The Europe food can market size is expected to reach USD 12.56 billion by 2025, according to a new report by Grand View Research, Inc. Increasing demand for processed eatable products by the consumers in the region is expected to drive the industry growth.
The buyers in the market are major food processing companies such as Westmill Foods and Nestl? S.A., which lay high emphasis on can quality and order high product volumes. In addition, the aforementioned companies are also involved in extensive can design customization in accordance with the product being packaged.
The industry for the product in the region is expected to exhibit limited growth on account of increasing market maturity. The economies in the region exhibit a high penetration of the metal packaging in the processing industry, leading to a limited market growth. In addition, high demand for plastic and paper-based packaging for food products is expected to limit the growth.
The industry growth is restrained by the price volatility of raw materials such as steel and aluminum sheets. The demand for the product is expected to witness limited growth on account of severe regulations enacted by the European Commission such as banning the use of BPA in the cans that come in direct contact with eatable products.
Further key findings from the report suggest:
Aluminum food can segment is expected to grow at a CAGR of over 2% by revenue, from 2016 to 2025 on account of superior properties offered by the products such as strength and better barrier protection
Pet food is expected to emerge as the fastest growing application segment with a CAGR of over 2% by volume, from 2016 to 2025 driven by rising concerns of the pet owners towards the health and hygiene of the pets
The demand for the product for packaging fish is estimated to account for over 17% of the market in Europe in 2015 due to consumption of ready to eat fish products for superior taste and additional nutrition
The industry in the UK was estimated at over 12% of the European market due to high dependency of the consumers on packaged food products. In addition, initiatives undertaken by food processors in the economy for introduction of new products is expected to drive demand
Key manufacturers in the industry are involved in extensive product customizations and operate high production capacities to serve the needs of major consumers Mergers & acquisitions serve as major growth strategies for the manufacturers