Thailand Plastic Caps And Closures - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

Thailand Plastic Caps And Closures - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The Thailand Plastic Caps And Closures Market size is estimated at USD 2.94 billion in 2024, and is expected to reach USD 3.63 billion by 2029, growing at a CAGR of 4.31% during the forecast period (2024-2029). In terms of shipment volume, the market is expected to grow from 14.81 billion units in 2024 to 17.19 billion units by 2029, at a CAGR of 3.03% during the forecast period (2024-2029).

Key Highlights

• Thailand is the second-largest market in the ASEAN region. Demand for new and innovative food and beverage products is propelled by rising incomes among the upper-middle class, urbanization trends, and a growing young population, all contributing to a significant boost in market growth.
• Thailand, a prominent player in the global food and agricultural export landscape, boasts a robust food processing industry that drives the demand for caps and closures. The rising demand for processed food and increased consumer spending on convenience foods in Thailand are critical drivers of growth in the food processing ingredients sector. Given the escalating worldwide appetite for processed foods, Thai processors heavily rely on imports, as some essential raw materials are not locally sourced which significantly augments the market growth in the country.
• Additionally, the growing consumption of bottled water in Thailand due to increasing tourism and the rising demand for clean, uncontaminated water from restaurants, hotels, and entertainment places expands the market for caps and closures. Moreover, the significant growth of Thai food E-commerce has also contributed to the increased consumption of juices, soft drinks, and other beverages.
• Caps and closures play a crucial role in beverage packaging, safeguarding the quality of beverages for consumers. These seals not only ensure product safety but also offer convenient opening and resealing features. Technological advancements in plastic packaging have spurred a wave of product development innovations in the beverage caps and closures industry. In Thailand, a growing number of companies are channeling significant resources into R&D, resulting in a notable uptick in innovative offerings within this sector.
• Yet, the rising environmental apprehensions surrounding plastic packaging waste in Thailand are impeding market growth. The waste generated by these plastic caps and closures not only raises environmental alarms but also poses economic challenges for manufacturers, constituting a significant hurdle to the market's expansion in Thailand.

Thailand Plastic Caps and Closures Market Trends

Polyethylene (PE) Segment is Estimated to Have the Largest Market Share

• Packaging plays a vital role in safeguarding the quality of beverages. Polyethylene, notably in its high-density (HDPE) and low-density (LDPE) forms, is a prevalent choice for bottle caps. HDPE caps, known for their robustness, exhibit exceptional resistance to both moisture and chemicals, rendering them versatile across various applications. This enhances the popularity of PE for making caps and closures.
• HDPE plastics are gaining favor over LDPE in Thailand due to their durability and cost-efficiency. HDPE is extensively employed in packaging caps and closures across industries, including food and beverage, pharmaceuticals, personal care, and household products. While LDPE is less rigid and chemically resistant than HDPE, it shares a similar composition. LDPE's flexibility makes it a staple in packaging, especially for crafting items such as caps, closures, and dispenser solutions.
• Amcor Group GmbH and Berry Global Inc. are prominent PE caps and closures manufacturers, catering to various industries like food, beverages, home care, and personal care. These caps come in different sizes, tailored for child-resistant, dispensing, and tethered applications, driving market growth.
• The cosmetic industry in Thailand is witnessing a surge, thanks to the rising adoption of PE for caps and closures in products like creams, serums, and moisturizers. Thailand, known for its beauty and cosmetics sector, notably exports to countries like China, Myanmar, India, the Philippines, and Australia. Recent data from the International Trade Centre (ITC) reveals that Thailand's beauty product exports hit a value of USD 824.22 Million, marking a notable 21.89% increase from the previous year.

Beverage Industry Expected to Dominate the Market

• Thailand's tourism growth, due to eased travel restrictions and diverse tourist attractions, is creating business. The growing consumption of beverages such as bottled water in Thailand drives the demand for caps and closures.
• Consumers in Thailand have increasingly become health-conscious and are turning to beverages that promise added health benefits or help alleviate the stresses of daily life. Often enriched with vitamins, minerals, and bioactive compounds, these drinks cater to a demographic prioritizing wellness, a trend amplified post the COVID-19 era. The rising trend for healthy foods and beverages, including zero-sugar healthy juices and energy drinks, is fueling a surge in demand for caps and closures in Thailand.
• In Thailand, major carbonated soft drink players such as Coca-Cola and Pepsi are actively introducing a range of new flavors to meet the rising consumer appetite, consequently driving demand for caps and closures. In June 2024, Coca-Cola Thailand recently rolled out "Schweppes" zero-sugar soda in two citrus variants, targeting the country's younger demographic. This new offering is being distributed in cans through numerous channels, including convenience stores, supermarkets, and online platforms, poised to propel market expansion further.
• The rising exports of non-alcoholic beverages from Thailand significantly impact the demand for caps and closures in the nation. USDA data reveals that Thailand's bottled beverage exports rose from USD 1.57 billion in 2022 to USD 1.60 billion in 2023, hinting at a boost in market growth.

Thailand Plastic Caps and Closures Industry Overview

The Thailand plastic caps and closures market is moderately consolidated, with domestic players such as Crown Seal Public Company Limited and International players including Berry Global Inc., Tetra Pak, and Aptar Group Inc. operating in the market. To solidify their footprint in the market, the players focus on new product development, partnerships, participation in trade expos, mergers and acquisitions, and collaborations.

• June 2023: Crown Seal Public Company Limited, a Thailand-based company, participated in the ProPak Asia 2023 exhibition in Bangkok. The company exhibited its packaging products specifically for the food and beverage industry at the expo. The company's Research and Development division unveiled groundbreaking advancements, particularly in Bioplastic caps and CS-Plus caps, to address environmental concerns.

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• The market estimate (ME) sheet in Excel format
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