Latin America’s weak economy means overall packaging growth will be slow in the region, but flexible plastic packaging will be able to thrive due to its affordability and convenience, according to the 2017 Global Packaging Trends report from Euromonitor International and PMMI, The Association for Packaging and Processing Technologies.
The report forecasts only a 1.8 percent compound annual growth rate in packaging from 2015 to 2020 in Latin America. However, flexible plastic packaging will grow because it is lightweight, recyclable, inexpensive and meets the increasing demand for packaged foods, according to the report.
As disposable incomes decline, Latin American consumers are becoming more cost conscious. They prefer products in small packaging sizes, bulk packaging and multipacks to stretch their money.
“Flexible packaging will continue to be an important pack type in the forecast period driven by multipack and economy products. In markets such as Brazil and Mexico, consumers are shopping for the most economic options for the products they buy,” says Gordon Letschert, associate consultant at Euromonitor. “This is often packaged in flexible plastics.”
To read the 2017 Global Packaging Trends report, please go to www.pmmi.org/business-intelligence.