Stretch and Shrink Film Market Analysis

Global Stretch and Shrink Film Market Overview

Stretch and Shrink Film Market Size was valued at USD 15.9 billion in 2021. The stretch and shrink film industry is projected to grow from USD 16.8 billion in 2022 to USD 24.4 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 5.50% during the forecast period (2024 - 2030). The expansion of the worldwide stretch and shrink film market is anticipated to be fueled by an increase in demand for lightweight materials for industrial packaging. Transportation of cargo and goods to diverse regions around the world is a byproduct of ization. These are projected to serve as market drivers for market advancement.Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Stretch and Shrink Film Market Trends

• 
  

  Increased development of the cosmetic industry to propel the market growth

  
  

Similar to many other industries, the personal care industry experiences regular product damage during the necessary distribution-related transportation process. Stretch & shrink films are used in personal care products including body care, skincare, and more because personal care goods frequently need extra protection to keep the products and primary packaging in great form for consumers. Stretch and shrink film demand is being driven by the expanding cosmetics sector. The sales of hand care products, for instance, climbed by 26.2% to €68.25 million (US$77.9 million) in 2020, from €54.09 million (US$60.6 million) in 2019, according to the Cosmetic, Toiletry and Perfumery Association (CTPA). Additionally, sales of body lotion and cream were €198.39 million ($222.1 million) in 2019 and €201.36 million ($229.99 million) in 2020, an increase of 1.5%, which led to a rise in demand for stretch & shrink films. Thus, it is projected that the market would rise due to the personal care industry's quick development. Thus, this factor is driving the market CAGR.

The electronic and electrical industries employ stretch and shrink films to shield exposed electrical wires in various systems from damage. The market is expanding more quickly thanks to rising smartphone demand. For instance, the System for Mobile Communication predicts that by 2025, there will be 700 million additional mobile customers worldwide, increasing the market for stretch and shrink films. Similar to this, the consumer electronics and appliance sectors are supporting the expansion of the stretch and shrink film industry. For instance, Invest India predicts that by 2025, the consumer electronics and appliances market in India will be worth US$21.18 billion and increase at a CAGR of 11%. As a result, it is projected that the stretch & shrink market will continue to rise throughout the forecast period due to the rising need for the electronic and electrical sector.

Additionally, shrink wrap is frequently utilised to package various products in the e-commerce industry. The films have a number of advantages, including a wide range of oxygen transmission rates, optimal shelf-life for a number of food packaging types (meat, cheese, poultry, and case-ready packaging), premium product presentation, high impact and puncture resistance, fewer leaks when packing rigid or sharp-edged products, retained strength at freezing temperatures, and preserved package integrity. Additionally, over 5.3 million Americans used almost 10 million boxes. Additionally, more than 3 million metric tonnes of plastic wrap that businesses were anticipated to produce in 2020 are used commercially in shipping and stores. According to the same survey, about 293.29 million Americans will use food and kitchen wraps/films in 2020. By the end of 2024, the survey predicts that there will be 303.28 million subscribers in the US. Due to the growing demand from the examined end-user application, a number of market players provide solutions that are tailored specifically to the needs of the packaging of fruits and vegetables. For instance, the packaging requirements for fruit and vegetable items are met by the roll stock films, lidding films, and unique micro-perforation for breathable films offered by the Canadian company FLAIR Flexible Packaging Corporation. ​Thus, it is anticipated that this aspect will accelerate stretch and shrink film market revenue ly.

Stretch and Shrink Film Market Segment Insights

Stretch and Shrink Film Resin Insights

The stretch and shrink film market segmentation, based on resin is divided into LLDPE, LDPE, PVC, and Others. The LDPE segment dominated the stretch and shrink film market revenue in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030 due to the availability of LDPE films for protecting and displaying the product on the shelves in a range of gauges and sizes. Its large market share has also been influenced by its expanding use on irregularly shaped loads and applications where clarity and other visual aspects take precedence.

Figure 2: Stretch and Shrink Film Market by Resin, 2021 & 2030 (USD Billion)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Stretch and Shrink Film Product Insights

The stretch and shrink film market segmentation has been segmented by product into Hoods, Sleeves and Labels, Wraps, and Others. The sleeves and labels segment dominated the market growth in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Along with its expanding demand in pharmaceutical containers, including plastic bottles and glass bottles for trayed goods, the need for sleeve labels is anticipated to increase as the packaging offers an extra option for the marketing and branding of the product.

Stretch and Shrink Film Application Insights

The stretch and shrink film market data has been segmented by application into Food & Beverage, Industrial Packaging, Consumer Goods, Pharmaceutical, and Others. The food & beverage segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030 due to the strong demand for packaged foods, such as bakery goods, frozen dinners, snack foods, and ready-to-eat meals. Demand is also anticipated to be boosted by rising product demand for packaging fresh and frozen food items like meat, fruits, and vegetables.

Stretch and shrink Film Regional Insights

By region, the study provides the market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The Asia Pacific stretch and shrink film market accounted for USD 6.9 billion in 2021 and is expected to exhibit a 43.90% CAGR during the study period. Due to the rising food and beverage industries, notably in China and India, the region is predicted to dominate. Over the projected period, rising consumer disposable income and rising packaged food demand are anticipated to drive up the demand for flexible packaging.

