Global Caps and Closures Market Grows Steadily at a CAGR of 4.9%

Introduction

The primary purpose of caps and closures is to safeguard products and lengthen their shelf life. Caps and closures help keep the contents sealed and fresh for a specific shelf life when the contents are adequately dispensed. The closures and caps guard against sand, moisture, and other undesirable early openings. A cap has benefits like exceptional taste and odor-restraining abilities, resistance to stress cracks and creeps, impact performance, and scalability.

Market Dynamics

Rising Non-Alcoholic Beverage Consumption Drives the Global Market

Worldwide consumption of alcoholic and non-alcoholic beverages has increased over the past ten years. In several markets, including the Philippines, South Africa, the UK, the United Arab Emirates, and Saudi Arabia, higher or new soda sugar taxes have been enacted. So, there is a rising need for healthy alternatives. As a result, the market for non-alcoholic beverages has undergone two significant changes: first, the acceptance of packaged herbal or green teas and juices as natural soft drink substitutes, and second, the rise in popularity of functional drinks that are fortified with botanicals, herbs, vitamins, and minerals.

Regional Analysis

Asia-Pacific is the most significant shareholder in the global caps and closures market and is expected to grow at a CAGR of 5.6% during the forecast period. The main factor driving caps and closures is the high market penetration of ready-to-drink beverages in several regional countries. Consumers are starting to demand alternatives to packaged foods and beverages as their disposable incomes increase. As a result, beverage manufacturers have begun experimenting with various packaging choices, which has sparked the development of new caps and closures like sipper bottles and ready-to-drink coffee packaged in containers.

North America is expected to grow at a CAGR of 3.6%, generating USD 27,522.5 million during the forecast period. The demand for crown closures and metal ends in the region is anticipated to rise due to the widespread consumption of beer, wine, and spirits in countries like the United States and Canada. For instance, the Food Industry Association reported that the value of alcoholic beverage sales in supermarkets in the United States in 2018 was USD 24,313.51 million in data published in January 2020. The rising number of beverage businesses in the area is expected to increase demand for beverage packaging components.

Key Highlights

• The global caps and closures market was valued at USD 66,084.5 million in 2021. It is expected to reach USD 106,908.7 million by 2030, growing at a CAGR of 5.4% during the forecast period (2022–2030).
• Based on material, the global caps and closures market is bifurcated into plastic and metal. The plastic segment is the highest contributor to the market and is expected to grow at a CAGR of 5.2% during the forecast period.
• Based on product, the global caps and closures market is bifurcated into dispensing caps, screw closures, crown closures, and aerosol closures. The dispensing caps segment owns the highest market share and is expected to grow at a CAGR of 5.4% during the forecast period.
• Based on application, the global caps and closures market is bifurcated into food, beverages, healthcare, cosmetics and toiletries, automotive, and pharmaceutical. The food segment is the highest contributor to the market and is expected to grow at a CAGR of 4.8% during the forecast period.
• Asia-Pacific is the most significant shareholder in the global caps and closures market and is expected to grow at a CAGR of 5.6% during the forecast period.

Competitive Players

1. Crown
2. Amcor plc
3. Closure Systems International
4. BALL CORPORATION
5. Silgan Holdings, Inc.
6. Berry GlobalIncAptarGroupInc.
7. BERICAP
8. Nippon Closures Co., Ltd.
9. Sonoco Products Company.

Recent Developments

• September 2022: Amcor, a leader in creating ethical packaging solutions, proudly supported Mondelez International's historic switch to packaging made from 30 percent food-grade recycled materials as soon as the first chocolate blocks appeared on store shelves.
• September 2022: A partnership was announced by Boomerang Water LLC, a pioneer in sustainable water bottling technology, and Ball Corporation, a leading global provider of infinitely recyclable aluminum beverage packaging, to offer consumers a sustainable way to stay hydrated. The ball will supply its aluminum bottles for the Boomerang Bottling System. This cutting-edge innovation offers the convenience of bottled water in a sustainable package while minimizing the environmental impact at resorts, cruise ships, campuses, and other locations.

Segmentation

1. By Material
   1. Plastic
   2. Metal
2. By Products
   1. Dispensing Caps
   2. Screw Closures
   3. Crown Closures
   4. Aerosol Closures
3. By Applications
   1. Food
   2. Beverages
   3. Healthcare
   4. Cosmetics and Toiletries
   5. Automotive
   6. Pharmaceutical