The plastic packaging market - France (2024)

1.2 The global plastic packaging market: estimates point to strong growth in the sector

The size of the global plastic packaging market

The global plastic packaging market size was valued at $***.* billion in **** and is expected to grow at a compound annual growth rate (***) of *. *% from **** to ****.[***]

Evolution of the global plastic packaging market size World, ****-****, in billions of US dollars Source: ****

By ****, the market is expected to reach US$***.* billion.

Breakdown of global plastic packaging production

Global breakdown of the plastic packaging market World, ****, % (***) Source: ****

Food and beverage packaging accounted for more than half of the global market size in ****(***). Industrial, pharmaceutical and household packaging accounted for the second half, with **. *% - **.*% - **. *% of the total respectively.

Worldwide market share

Global plastic packaging market share World, ****, % (***) Source: ****

Asia-Pacific is the leading market player, with over **.*% market share in ****.

Europe has established itself as the second largest regional market for plastic packaging after Asia-Pacific. Strict regulations on the use of plastic packaging, combined with high consumer awareness of sustainable development, are the main reasons for slow market growth in the region. In addition, the European Parliament has set a collection target of **% of plastic bottles by ****, and plastic bottles will have to contain at least **% recycled content by **** and **% by ****. These strict regulations on ...

1.3 A recovering French market

The French plastic packaging market is particularly dependent on the outlook for the following customer segments:

Cosmetics Food industry Cleaning products

Food industry products are particularly important, accounting for **.*% of packaging sales. [***]

Market growth is much lower in France than in Europe, averaging just *.*% per year over the period **** - ****.[***]

plastic packaging market trends France, ****-****, in billions of euros CAGR from **** to ****: +*.** Source: ****

To estimate the size of the plastic packaging market in France, we need to look at national consumption. By subtracting exports from national production and adding imports, we obtain French consumption of plastic packaging. This gives us :

CA production + (***) = *.** + *.** - *.** = **.**

According to our estimates, the French plastic packaging market will be worth **.** billion euros in ****.

1.4 Foreign trade

International trade in plastic packaging France, ****, millions of euros Source: ****

Thanks to the graph above, we can notice several things. Firstly, in ****, exports were up In fact, between **** and ****, French imports of plastic packaging rose by **.**%, from *.** billion euros in **** to *.** billion euros in ****.

Exports rose by **.**%. From *.** billion euros in **** to *.** billion euros in ****.

After calculating the coverage rate (***), which rises from **.*% in **** to **. *% in ****, we can see that France's trade balance is in deficit.

By ****, imports and exports have risen sharply to *.** and *.** billion euros respectively. Imports have grown faster than imports, causing the coverage ratio to fall. This fell by *.* points between **** and ****.

A few countries stand out among France's trading partners. [***]

France's main customers for plastic packaging exports France, ****, in millions of euros Source: ****

In ****, France's main export partners are :

Spain: **.* Germany : **.* Belgium: **.*%

Main suppliers of plastic packaging France, ****, in millions of euros Source: ****

And the main import partners are :

Germany: **.*% Italy: **.* China: **.*%

1.5 The impact of the Covid-19 crisis

However, the Covid-** crisis has benefited some plastic packaging companies, which have seen their business increase since March ****. This is particularly the case for manufacturers of packaging for food distributors, with over **% of companies experiencing an increase in activity of over **%. [***]

While a certain cyclicality seems inherent to the market (***).

The chart below illustrates the monthly sales trend in the plastic packaging manufacturing sector.

Sales index for plastic packaging manufacturing France, ****-****, base *** in **** Source: ****

2.1 French consumer preferences

European demand for plastic packaging

Packaging is the leading sector for plastic demand in Europe, accounting for **.*% of total plastic demand.

Plastic demand, by sector Europe, ****, as % of total demand Source: ****

Note that the share of plastic demand associated with the packaging sector has fallen slightly compared to **** (***). The construction sector also accounted for a significant share of plastic demand in ****: **.*%, up *.* points on ****.

Thanks to their versatility and low cost, plastic packaging has notably been adopted by the food industry, which accounted for **% of the sector's sales in ****. Manufacturers of health, beauty and hygiene products came second, with **% of demand[***]. Moreover, demand in this sector is seasonal, since a significant proportion of the sector's sales are generated during the festive season, which requires manufacturers to be responsive in their production lines.

There are many types of plastic packaging, which can be classified according to the polymer used to manufacture them. The most common are PE (***) and PS/PSE, used for **% of plastic packaging on the market. [***]

Then, depending on the technique used by the manufacturer, different product categories can be produced. The manufacturer's role is to adapt production to customer requirements (***), which translates into the use of a particular technique ...

