Increase in demand for caps & closures good news for molders and moldmakers


Plastic caps and closures dominate the market and U.S. demand for Caps & Closures is forecast to increase 4.0% to $9.5 billion in 2014, reaching 275 billion units. That's the good news for those that serve this industry. Plastic caps and closures, which comprised 79% of unit demand in 2009, will post above-average unit and value advances, reflecting continued inroads by plastic containers into numerous markets. Plastic cap and closure demand is supported by the long-term shift in the consumer packaging mix away from glass and metal containers to plastic alternatives. Moreover, the compatibility of plastic caps with glass containers and the use of such caps on gabletop cartons will boost growth as well, according to the latest report from The Freedonia Group Inc., a Cleveland-based industry market research firm.

However, the not-so-good news is that gains will decelerate from the 1999-2009 performance, reflecting the already significant penetration of plastic containers in most markets....
Read more