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2017-2021 Rising Demand for Flexible Intermediate Bulk Containers Market

Market Research Hub

Market Research Hub

Market research analysts at the flexible intermediate bulk container (FIBC) market will grow steadily during the next four years and in terms of units, will post a CAGR of more than 6% by 2021.

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This market research analysis identifies the constantly increasing demand for IBC containers from diverse sectors as one of the primary growth factors for this market. It has been observed that the growth of the industries including food and horticulture due to the increase production and trade of horticulture products and chemicals, have boosted the demand for flexible bulk packaging. Additionally, the low-cost of shale gas, that is used as a major feedstock for the manufacturing chemicals, is inducing players in the chemical and fertilizer sectors to enhance the production of chemicals, which also increases the demand for FIBC bags.

Moreover, the increased need to reduce the overall weight of bulk packaging and transporting materials will also drive the demand for FIBC containers in several other industrials sectors such as construction, boosting market growth in the coming years.

One of the major trends that will gain traction in the FIBC containers market in the coming years is the usage of bio-based raw materials. The increased awareness towards the usage of synthetic plastics will induce manufacturers to develop eco-friendly plastics. Companies such as Braskem and The Dow Chemical Company have already invested heavily in developing technologies to produce bio-based polymers through biomass. This will increase the adoption of bio-based products among FIBC manufacturers as well, in turn, boosting the demand for FIBC bags.

Competitive landscape and key vendors:

The market is characterized by the presence of numerous multinational, regional, and local vendors and appears to be highly fragmented. The regional or local FIBC manufacturers offer innovative solutions at a much lower price than the international players and pose a stiff competition to the global vendors, leading to price wars. However, they find it difficult to compete with the international vendors in terms of product quality, features, and range of offerings.

To suit the needs of various industry and product segments for bulk loading and transportation, the FIBC bags manufacturer are increasingly focusing on the extension of their product lines. Analysts also predicts that the international players will grow inorganically during the forecast period by acquiring regional or local players.

The leading vendors in the market are -

• Berry Plastics
• Conitex Sonoco
• Greif
• Global-Pak
• Plastipak

The other prominent vendors in the market are AmeriGlobe, B.A.G. Corp, Bulk Lift International, Halsted Corp, Intertape Polymer Group, J&HM Dickson, Jumbo Bag, Langston, LC Packaging, MiniBulk, Mondi, RDA Bulk Packaging, and Taihua Group.

Segmentation by end-users and analysis of the FIBC market
• Chemical
• Food
• Pharmaceutical

During 2016, the chemical industry accounted for the major shares and dominated this market. The robust growth of the chemical industry due to the increasing demand from the developing economies across the globe and the rise in the adoption of flexible packaging will be major factors that will fuel the growth of the market in the chemical industry in the coming years.

Geographical segmentation and analysis of the FIBC market
• Americas
• Europe

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This market study estimates that in terms of geographical regions, the Americas will be the major revenue contributor to the flexible bulk container market throughout the forecast period. This mainly attributed to the rising demand for bio-based FIBCs and new innovative products. Additionally, the demand for flexible bulk packaging and the growth of the major end-user segments such as food and pharmaceutical industries, will also boost the market’s growth prospects in this region.

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MRH functions as an integrated platform for the following products and services: Objective and sound market forecasts, qualitative and quantitative analysis, incisive insight into defining industry trends, and market share estimates. Our reputation lies in delivering value and world-class capabilities to our clients.

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