2.2 Consumers increasingly sensitive to eco-friendly packaging

Every year, French retailers invest *.* million euros in making plastic packaging more environmentally friendly. These investments reflect the importance that these distributors must attach to these issues today, as consumer concerns evolve, directly or indirectly influencing their purchasing habits. [***]

However, retailers are finding it difficult to change their practices, as **% of them intend to change their packaging practices, but only **% are translating these intentions into action.

Consumer opinion, which in **% of cases influences discussions between distributors and suppliers, should however encourage this gradual transition.

Consumers are increasingly engaged in practices aimed at improving their ecological footprint by purchasing " greener ", more environmentally-friendly products. This also means buying products with environmentally-friendly packaging. French consumers would be prepared to pay ** cents more for a product with "green" packaging. [***]

Recyclability is the*st criterion for environmentally-friendly packaging for **% of consumers, although in **% of cases, it's only the visible packaging that matters to consumers. [***]

This desire on the part of consumers to buy more environmentally-friendly products is part of an underlying trend for households to adopt more ecological behavior. This is the case for **% of them, who explain that ecological behavior is at least more important than it used to be. [***]

To what extent do you ...

2.3 Deposits: the future of plastic packaging?

In view of the environmental problems posed by today's use of disposable packaging, deposits are often seen as a solution. It's a solution that appeals to many consumers:

"Would you be in favor of introducing a deposit system in France?" France, ****, in Source: ****

The vast majority of respondents (***) would be in favor of introducing this practice. This system would greatly benefit the plastic packaging segment, since plastic packaging is a serious candidate for replacing disposable tableware, for example. Fast-food giant McDonald's, for example, opted for this solution after the ban on disposable tableware for on-site meals. Disposable cardboard packaging has been replaced by reusable plastic packaging in the form of a deposit.

"Which two of the following would encourage you to return your returnable packaging?" France, ****, in % Source: ****

Good accessibility of return facilities is the element that comes up the most among those that would encourage individuals to return their returnable packaging (***).

3.1 Market organization and dynamics

The plastic packaging manufacturing sector is made up of a multitude of players, each with a clearly defined role. Manufacturers are generally responsible for the design and manufacture of packaging, in line with the specifications set by their customers. [***]

The packaging thus produced is then shipped to customers, who use it to package their products, which in turn are shipped to distributors' stores. After use by consumers, a proportion of plastic packaging is recycled (***) and then reused as a raw material for the manufacture of new packaging. [***]

Source: ****

Given the scale of investment in production lines and the resulting economies of scale, the sector has a natural tendency towards concentration.

In ****, the **% of companies with fewer than ** employees accounted for **% of the sector's sales. [***]

In ****, there will be *** companies , compared with *** in ****, demonstrating strong concentration over ** years. The number of employees is also falling. In ****, there were **,*** employees, compared with **,*** in ****, a drop of around *.*%.

Breakdown of the number of companies and their sales by number of employees, in the plastics products manufacturing sector France, ****, billions of euros Source: ****

Change in number of employees in plastic packaging manufacturing France, **** - ****, in units Source: ****

The main plastic-producing countries

By ****, China will dominate ...

3.2 A wide range of production methods

Average annual production of plastic packaging rose slightly over the period **** - ****, by an average of *.*% each year. However, it fell between **** and ****, demonstrating the uncertainties weighing on the sector even before the crisis of ****.

In ****, production began to rise again, and this has continued into **** , although the pre-pandemic level has not yet been regained.

Average annual industrial production of plastic packaging France, ****-****, base *** in **** Source: ****

Plastic packaging can be produced in a number of different ways, allowing us to produce packaging that is more or less rigid, complex or transparent. These various production methods require different machinery, the most common being injection molding, thermoforming and extrusion. [***]

Injection molding is used to manufacture complex molded parts in very large quantities (***), such as caps, cans and jars.

Thermoforming is used for medium-sized production runs of less complex parts. The resistance this technique offers to products generally ensures a long service life (***). This technique is also used for cans, jars and lids.

Extrusion is a low-cost technique that enables continuous production of long parts. This production method is particularly suited to the manufacture of plastic films and sheets (***).

3.3 Interview with Sebastien Wolff, Excelrise CEO

Cantiane: Hello and welcome to Vue d'ensemble, the podcast that gives you a **-minute insight into the challenges facing a market. My name is Cantiane and I'm an analyst at Businesscoot, a start-up specializing in market research. Today, we're going to talk about the plastic packaging market, and to do so, I'm joined by Sébastien, head of Excelrise. Excelrise is a manufacturer specializing in flexible plastic packaging and plastic recycling. Sébastien, could you introduce yourself and tell us about your career path, and in particular what led you to the plastic packaging market?

