LINERLESS LABELS MARKET ANALYSIS

Linerless labels are labels, which do not have backing paper and sticks on the application of pressure. Its function is to protect the packaged material from air, moisture, and contamination from external sources. Linerless labels possess several advantages over standard labels, which include zero liner wastage that leads to more labels per roll, lesser waste disposal resulting in reduced carbon emission, less storage space & transportation cost, and less downtime in label production.

Food & beverages industry is a major driver for the linerless labels market. Linerless labels are widely used on packaged food products and medicines. Growing demand for pharmaceutical supplies and environment-friendly labels are the main drivers for the linerless label market. The emerging economies and new food products create opportunities for this industry to grow more. Despite its advantages, the increasing price of raw materials restrains the growth of linerless labels market.

Linerless Labels Market Taxonomy

On the basis of composition, the linerless labels market is classified into:

• Face Stock
• Adhesive
• Topcoat

On the basis of printing Ink, the linerless labels market is classified into:

• Water-based Inks
• UV-curable Inks
• Solvent-based Inks
• Hot Melt-based Inks

On the basis of printing technology, the linerless labels market is classified into:

• Digital Printing
• Flexographic Printing
• Gravure Printing
• Screen Printing
• Lithography Printing
• Offset Printing
• Letterpress Printing

On the basis of end-use industry, the linerless labels market is classified into:

• Food & Beverage
• Consumers Durables
• Home & Personal Care
• Pharmaceutical
• Retail Labels
• Others

Face Stock is a self-adhesive composite material, which is used to print and boost the image of a brand. Topcoat is a thin layer of paint like ink that helps inks bond to a film’s surface. Adhesive is the bottom sticky part of linerless labels, which is responsible for the stickiness of labels to surface.

Solvent contains volatile organic compounds, which are harmful when inhaled or ingested, hence the market has witnessed a rise in eco-solvent - based inks that are derived from mineral oils. Water-based inks do not contain volatile organic compound but are of lower quality compared to other inks. UV inks are dry and do not contain any solvent or water.

Linerless Labels Market Outlook

Asia Pacific is the largest and fastest growing market in the linerless labels market. This is attributed to the rapid growth of end-use industries such as food & beverages in the region. Growing concerns regarding food safety in China has boosted the packaged food market. In India, the government has allowed 100% FDI in food processing industries, which is expected to boost the market growth. According to the Confederation of Indian Industry (CII), the food processing sector will attract investments worth US$ 33 billion during 2017-27

North America and Europe are dominant markets in the packaged food market which has resulted in digital printing packaging market growth. A growing need for visually appealing packaging to attract youth customers has boosted market. The goals of aesthetically appealing packaging is to reflect the quality of the product. High quality and simplistic packaging designs are preferred by consumers.

Latin America has 28% of the world’s arable land and 33% of the world’s freshwater supply. The food industry in this region is expected to supplement its growing populations and other regions such Europe and North America.

Middle East has witnessed burgeoning growth in packaged food and pharmaceutical industry. The demand has been fuelled by a shift towards western trends such as ready-to-eat foods, pre packed meals and nutritional supplements. Increased automation by the major players such as Al Thika is expected to meet the rising demand of the region.

Africa has witnessed rising growth in manufacturing sectors in countries of Nigeria, Ethiopia, Morocco, Senegal and South Africa. This has translated into growth of all end user industries thus augmenting digital printing packaging market growth.

Major players in the linerless labels market are The 3M company (U.S.), Coveris Holdings S.A. (U.S.), CCL Industries Inc. (Canada), Constantia Flexible Group GMBH (Austria), RR Donnelley & Sons Company (U.S.), Gipako (Europe), Hub Labels (U.S.), Cenveo Corporation (U.S.), Reflex Labels (U.K.), and Raveenwood Packaging (U.K.).

Key Developments

For instance, in April 2010, 3M company acquired a company A-One branded, a leading branded office and consumer label producer in Japan. This acquisition has helped 3M company to expand its linerless label business in Japanese market.  

For instance, in August 2019, Coveris S.A. acquired Amberley Adhesive Labels, U.K. based self-adhesive manufacturer. The acquisition includes five digital print U.K. facilities, three in Lincolnshire, one in Hereford and one in Newcastle. This acquisition has helped Coveris S.A to expand its product portfolio in U.K. market.

For instance, in March 2016, Coveris S.A. acquired a Ecuador based company, Supraplast, a manufacturer of shrink sleeves, self-adhesive labels, safety seals, PVC and PET shrink films. This acquisition has helped Coveris S.A. to expand its linerless business in South American market.

For instance, in May 2019, R.R. Donnelley & Sons Company acquired a 26 linerless line of ETI Converting Equipment, a Canada-based linerless label company. This acquisition has helped R.R. Donnelley & Sons Company to expand its business in Canadian market.