Global Caps and Closures Market: Country Overview; Recent Events; Value Chain Analysis; Production Process; Price Analysis; Indicator Analysis; Market Dynamics: Drivers & Constraints, Innovations & Trends, SWOT Analysis, Porter’s Five Forces; Industry Best Practices: Sourcing Strategy, Procurement Model, Key Factors Influencing the Quotation; Key Supplier Analysis, 2024-2032

Caps and Closures Industry Report by Regional Category Spend, Price Analysis, Key Demand, and Price Indicators, and Best Buying Practices

The global Caps and Closures market produced a volume of about 1911 billion units in 2021. The industry is projected to grow at a CAGR of around 3.8% in the forecast period of 2022-2027 to reach a volume of about 2390 billion units by 2027.

The global Caps and Closures industry report gives a comprehensive analysis of the industry, including key segments, trends, drivers, restraints, the competitive landscape, and other essential market aspects. The growing demand for packaging from various end-user industries is primarily driving the market growth. The Asia Pacific is the highest category spender by region, driving the need for the Caps and Closures industry.

Industry Definition and Segmentation

Closures are tools that operate as a barrier, protecting the packaging contents from ambient air, light, and dust particles, extending the product's shelf life. They are used in various other sectors, including pharmaceuticals, personal care, home care, and automobiles, and offer simple-to-open packaging. The Caps and Closures industry report comprises segments by type (metal and plastic), application (Beer, Bottled Water, CSD, Other Beverages, Food, Pharmaceuticals, and Others) and region (North America, Europe, Asia Pacific, the Middle East and Africa, and South America).

The Asia Pacific Region is Driving the Growth of the industry

The Asia Pacific holds a significant share in the industry due to the presence of highly populated nations such as China and India and the rising food and beverage industry. Furthermore, rising demand for cosmetics and toiletries in countries such as Japan and South Korea is likely to drive up the use of caps and closures. The level of life in this region is rising, driving more per-capita packaging spending. Demand for packaged items for on-the-go consumption like bottled water is driven by busy lifestyles, thus resulting in market growth.

The market is primarily driven by the extensive application of the product for packaging in various industries. The rising demand for different food products and alcoholic and non-alcoholic drinks leads to an increased demand for packaging closures, thus resulting in an increased demand for the product. In addition, the growing awareness of the health advantages of eating well is expected to stimulate demand for dietary supplements, which will, in turn, drive demand for packaging materials. Also, the rising consumer demand for bottled water due to changes in lifestyles and per capita consumption is boosting the need for the product. As a result, the industry is propelling.

Best Procurement Practices

The global Caps and Closures industry report by Procurement Resource gives an in-depth analysis of the best buying practices followed by major international Caps and Closures regions across the globe, such as engagement models, contract terms, and buyer and supplier negotiation levers, among others.

Category Management Studies

Plastic closures are made using an injection moulding method. The thermoplastic polymer pellets are heated in a metal hopper until they become soft and flexible. Most of the custom colouration for these plastic closures is done at this time. The softened plastic is then pumped into a complicated mould under high pressure. The softened polymer is moulded into the required cap's shape using the mould. After the polymer has cooled, the caps are removed from the mould.

Growing Concerns Over Sustainability, Further Propelling the Procurement of Caps and Closures

The industry is being aided by the growing shift toward sustainable packaging due to concerns over the environment. As a result, a recycling trend is growing in cap and closure manufacture, with many businesses using recycled content as a raw material to reduce reliance on virgin plastic. As opposed to plastic, metal is more sustainable and robust and is gaining traction furthering the industry's development. Also, PP and PE are the principal basic materials used to make caps and closures and are widely used in industry as they provide a cost-effective sealing option.

However, fluctuations in the prices of raw materials are likely to hamper the industry's growth.

The regional markets for the industry can be divided into North America, South America, Europe, the Middle East and Africa, and the Asia Pacific.

Key Industry Players Mentioned in the Caps and Closures Industry Report

• Amcor Plc.
• Berry Global, Inc.
• AptarGroup, Inc.
• Crown Holdings, Inc.
• Bericap GmbH & Co.

Market Landscape

The market is competitive due to international and regional businesses and several publicly traded corporations throughout the world. Companies are growing by providing clients with unique solutions, such as customised cap printing and coating services. Manufacturers in the business can get a competitive advantage by offering highly specialised items such as BPA-free caps and closures, appealing colours, and printing-friendly surfaces. These businesses make use of augmentation, new and innovative product promotion, mergers and acquisitions, and mutual aid as indispensable progress strategies to enhance their product portfolio and geographical existence to fulfil the rising demand for caps and closures from emerging nations.

Key Initiatives by Companies

• After introducing a dispensing closure comprised of post-consumer recycled resin in February 2019 in Europe, the firm manufactures dispensing closures using 50% recycled PC, facilitating a global shift to a circular economy and a sustainable future.
• Closure Systems International, for example, released a beverage closure with 30% PCR content in October 2020 in collaboration with Coca-Cola to boost product sustainability.