Caps and closures market to reach $81.33bn by 2031
The global caps and closures market is expected to reach $81.33 billion by 2031, according to a new report by Allied Market Research.
The industry accounted for $46.15 billion in 2020 and it is expected to grow at a CAGR of 4.9% over the growth period.
Major determinants of the market growth
Rise in demand for plastic caps and closures for food & beverages and rise in competition and adoption of high-tech enlargement, plastic cups, and closures drive the growth of the global caps and closures market. However, adverse effects of use of plastic hinder the market growth.
On the contrary, government support to promote go-green projects would open new opportunities.
- The Covid-19 outbreak disrupted the supply chain in the food & beverage industry. Moreover, lockdown and strict regulations on social distancing hindered the manufacturing of caps and closures and impacted the procurement of raw materials.
- The pandemic presented several challenges such as safety, crisis management, re-forming business models, and other unintended consequences.
The screw closures segment dominated the market growth
By product type, the screw closures segment held the largest share in 2020, accounting for more than one-fifths of the caps and closures market, due to its wide use in beverage cans, canned liquid foods, and pulp fruit drinks.
However, the easy-open can end segment is expected to manifest the highest CAGR of 6.9% during the forecast period, due to rise in demand for food & beverage cans with open end for easy accessibility.
The dairy product segment to manifest the highest CAGR through 2030
By application, the dairy product segment is projected to register the highest CAGR of 5.9% during the forecast period.
In addition, the segment held the largest share in 2020, contributing to nearly one-fifths of the caps and closures market, due to rise in consumption of dairy products across the globe.
The report also includes analysis of segments such as beer, wine, bottled water, carbonated soft drinks, condiments & sauces, and others.
North America held the largest share
By region, the market across North America is expected to showcase the highest CAGR of 4.1% during the forecast period, due to surge in westernisation and adoption of innovative caps and closure products among food and beverage manufacturers for packaging.
However, market across Asia-Pacific held the largest share in 2020, accounting for nearly two-fifths of the caps and closures market, owing to rise in use for manufacturing of food and beverage products in China, India, and Japan.