EUROPE BAG IN BOX PACKAGING MARKET ANALYSIS

Market Challenges And Opportunities

Europe Bag in Box Packaging Market: Growth Drivers

• Increasing demand for bag-in-box packaging solutions among wine packaging manufacturers

The increasing demand for bag-in-box packaging solutions among wine packaging manufacturers, is one of the main growth drivers of the Europe bag in box packaging market. This is attributable to various advantages it offers over bottle packaging, including the use of much less plastic and the ability to dispense without surging or glugging. Wine producers in Europe and North America are gradually shifting to bag-in-box for packaging. Furthermore, bag-in-boxes are simple to distribute and more cost-effective. According to the European Commission, The European Union is the world's largest wine producer. It accounts for 65% of global production, 60% of global consumption, and 70% of exports of wine. Moreover, oxygen transmission rate is a significant parameter for evaluating the overall quality of wine packaging. Bag-in-box offers a lower oxygen rate of diffusion than glass bottles, making it an ideal choice among wine manufacturer around the world. Around half of the world's population demand for bag-in-box packaging comes from the wine industry.

• Demand for longer shelf lives for liquid contents

The demand for longer shelf lives for liquid contents is strengthening the bag-in-box packaging market's future prospects. Aseptic filling technology have been adopted by packaging companies, as a result, they are able to satisfy new application areas, thereby driving the bag-in-box packaging market growth. For instance, in June 2020, Greatview Aseptic Packaging, an established manufacturer, offering sleeves compatible with SIG Combibloc filling equipment. The company is one of the major manufacturers of roll-fed packaging material for Tetra Pak aseptic filling machines. The demand for bag-in-box packaging is also influenced by the branding options it provides for businesses. The market for bag-in-box packaging has grown in response to rising demand for puncture-resistant packaging. Package manufacturers are finding new opportunities, as consumers become more concerned about the integrity of their products and the aesthetics of their packaging.

Europe Bag in Box Packaging Market: Market Restraints

• Availability of less expensive alternatives packaging such as plastic bottles and increasing manufacturing cost of bag in box packaging

The high cost of bag-in-box packaging solutions compared to traditional packaging alternatives is expected to restrict the bag-in-box adoption, thereby, hindering the market growth during the forecast period. The rising use of plastic bottles in soft drink packaging due to cost-effectiveness is also expected to hamper bag-in-box market growth throughout the forecast period. Furthermore, fluctuations in the supply of raw materials to manufacture bag-in-box containers are expected to restrain the Europe bag in box packaging market growth during the forecast period.