Sébastien: Hello Cantiane. I'm a business school graduate. I've been working for ** years. I had a classic career path: business school graduate, strategy consultant. I did some private equity and then switched to entrepreneurship a little before my thirties. I first created an e-commerce website around ****. from **** onwards, a group of associates and I became interested in a particular field called business turnaround. Over the last twenty years or so, we've carried out a number of operations in this field alone, in adhesives, textiles, pharmaceuticals and, more recently, inplastic packaging and plastic recycling, as we consider that the two themes now go hand in hand. ...

4.1 A wide range of plastic packaging products

Plastic packaging can take a variety of forms, the main ones being[***] :

flexible films ; formed sheets ; hollow bodies (***) ; foams; compact molded shapes.

The following table lists the prices of six plastic food paper products[***]:

4.2 Price trends

The graph below clearly illustrates the inflation experienced in France, and more broadly in Europe, since the start of the war in Ukraine, and the consequence of very low interest rates during the crisis.Since July ****, the index has been rising steadily, reaching a record high in March ****. However, according to INSEE estimates, inflation is set to moderate in the coming months.

Evolution of the French industry output price index, CPF **.** - plastic packaging France, ****- August ****, index base *** in **** Source: ****

operating in a particularly competitive sector, it is indeed complicated for manufacturers to increase their prices without losing customers.

Nevertheless, this stability was severely challenged at the start of **** by the Covid-** crisis: in April, plastics prices fell by between -**% and -**% (***). [***]

The average price of a kilogram of plastic is generally between €*.* and €*.*. Below is an indicative price list for certain plastics in March ****[***] :

Polyethylene: ****-****€/t Polypropylene: ****-****€/t Polystyrene: ****-****€/t ABS: ****-****€/t PET : +****€/t

It should be noted that plastics prices have all been greatly impacted by the war in Ukraine, which has generated an inflationary context.

5.1 Regulatory environment for plastic packaging

Given that plastic packaging is used for the presentation and preservation of many consumer products, it is subject to relatively strict regulations to avoid any risk to the consumer.

According to EC regulation n°****/****, plastic packaging must not present a health risk or alter the composition of foodstuffs (***). [***]

All products that come into contact with foodstuffs must comply with EU regulation no. **/****. [***] This specifies

The list of substances that plastic packaging manufacturers may use Migration limits for certain substances (***).

The European Union has also introduced a guidance document on information in the supply chain, which sets out guidelines for manufacturers in terms of the information they must communicate to their customers (***). This should enable better identification of defective products in the event of a problem, to facilitate their withdrawal. [***]

Some rules have been adopted for plastic packaging intended for particular segments:

Plastic and flexible packaging must include a safety closure to protect children from harmful substances. Several standards reflect these rules (***). [***] Hazardous products must be packaged appropriately (***). [***] Packaging for cosmetic products must also comply with these safety rules (***). Tests must be carried out on the relevant characteristics of the packaging material to assess the risks to human health. [***]

5.2 Unfavorable regulatory trends for plastics

Between **** and ****, a number of laws were passed at national and European level, which constrain manufacturers of plastic packaging in several ways:

The EGALIM law, passed in **** and coming into force in ****, prohibits the provision of cutlery, glass lids, ice cream pots and other disposable products, except those that are compostable or are biobased. [***] The European Union has adopted a strategy to recycle ***% of plastics by ****, following the example of France, which has adopted a roadmap for the circular economy (***) aiming to recycle ***% of plastics by ****. At European level, a ban on single-use plastic products was passed in ****, and should come into force by June ****. The directive also sets an incorporation rate for recycled materials in plastic packaging at **% by ****, and **% by ****. [***]

Plastics banned from January *, **** [***]

As of January *, ****, the ban also applies to the following plastic products:

confetti straws (***) steak picks disposable glass lids, plates, cutlery, mixing sticks support rods for balloons distributed to consumers styrofoam containers and bottles.

Since this date, the following have also been banned

the marketing of products made from oxodegradable plastics the free distribution of plastic bottles containing beverages in establishments open to the public and on business premises (***).

New plastics banned from January *, **** [***]

As ...

5.3 The AGEC law (Anti-waste for a circular economy)

Promulgated in early ****, the so-called AGEC law aims to transform consumption patterns to combat waste, reduce waste production and impact on biodiversity. In concrete terms, it comprises over *** articles, structured around * themes:

getting rid of disposable plastic ; better informing consumers ; combating waste and promoting solidarity-based re-use; acting against programmed obsolescence; better production.

As far as plastics are concerned, the law aims to gradually phase out certain types of non-reusable plastic packaging, in a sequenced manner (***). The law also includes a target of ***% recycled plastic by ****. Some initial measures came into force in January ****, including a ban on plastic cups, plastic plates and plastic cotton buds.

