth rate for Asia and Africa are higher due to the lower maturity of the markets.”
In its report, “The Future of Folding Cartons to 2024,” Smithers placed the global folding carton market at $110 billion, forecasting it to grow to $150 billion by 2024.
“Shareholders are demanding more sustainable packaging, and many companies and corporations have begun recognizing that sustainable business practices can improve financial performance,” Smithers reported.
According to Mordor Intelligence’s recent report, “Folding Carton Packaging Market – Growth, Trends and Forecast (2019-2024), the worldwide folding carton market was valued at $117.13 billion in 2018, with 4.4% CAGR forecast over the next five years.
Ink manufacturers are seconding these findings.
“The carton market has grown steadily year on year on average by 2%,” said Tyler Newsom, product manager, sheetfed North America for Flint Group. “This has translated into growth for sheetfed packaging inks.”
Todd Dragoo, offset/digital technical director for INX International Ink Co., noted that a small increase in offset sheetfed ink folding carton was noted at the last NPIRI meeting.
“I believe most have been through increased use of energy curable ink systems,” Dragoo said. “Consolidation of the print market is occurring as we lost some printing companies during this period of time. Printers continue to invest in equipment that brings added efficiencies to their printing operations, and increasing outputs on these new printing presses allow other equipment to be sold off.”
“In the past five years we have seen new capital investments being made in the sheetfed offset market, but I’m not certain it is comparable to the rate of installations a decade ago,” noted John Pettus, Wikoff Color’s director, corporate sales and marketing.
“The sheetfed ink market, in general, has slowly decreased,” Josef Sutter, hubergroup’s product management Packaging Inks Offset Europe reported. “The packaging market, however, remained solid. In this segment, we even noticed a small growth.”
Energy curing is one area of growth for sheetfed packaging. Dragoo pointed to UV LED in particular as a growing segment.
“We at Flint Group are seeing growth in UV/energy curable products with a focus on the specialty, pharma and luxury brand products,” said Trevor Amps, commercial/technical director UV at Flint Group.
“UV curing is a growing segment of the packaging sheetfed market but not as much as many expected,” Sutter added. “But conventional inks do still own the market majority.”
Environmental Issues
Environmental drivers are leading to a resurgence of interest in folding cartons, with ink companies reporting more interest from customers.
“There has been no decline in folding cartons; both folded cartons and plastic packaging occupy their own space. As in many cases, the print application is linked directly to the functionality and end-use of the packaging,” said Amps. “Due to the environmental awareness in relation to plastic waste, we have recently received inquiries and questions with a heavy focus on sustainability, bio-degradability and microplastics, as well as paper alternatives for traditionally plastic products, for example, paper cups, drinking straws, etc.”
“I believe that package designers are looking at reduced waste in their packaging designs overall,” Dragoo said. “It’s not just materials used but the construction of new package designs, so I believe this to be true although I have no concrete evidence this has happened.”
“I have not seen any recent market reports to suggest a shift from plastic to paperboard that will impact market share percentages; however, there have been a lot of conversations surrounding that topic,” said Pettus. “No smoke without fire, right? We’ll see how the market responds.”
“In Central Europe, there has always been a big market for folding cartons,” Sutter noted. “Since the concerns of using plastic have come up, the awareness from the packaging industry on this topic has grown again for sure. But brand owners rarely change their packaging design when a product is already established as a known brand. But companies consider intensely the topic folding cartons vs plastic packaging for sure when they launch a new product.”
Commercial Printers Migrate to Packaging
Another driver for change has been the slump in commercial sheetfed printing. This has led quite a few commercial printers to look for ways to use their presses, and folding cartons are one clear example. For example, Pettus reported that there is a movement towards packaging from commercial printers.
“Some decline in the general sheetfed commercial market has led to clients looking to utilize their current presses and resources to move into packaging, albeit this has mainly been in the non-food sector,” Newsom reported. “CPS has continued to support our valued customers with technical advice and guidance on the potential transition into packaging.”
“We don’t see many commercial printers moving into packaging,” Sutter noted. “Why is that? The packaging industry needs special technology. The effort and investment for commercial printers would be massive to set up change. That’s why just a few established commercial printers try to move in that business.”
Outlook for Sheetfed Packaging
Consolidation is a key trend heading into 2020.
“I believe current trends will continue with mergers and acquisitions of printers,” said Dragoo. “There will likely be further consolidation of ink manufacturers as more manufacturers push to offshore their products. I also see a continued tightening of regulatory requirements and chemicals of concern.”
“We expect further consolidation in the sheetfed packaging industry and an ever-changing landscape, with a focus on sustainability and reinvention in the way packaging is consumed,” Newson noted.
“We expect that the packaging market in Europe and the United States will grow slowly in the coming years,” Sutter observed. “The expected growth rate for Asia and Africa are higher due to the lower maturity of the markets.”