Market Challenges And Opportunities

Drivers

Growth in the pharmaceutical industry

Growth in the pharmaceutical industry in Mexico is primarily fuelling the market growth of industrial bulk packaging. They are widely used in the storage of medical devices and other pharmaceutical products. Growing demand for plastic-based packaging products such as drums in the country is also anticipated to augment the market growth of industrial bulk packaging over the forecast period.

Increasing export of food & agricultural products

The increasing export of food & agriculture products in Mexico is expected to propel the market growth of industrial bulk packaging. According to the USDA, in 2022, Mexico’s agricultural exports totaled about US$ 46.6 billion. The U.S. is Mexico’s largest agricultural trading partner, buying approximately 80 percent of Mexican exports and supplying roughly 70 percent of the country’s imports in this category.

Market Restraints

High cost of the logistics

The high cost of logistics and poor road infrastructure in Mexico is projected to restrict the market growth of industrial bulk packaging.

Strict rules and regulations on industrial packaging

Strict rules and regulations on industrial packaging for direct food contact and healthcare products is expected to curb the market growth. Also, strict regulations on the use of volatile organic compounds are further expected to limit Mexico's industrial bulk packaging market growth.