Flexo forecast for modest growth for next 5 years
Print research analysts Smithers says there will be an increase in growth in global flexographic output through 2025, during a period of uncertainty and change.
The global value of flexographic printing will rise from US$167bn in 2020 to US$181bn in 2025, with a compound annual growth rate (CAGR) of 1.6 per cent at constant prices, driven by package and label printing, as well as sanitary/kitchenware.
New flexo press sales are projected to increase by 0.4 per cent per annum between now and 2025 to total 1,362 units in number, valued at $1.62bn – complemented by a thriving secondhand and press enhancement/refurbishment sector.
Consumables demand will grow steadily, with flexo printing ink sales growing at 2.5 per cent per annum in constant value terms to US$6.7bn by 2025, flexo plates wil outstrip this growing at 3.1 per cent per annum to US$1.69bn, while flexo sleeves will grow at 4.6 per cent per annum to US$34.7m.
Smithers says the ability to flexo to eat into what was the gravure sector is a contributing factor to its growth. It says cornavirus will have limited long term impact on packaging.
According to Smithers corrugated will remains the largest segment by value from now until 2025, but it says labels and folding carton will show higher growth. It says corrugated market is being impacted with demand for shorter runs and higher value print work, which in turn comes from growth in the shelf ready packaging sector.