Plastic Rigid Intermediate Bulk Container Market Forecasts to 2028 – Global Analysis By Capacity (Up To 500 Litres, 500 To 1000 Litres, 1000 To 1500 Litres, 1500 To 2000 Litres, Above 2000 Litres), Material (Low Density Polyethylene (LDPE), High Density Polyethylene (HDPE), Polyvinyl Chloride (PVC)), End User (Petroleum & Lubricants, Industrial Chemicals, Food & Beverages, Pharmaceuticals), and By GeographyAccording to Stratistics MRC, the Global Plastic Rigid Intermediate Bulk Container Market is accounted for $3,303.26 million in 2022 and is expected to reach $5,329.83 million by 2028 growing at a CAGR of 8.3% during the forecast period. Plastic rigid IBC are extensively preferred containers for transportation all over the globe. It is usually made of polyethylene (HDPE) is rotationally moulded to ½ thick plastic. It is reusable, durable, and largely resistant to rust as they are made of plastic and plastics are rust free. It is contrived using polymeric material and used for storage and transport of liquids in large quantities. Plastic rigid IBC is greatly employed by the industries like chemical industry, pharmaceutical industry, paints, inks and dyes, food, and beverage industry, petrochemicals and lubricants, etc.
Intermediate bulk containers are industrial-grade containers with closed shipping vessels with a liquid capacity from 119 to 793 gallons. After the revamping of global industrial activities and a decline in crude oil prices from around $110 per barrel to $50 per barrel in 2016, the demand for material handling containers increased. According to Forbes, the international wine trade climbed by 21% in the first semester of 2021 compared to the previous year. The main driver is trading in sparkling wine, which is up 26% in 2020, and the value of bottled wine climbed by 12% in 2020. As a result, the growing wine trade around the world is propelling the growth of the intermediate bulk container market.
Market Dynamics:
Driver:
Increase the demand in automotive sector
Car technicalities and manufacturers normally use plastic rigid IBC to store big quantities of paint, gasoline, oil and similar products. Many of these products are combustible and emit fumes, so manufacturers specifically designed this container to prevent leaks and be flame-retardant. In addition, some plastic rigid IBC firms offer specific nozzles and valves and nozzles which dispense specific quantities of a specific product.
Restraint:
Volatility of raw material prices
Volatility of raw material prices is one of the key restraints hindering the plastic rigid IBC market growth. The prices of the raw materials fluctuate due to the disequilibrium in their demand and supply. Such price fluctuations bring unpredictability to the market and adversely affect production costs and reduce vendors' profit margins. Thus, fluctuations in raw material prices will affect the profit margins of plastic rigid IBC vendors and will hinder the market growth during the forecast period.
Opportunity:
Revival in demand for material handling containers
The global economic recession of 2008 resulted in a decline in economic activities across industries, including manufacturing and construction, which reduced the demand for chemical and petrochemical products. This financial recession impacted industrial activities across the globe, which has subsequently reduced the demand for industrial packaging solutions. After the revamping of global industrial activities and a decline in crude oil prices from around $110 per barrel to $50 per barrel in 2016, the demand for material handling containers increased. A wide range of products, including heavy-duty and rigid containers, attached lid containers, stackable containers, and IBCs, are used as material handling containers by different end-user industries. The rise in the complexity of maintaining automated warehouses will create growth opportunities for plastic rigid IBC’s during the forecast period.
Threat:
High risk of explosion due to the lack of hazard protection
Numerous combustible chemicals and dusts are stored and handled using plastic rigid intermediate bulk container, but they are feeble containers and if a blast occurs without sufficient blast protection, they may rupture owing to the high blast pressure. The consequence may be external fires and injury to personnel. Therefore, high risk of explosion due to the lack of hazard protection may restrain market growth to some extent going ahead.
Covid-19 Impact
There has been an increasing demand for plastic containers even after the pandemic spread around the world. Food & beverages as well as medicinal applications are contributing mainly to the demand for plastic rigid IBC. Although the manufacturing facilities have faced some challenges related to global shut down, the market has several opportunities to benefit from the pandemic scenario. Moreover, the outbreak of COVID-19 pandemic affected the entire packaging industry owing to which the industry has suffered a scarcity of basic chemical raw materials supply.
The high density polyethylene (HDPE) segment is expected to be the largest during the forecast period
The high density polyethylene (HDPE) segment is estimated to have a lucrative growth, as it is affordable, offers high quality, operates harsh temperature, nonleaching, UV resistant, stiff material, amazing durability, and waterproof and stronger. These containers are chemical resistant and have higher tensile strength as compare to polyethylene forms. Moreover, HDPE IBC containers are preferred due to their extensive flexibility and cost effectiveness.
The food & beverages segment is expected to have the highest CAGR during the forecast period
The food & beverages segment is anticipated to witness the fastest CAGR growth during the forecast period due to rising demand for ready-to-eat food products and the rise in demand for plastic rigid IBC containers across the food & beverage segment, attributed to growing demand for storage and transportation of bulk food products and various beverages across long distances from the manufacturing units. The food and beverages segment is endorsing the growing demand for food storage containers with sealed and air-tight facilities for the transport of bulk food products. This reduces the contamination of bulk food products and prevents them from climate conditions and environmental damages.
Region with highest share:
Asia Pacific is projected to hold the largest market share during the forecast period owing to rapid industrialization, various manufacturing activities, increasing need of transportation of various products, availability of cheap labor, and rising infrastructure developments. China is dominating the Asia Pacific market due to advanced Chemical industries in the regions and bulk manufactures of chemicals present in the region. A large chemical supply needs bulk container and chemical industries in China and is responsible for contributing a significant share in market growth.
Region with highest CAGR:
North America is projected to have the highest CAGR over the forecast period due to rising number construction projects, developing automotive sector, presence of key players and flexible investments, increase the investments in the chemical industry in this region. Moreover, the presence of key food and beverage industries like PepsiCo Inc., Tyson Food Inc., Nestle, JBS USA is dominating the region.
Key players in the market
Some of the key players profiled in the Plastic Rigid Intermediate Bulk Container Market include Greif, Inc., Snyder Industries, Hoover Ferguson Group, Inc., Schutz Container Systems, Myers Industries, Sintex Industries, Mauser Group, Pyramid Technoplast, Time Technoplast Limited, Bulk Handling Australia Group Pty Ltd, NOVAX, Maschiopack GmbH, ZhenJiang JinShan Packing Factory, Jielin, Sotralentz, and Shanghai Fujiang Plastic Industry Group.
Key Developments:
In September 2021, Hoover CS is a plastic rigid company that is announcing its multi agreement with advanced refining technologies. This joint venture of the company will lead to new developments. The Hoover will offer a catalyst packaging storage solution with the partnering company. These companies are exciting developments due to this agreement.
In April 2021, Mauser Packaging Solutions acquired Global Tank Srl and expanded its presence in Italy. This will allow MPS to grow its industrial packaging product and service offerings.
Capacity Covered:
• Up To 500 Litres
• 500 To 1000 Litres
• 1000 To 1500 Litres
• 1500 To 2000 Litres
• Above 2000 Litres
Materials Covered:
• Low Density Polyethylene (LDPE)
• High Density Polyethylene (HDPE)
• Polyvinyl Chloride (PVC)
• Linear Low Density Polyethylene (LLDPE)
Sales Channels Covered:
• Distributor
• Direct Sales
End Users Covered:
• Petroleum & Lubricants
• Industrial Chemicals
• Paints, Inks, Dyes
• Food & Beverages
• Pharmaceuticals
Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa
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