Measures coming into force on January *, **** include

a ban on the distribution of plastic bottles in establishments open to the public or on business premises a ban on the manufacture and import of single-use plastic bags a ban on the use of plastic confetti at cultural, sporting or festive events, sponsors may no longer impose the use of plastic baubles

As of January *, ****, the following measures have been included:

a ban on plastic overwrapping for fresh fruit and vegetables weighing less than *.* kg a ban on plastic packaging for press and advertising material a ban on ...

6.1 Segmentation

Plastic packaging manufacturers and recycling

• Berry Global France
• Amcor
• Mondi France
• Sealed Air France
• Plastipak Packaging France
• Silgan Dispensing France
• Toray Films Europe
• Linpac Packaging (Klöckner Pentaplast)
• Albea Tubes France
• Rkw Group
• Coveris
• Guillin Groupe - Guillin Emballages
• APTAR FRance
• Alpha Packaging
• Clondalkin Group
• Lacroix Emballages Groupe
• Reborn Group
• CTL Packaging France
• Leygatech
• Constantia Flexibles
• Alpla Group
• Ceisa Packaging (Reborn Groupe)
• Guerin Plastiques
• Barbier groupe
• Fandi Emballages
• Sacophane
• Ribeyron
• Bolphane (Bolloré)
• PSB Industries
• Acti Pack
• Aep Group
• Aera (Promens)
• Aircos (Isobox Isolation)
• Airnov France (Wipak Gryspeert)
• Albea Tubes France
• Alphaform
• Amcor Flexibles Sarrebourg
• Anl France
• Aptar France
• Aptar Stelmi (Stelmi)
• Ati France
• Augros Cosmetic Packaging (Thomsen)
• Axilone Plastique
• Axilone Plastique (Ese France)
• Beaudet Et Bene Jean Emballage
• Berry Beaute Marolles (Sté Lotoise D'Evaporation)
• Berry Superfos La Genete (Berry Superfos)
• Bobino Plastique
• Bollore Se
• Cartolux Thiers (Kalan)
• Celtipak
• Clariant Production (France)
• Corning Gosselin (Bprex Healthcare Offranville)
• Coveris Flexibles France
• Cpc Cotentin (Jet'Sac)
• Ctlpack Vichy
• Eliopack (Agripolyane)
• Emball'Iso
• Euro Production (Serioplast France)
• Extruplast (Sté St Andre Plastique)
• Faerch Annecy
• Flexico (Spo)
• Form'Plast (Bormioli Pharma France)
• Fsp (Albea Simandre)
• Gaggione
• Gascogne Flexible
• Georg Utz (Faiveleytech Orgelet)
• Getinge Life Science France
• Guillin Emballages
• Hemodia
• Hemodia (Flexico)
• Hertus Industries (Sanner France)
• Hertus Industries (Tpso)
• J&M Plast
• Kalan (Amcor Flexibles France)
• Knauf Industries Est
• Knauf Industries Gestion (Plastiques Poppelmann France)
• Les Bouchages Delage (Knauf Industries Gestion)
• Manufacture Generale De Joints (Plastuni Normandie)
• Mayet (Sté Parisienne De Courtage)
• Medicos Izernore (Epsotech France)
• Metroplast
• Mmp Packetis
• Nordfilm Impression (Ateliers De L'Orge)
• Normanplast (Colly & Martin)
• Paccor France
• Palamy Ste
• Plastiques Poppelmann France (Form'Plast)
• Plastoloir
• Plazur (Etablissements Millet Forestier)
• Polifilm France
• Promens Montoir De Bretagne (Promens)
• Qualipac Aurillac (Mbf Plastiques)
• Rexor (Morance Soudure)
• Rkw Castelletta (Trioworld Saint Ouen)
• Rovip (Silver Plastics)
• Sansetsu France (Pack Up)
• Sartorius Stedim Fmt
• Schoeller Allibert France
• Schutz France
• Schweitzer
• Sealed Air
• Seaquist Closures France (Eliopack)
• Selig France
• Silgan Dispensing Systems Le Treport
• Sphere France
• Sté Lotoise D'Evaporation (Sansetsu France)
• Sté Parisienne De Courtage (Storopack France)
• Sté St Andre Plastique (Clariant Production (France))
• Sulo France
• Sundis Production (Sicad France)
• Technoflex (Plastienvase Francia)
• Toray Films Europe
• Tournaire
• Tt Plast
• Union Plastic
• United Caps Messia (Knauf Industries Centre)
• Valve Precision (Corning Gosselin)
• Werit (Berry Superfos Besancon)