Global demand for caps and closures is projected to rise 4.6% per year to $40 billion in 2014. That's the latest projection in a new report from The Freedonia Group, a Cleveland, OH-based industry market research firm. Advances will be driven by growth in global manufacturing output, which will boost packaging requirements. Watch trends toward urbanization and an ongoing shift in the product mix toward higher-value closures, such as child-resistant, tamper-evident and dispensing types, the report said.
While the United States is by far the world's biggest consumer of caps and closures in value terms, the most rapid growth will occur in developing regions. Some of the best opportunities will be found in the Asia/Pacific region, noted Freedonia's report, which will account for more than two-fifths of aggregate market value gains between 2009 and 2014. China, which is the world's largest consumer of caps and closures in terms of volume, will continue to see some of the fastest growth as advances in personal income levels and consumer expenditures, combined with trends toward urbanization, boost demand for packaged consumer goods.