CUT FLOWER PACKAGING MARKET ANALYSIS

Cut flowers are flower buds that have been cut from the plant. Cut flowers have application in office decoration, home decoration, and event decoration such as wedding Cut flower packaging guarantees fresh quality of flowers with longer vase life. Modified atmosphere packaging technology is used to conserve spikes of flowers and increase its shelf life. In modified atmosphere packaging, gas mixture of oxygen, carbon dioxide, and nitrogen is used in appropriate proportion. The most common cut flower packaging formats are sleeves, boxes & cartons, wrapping sheets, bags, and metal stand. Cut flower packaging protect flowers from damage and maintains the color & fragrance.   

Market Dynamics

Growth of cut flower market is driven by increasing sales through online platforms and increasing shelf life of cut flowers by modified atmospheric packaging. For instance, as per the World Bank data, in 2015, 42.96% of the global population had access to internet, which increased to 48.57% by 2017. Moreover, increasing number of online brands such as ProFlowers, Teleflora, Euroflorists, UrbanStems, and other similar online flower vendors that offer products are expected to drive growth of the cut flower packaging market over the forecast period.

Furthermore, increasing demand for cut flower during festive season and wedding events are factors driving the market growth of cut flower packaging over the forecast period. For instance, according to the Eurostat, in 2014, the import of cut flowers and cut foliage by EU was US$ 1388 thousands, which increased to US$ 1468 thousands in 2016.

However, improper aeration and poor ventilation inside the package lead to high heat  resulting in spoilage of flowers, and thus, is a major factor restraining the market growth. Moreover, stringent government regulations on the usage of plastic is another factor, hampering growth of the global cut flower packaging market. For instance, according to National Green Tribunal (NGT) India regulation from January 2017, which defines the ban on the use of non-biodegradable plastic bags (less than 50 microns) and a fine of US$ 70 on anyone who flouts the rule.

Market Outlook

 Asia Pacific is expected to witness highest growth rate over the forecast period, owing to increasing demand for cut flowers for decoration and events. According to the Agricultural and Processed Food Products Export Development Authority (APEDA), in India, production of cut flowers was around 484 thousand tons in 2015-16. Increasing demand for cut flower is expected to drive global cut flower packaging market growth over the forecast period.

Key Market Players

Major players in operating in the global cut flower market include Smurfit Kappa Group, DS Smith plc, A-ROO Company LLC, Flamingo Holland Inc, Uflex Ltd., Atlas Packaging Ltd., Ernest Packaging Solutions, Inc, Flopak, Inc., Koen Pack USA, Inc, and Sirane Limited

Market Taxonomy

On the basis of material type, the cut flower packaging market is segmented into:

• Plastic
• Papers & Paperboards
• Jute
• Fabrics
• Wood

On the basis of packaging type, the cut flower packaging market is segmented into:

• Sleeves
• Boxes & Cartons
• Wrapping Sheets
• Bags
• Metal Stand

On the basis of distribution channel, the cut flower packaging market is segmented into:

• Supermarket & Hypermarket
• Online Stores
• Florists

On the basis of region, the cut flower packaging market is segmented into:

• Asia Pacific
  • China
  • India
  • Japan
  • ASEAN
  • Australia
  • South Korea
  • Rest of Asia Pacific
• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • U.K.
  • Germany
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East and Africa
  • Middle East
  • Africa