Further, the major countries studied in the market report are: The U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: STRETCH AND SHRINK FILM MARKET SHARE BY REGION 2021 (%)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

North America stretch and shrink film market accounts for the fastest growing market share. Shrink and stretch film demand is being driven by the region's expanding requirement for product packaging, as well as for bundling and safeguarding things during storage and transit. Moreover, US stretch and shrink film market held the largest market share, and the Canada stretch and shrink film market was the fastest-growing market in this region

Europe stretch and shrink film market is expected to grow at a substantial CAGR from 2022 to 2030. Due to the widespread laws governing the use of polymers in applications involving food contact, the market for stretch and shrink films for packaging is only anticipated to expand somewhat in Europe. The region's manufacturers create cutting-edge items that adhere to the regulations, raising regional product costs as a result. Further, the UK stretch and shrink film market held the largest market share, and the Germany stretch and shrink film market was the fastest-growing market in the region.

Stretch and shrink film Key Market Players & Competitive Insights

Major market players are spending a lot on R&D to increase their product lines, which will help the stretch and shrink film industry grow even more. Market participants are also taking various strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, market developments and collaboration with other organizations. Competitors in the industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market industry.

One of the primary business strategies manufacturers adopt in the stretch and shrink film industry to benefit clients and expand the sector is manufacturing locally to reduce operating costs. In recent years, stretch and shrink film industry has provided medicine with some of the most significant benefits. The stretch and shrink film market major player such as Dow, Berry Plastics, Vitopel, Anchor Packaging, Intertape Polymer Group, Bemis Company, Paragon Films and FUJI.

The Dow Chemical Company, sometimes known as Dow Inc., is a chemical company with headquarters in Midland, Michigan. One of the top three chemical producers in the world is the business. In September 2021, in a trial project, Dow Inc. and Bolloré worked together to incorporate recycled material into new food-contact packaging that can be recycled after use.

The Bemis Company, Inc. produced pressure-sensitive materials and flexible packaging products on a scale. Neenah, Wisconsin, in the United States, served as the company's headquarters. Its branches were spread over 12 nations, and its adhesive materials and packaging films were sold all over the world. In June 2019, Amcor Plc acquired Bemis Company Inc. in order to strengthen its presence in the US market.

Key companies in the stretch and shrink film market includes

• 
  

  Dow

  
  


• 
  

  Berry Plastics

  
  


• 
  

  Vitopel

  
  


• 
  

  Anchor Packaging

  
  


• 
  

  Intertape Polymer Group

  
  


• 
  

  Bemis Company

  
  


• 
  

  Paragon Films

  
  


• 
  

  FUJI

  
  

Stretch and Shrink Film Industry Developments

In 2023, Berry Global Group, Inc. acquired Reifenhäuser Group, a leading manufacturer of stretch and shrink film solutions. By acquiring Reifenhäuser Group, Berry Global has gained a strong position in the market for food and beverage packaging films made from stretch and shrink materials.

In 2023, ExxonMobil Corporation and BASF SE have announced their plans to partner in developing new recyclable stretch or shrink film solutions.

In 2022, Dow, Inc. acquired DowDupont’s Performance Materials business which is known to include a leading global provider of industrial applications’ stretch and shrink films (S&S). Therefore, this acquisition facilitated Dow Inc.’s entry into palletizing/bundling S&S market segment.

In September 2021, It was during Pack EXPO Las Vegas that Clysar unveiled its Clysar EVO-C confidential shrink film, which can be recycled as it has pre-approval from both the How2Recycle program as well as being considered suitable for shop drop-off label. Clysar EVO-C film is a special security opaque shipping material with UV protection properties that significantly reduce packing weight and space requirements.

In 2021, Sealed Air Corporation acquired Cryovac Sealed Solutions, a leading manufacturer of shrink films for food and beverages. This acquisition enabled Sealed Air to get a strong foothold in high-performance shrink films.

In 2021, Sealed Air Corporation and Sidel are entering into a partnership agreement on the development of new shrink film solutions for single-serve beverage packaging.

Stretch and Shrink Film Market Segmentation

Stretch and Shrink Film Resin Outlook (USD Billion, 2018-2030)

• 
  

  LLDPE

  
  


• 
  

  LDPE

  
  


• 
  

  PVC

  
  


• 
  

  Others

  
  

Stretch and Shrink Film Product Outlook (USD Billion, 2018-2030)

• 
  

  Hoods

  
  


• 
  

  Sleeves and Labels

  
  


• 
  

  Wraps

  
  


• 
  

  Others

  
  

Stretch and Shrink Film Application Outlook (USD Billion, 2018-2030)

• 
  

  Food & Beverage

  
  


• 
  

  Industrial Packaging

  
  


• 
  

  Consumer Goods

  
  


• 
  

  Pharmaceutical

  
  


• 
  

  Others

  
  

Stretch and Shrink Film Regional Outlook (USD Billion, 2018-2030)

• 
  

  North America

  
  




• 
  

  US

  
  


• 
  

  Canada

  
  




• 
  

  Europe

  
  




• 
  

  Germany

  
  


• 
  

  France

  
  


• 
  

  UK

  
  


• 
  

  Italy

  
  


• 
  

  Spain

  
  


• 
  

  Rest of Europe

  
  




• 
  

  Asia-Pacific

  
  




• 
  

  China

  
  


• 
  

  Japan

  
  


• 
  

  India

  
  


• 
  

  Australia

  
  


• 
  

  South Korea

  
  


• 
  

  Australia

  
  


• 
  

  Rest of Asia-Pacific

  
  




• 
  

  Rest of the World

  
  




• 
  

  Middle East

  
  


• 
  

  Africa

  
  


• 
  

  Latin America