Wednesday 27 August 2008
Produce packaging on the rise
Demand for produce packaging in the US is forecast to climb 4.2 per cent yearly to $4.7 billion in 2012 according to research by US-based company the Freedonia Group.
Accelerated produce production will boost packaging unit advances, though value gains will decelerate as prices rise more slowly than in the 2002-2007 period.
Growth will outpace overall food packaging and be fueled by increased produce production, growth in consumer spending, trends toward healthier eating and rising demand for fresh-cut produce, which tends to use more value-added packaging than bulk produce.
These and other trends are presented in Produce Packaging, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.
Corrugated boxes will remain the leading produce packaging product type through 2012.
While box demand will increase at a slower than average pace, advances will be driven by the expanded prevalence of more costly box types such as modular boxes, white-top linerboard boxes and moisture-resistant recyclable boxes.
Plastic containers will experience the fastest gains, resulting from continued favorable increases in berry production and expanding applications for clamshells, bowls and other plastic containers in other produce uses, especially ready-to-eat, freshcut produce.
Bag and liner demand is expected to increase nearly in line with the overall produce packaging average, decelerating from the 2002-2007 pace as the salad market becomes more mature.
Still, advances will be aided by continued volume increases for bagged salads and other ready-to-eat produce, which are primarily packaged in plastic bags, with many products using value-added modified atmosphere packaging films to prolong shelf life.
Among major applications, salad will remain the fastest-growing segment of the market, though growth will decelerate from the pace of the past decade as retail bagged salads become more mature.
Solid prospects for retail single-serving salads and salad kits, which tend to use more costly packaging such as clamshells or bowls, will fuel packaging gains.
Fruit uses will slightly outpace the produce packaging average, aided by a rebound in citrus production, along with robust growth for fresh-cut fruit, which is gaining a wider presence in both retail and foodservice markets.
For further details, please contact pr@freedoniagroup.com.
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