Bulk wine container market being driven by global demand from wine producers says new report
The bulk container market is expected to have a strong future as the demand for bulk wine from all the major wine producing countries is having a trickle down effect through the packaging supply chain.
Bulk wine has been singled out in a new extensive report, Bulk Container Packaging Market up to 2020 as being a key driving force for the sector.
It said the wider use and understanding of flexitanks and how they can lower glass and bottling costs, import duties and overall transportation cost for wine exporters was now widely accepted by the internatioanal wine trade. It is why wine exporters prefer to use flexitanks for bulk wine transport.
The market can expect further developments within the flexitank sector that will drive even more operational and cost efficiencies for big business to swich to flexitanks compared to barrels and intermediate bulk containers.
The big stumbling block could be the volatility in prices of key raw materials used in the bulk container packaging market. Polyethylene and polypropylene are the major raw materials used in the manufacture of flexitanks, FIBC and bulk container lining. These raw materials are petrochemical derivatives, and hence, are subject to crude oil price volatility.
But providing the key BRICS countries continue to trade more in community wine then the sector is is projected to provide immense opportunities for all players in the bulk container packaging market.
The flexible intermediate bulk containers (FIBC) sector was the largest sector within bulk wine in 2013 whilst bulk container liners accounted for 35% of sales.
North America is the largest market for bulk container packaging, accounting for more than 30% of the global demand in 2013. Europe and Asia Pacific are the next two biggest markets, but the Asia Pacific region is likely to be the fastest growing over the next few years.
Key players mentioned in the report include BLT Flexitank Industrial Co. Ltd., Braid Logistics, Büscherhoff Spezialverpackung GmbH & Co. KG, Environmental Packaging Technologies, Inc., SIA Flexitanks Ltd., Trans Ocean Bulk Logistics Ltd and Trust Flexitanks.
The study also gives market estimates and forecasts for the bulk container packaging market up to 2020. Major products analyzed include flexitanks, FIBC and bulk container liners.