AMI says higher growth will be seen in emerging markets.
The market for pallet stretch film is growing well worldwide, but it is the Middle East that will show the strongest regional growth over the next few years, according to a new AMI report.
The UK research firm forecasts the global market to increase by one million tonnes from 2006 to 2011, an annual growth rate of 7.3% per year from the current base of about three million tonnes. The market is expected to account for 9% of all demand for polyethylene in 2011.
Europe currently has a 47% share of global production of pallet stretch film and North American Free Trade Agreement (NAFTA) has a 29% share. But over the next few years, the development of two major plants in the Middle East, combined with further expansions in Asia, will reduce Europe’s and NAFTA’s combined share of global production from 76% to 68%.
AMI said: “Although the more established markets of Europe and NAFTA are experiencing a degree of maturity, the developing regions of the world are seeing major investment and growth in the application of pallet stretch films.”
Up to 2011, film demand growth in Europe is expected to average 5.8% per annum and in NAFTA it will average 4.0% per annum. Higher growth rates of between 11% and 14% per annum are forecast in Asia, Latin America and the rest of the world.
AMI also noted industry consolidation is happening in established markets. It said: “The leading producer is Manuli Stretch which recently enhanced its position in the North American market through its acquisition of Quintec Films. In addition to plants in Europe and Latin America, Manuli is also expected to invest in Russia.”
Link to this article：Strong outlook for pallet stretch film market
Reprint Statement: If there are no special instructions, all articles on this site are original. Please indicate the source for reprinting:Mold Wiki，Thanks！^^