Indian Packaging Material Companies has registered a robust growth of 15% CAGR in the last five years.
Chile is one of South America's
most promising investment destinations, with its stable and prosperous
upper-middle-class economy. Chilean economic policies, which are founded on the
principle of capital transparency and non-discrimination against foreign investors,
comprise one of the country's strengths.
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No one could imagine
the magnitude of the packaging industry in Chile. The packaging industry in
Chile is estimated to grow from 20.32 billion units in 2017 to 22.87 billion units
in 2022, registering a CAGR of 2.4% larger than the size of the wine industry
in the country. This growth will be largely influenced by changing consumer behavior resulting from hectic lifestyles, rising disposable income, and
demand for convenience. Packaging industry one of the sectors with the greatest
contribution to the GDP of the national economy after the Mining. The need for
convenience will continue to drive the growth of small-sized, on-the-go,
easy-to-store/use packaging in Chile. Moreover, rising purchasing power among
Chileans will aid the growth of novel, premium and Eco-friendly products that
are packaged in luxurious, sustainable packaging.
Export of Chilean Wine and Agri-foods,
clearly show the scenario of the Growth of Packaging industries which is twice
the economy of the country that is around 10% annually. 100% exports carry some
packaging material and over 90% of the food exports is contained in a container.
Chile is continue growing in its exports from 2016 and it reach $75.481 Billion
in 2018 (All products to the World) - which is the goal for the next four years,
this will continue to be a thriving industry.
On the Other hand, Indian
Packaging Material Companies has registered a robust growth of 15% CAGR in the
last five years and is estimated to achieve $32 billion annual turnover by 2025.
There are nearly 900 – 1200 companies in India, who manufacture packaging material
and Packaging Machine Manufactures out which 70% to 80% are small scale
industries in India.
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If we focus on Chilean Wine
industries, the export of the Chilean wine was recorded $805.42 Millions in
2019 (January – May) and year 2019 yet to end.
Just imagine: A wine Kept in
Bottle which having beautiful Label and a Beautiful Bottle closure or Cork and now
just stop the imagination, we are not going to open a bottle and take it into a
Glass, We are going to do an Analysis on the packaging, COST OF BOTTLE, COST OF
LABEL, COST OF BOTTLE CLOSURE, COST OF PACKAGING BOX OR PARTITION CORRUGATED
BOX, nearly 60 to 70% material import in Chile. This was the example of Packaging
of the Chilean wine industries, Chile is a very attractive market for aluminium
containers and especially beverage and beer cans since per capita consumption
is very high with a good share of cans in the beer market, between 42% and 43%
and sodas greater than 5%. The aluminium containers, in general, are easy to
handle, light, occupies little space in the refrigerators, cools very quickly,
has the exact amount for individual consumption and is a modern container, also
easy to open. Although Chile – India already have PTA on aluminium articles.
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Chile - India Preferential
trade agreement is always be benefit for Chilean importers. There are lots of packaging
line segments are fall in these PTA.
Indian the packaging industry adopted
various upgraded technologies, like aseptic packaging, retort packaging and
biodegradable packaging, to name a few, to enhance the shelf life of food
products, the industry is firm in the runway. Besides, with rapid growth in the
Indian e-commerce sector, the industry will see further growth. The Indian
packaging industry has made a mark with its exports that comprise flattened
cans, printed sheets and components, crown cork, lug caps, plastic film
laminates, craft paper, paper board and packaging machinery. In India, the
fastest growing packaging segments are laminates and flexible packaging,
especially PET and woven sacks.
From Shoe to Tie and from vegetables
to Potato chips… Everything’s comes in packaging bundle from market to home.
Article by Sandeep Wasnik | Latin America & the Caribbean Market Expert.
Contact : latinosbiz@gmail.com
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