Flexible packaging market worth USD99,621.9 million by 2018 - MarketsandMarkets

MOSCOW (MRC) -- Flexible packaging market (by material - polypropylene, BOPP, CPP, polyethylene, EVOH, PA, BOPET, PVC, aluminum, paper, cellulosic) is estimated to grow from USD73,825.3 million in 2012 to USD99,621.9 million by 2018 with a CAGR of 5.1% from 2013 to 2018, reported Digital Journal with reference to a new market research report "Global Trends & Forecast to 2018" by MarketsandMarkets.

Asia-Pacific led the global market followed by Europe and North America in terms of revenue in the year 2012.

Asia-Pacific has the highest market share and is estimated to grow with a CAGR of 7.1% during the period under review. Europe is growing with a CAGR of 3.9%, and is driven mainly by the East European markets. ROW is also expected to experience growth in flexible packaging market in the future. The CAGR for ROW is 6.0% from 2013 to 2018. The four most potential nations for flexible packaging market are India, China, Russia, and Brazil which are poised to exhibit the fastest growing trend.

In the flexible packaging market, pharmaceutical packaging is the fastest growing market with a CAGR of 7.1% during the forecast period. Due to the increased awareness for public health, increasing product processing units, convenience packaging, and rising consumption of generic drugs, the pharmaceutical packaging industry is exhibiting strong gains. Following it, the food packaging is estimated to be the second fastest growing market in 2013, due to the rise in consumption of packaged food. Growing health concerns and knowledge about the nutrition value is driving the market for packed products to preserve the end-products.

MarketsandMarkets is a global market research and consulting company based in the US. The company publishes strategically analyzed market research reports and serve as a business intelligence partner to Fortune 500 companies across the world.

Russian producers increased April PP prices

Moscow (MRC) - Several Russian producers announced increase in contract polypropylene (PP) prices of Rb500-2,000/tonne for April delivery last week, according to ICIS-MRC Price Report.

SIBUR (parent group of Tomskneftekhim, Neftekhimia and Tobolsk-Polymer) and Ufaorgsintez announced an increase in April PP prices. Russian producers have raised PP prices by Rb500-2,000/tonne, from the level on 15 March, citing stronger demand and tight supply.

SIBUR last Monday announced an increase in contract prices of homopolymer PP raffia grade of Rb2,000/tonne.
Prices of injection moulding homopolymer PP and propylene copolymers remained steady.

Ufaorgsintez announced an increase in contract homopolymer PP and raffia prices of Rb2,000/tonne and Rb1,000/tonne for injection moulding homopolymer PP, effective from 1 April. Prices for PP block copolymers increased by Rb500-1,000/tonne.

Other Russian producers (Nizhnekamskneftehim and Poliom) have not announced their April PP contract prices yet.

DSM repurchases shares

MOSCOW (MRC) -- Royal DSM, the global Life Sciences and Materials Sciences company, repurchased 108,500 of its own shares in the period from 14 March 2014 up to 20 March 2014 at an average price of EUR46.51, reported the company on its site.

This is in accordance with the resumed repurchase, covering existing option plans, announced on 27 February 2014. The consideration of this repurchase was EUR5.0 million. The total number of shares repurchased under this program to date is 791,892 shares for a total consideration of EUR37.1 million.

Earlier, Royal DSM had repurchased 254,756 of its own shares in the period from 7 March 2014 up to and including 13 March 2014 at an average price of EUR47.40. This was also in accordance with the resumed repurchase, covering existing option plans, announced on 27 February 2014. The consideration of this repurchase was EUR12.1 million.
The total number of shares repurchased under this program to date is 683,392 shares for a total consideration of EUR32.0 million.

As MRC reported previously, in October 2013, Royal DSM signed a partnership agreement with long fibre thermoplastic (LFT) specialist Plasticomp to develop bio-based LFT composite materials based on DSM’s "EcoPaXX" polyamide 4.10. The lightweight materials, which include compounds reinforced with glass fiber as well as carbon fiber, will be targeted at automotive and other performance-driven markets.

DSM delivers innovative solutions that nourish, protect and improve performance in global markets such as food and dietary supplements, personal care, feed, pharmaceuticals, medical devices, automotive, paints, electrical and electronics, life protection, alternative energy and bio-based materials.

Chinese development of coal-to-olefins technology likely to change dynamics in global PE market

MOSCOW (MRC) -- If China's development of coal-to-olefins (CTO) technology continues as planned across the next five years, the global polyethylene (PE) market is likely to be saturated with material through 2019, reported Plastemart with reference to Platts' report.

Over three dozen coal-to-olefins and methanol-to-olefins projects are likely to come on stream in China by 2020. Those new plants are expected to add more than 10 mln metric tons of ethylene to the Chinese market. The Platts Shale to Polyethylene Report showed that the amount of ethylene produced from coal-to-olefins in China is expected to match the amount of ethylene produced from new steam cracker projects tied to shale gas developments in North America.

Report data showed that not only is China adding ethylene production capacity, it is adding more than 14 mln metric tons of additional polyethylene capacity between 2014 and 2021, much of which is being fed by the coal-to-olefins-produced ethylene.

The Report, in its look at new ethylene and polyethylene production developments worldwide, made clear that new Asian capacity - most of which is in China - will hit the global markets ahead of the new production planned for North America. The largest capacity gains in the Americas are projected to occur in 2017 and 2020, when new shale-based production comes on-stream.

Each of those two years will see increases of little more than 2 mln metric tons, but in 2015 and 2016 alone, Asian PE capacity could climb more than seven million metric tons. The Report showed the influx of Asian material will likely increase global polyethylene surpluses by more than 50% between 2013 and 2015. Global surpluses of the plastic are projected to climb to more than seven million metric tons between 2016 and 2018.

As MRC informed previously, Russian producers significantly increased PE exports in January and February 2014 on the back of a weak seasonal demand in the domestic market and a high level of capacity utilisation. Russia's PE exports increased by 55% to 61,700 tonnes over the stated period.

Hanwha to shut EVA/LDPE lines for maintenance turnaround in

MOSCOW (MRC) -- Hanwha Chemicals is in plans to shut its three EVA/LDPE lines for maintenance turnaround, reported Apic-online.

A Polymerupdate source in South Korea informed that the lines are planned to be shut in September 2014. They are likely to remain off-stream for around one month.

Located in Ulsan, South Korea, the lines have a production capacity of 40,000 mt/year each.

As MRC informed earlier, Hanwha Chemical has recently picked Credit Suisse to advise on possible purchases from Dow Chemical's chloro-alkali business but its interest is still in the early stages.

Hanwha Group is one of the largest business conglomerate in South Korea. Founded in 1952 as Korea Explosives Inc., the group has grown into a large multi-profile business conglomerate, with diversified holdings stretching from explosives, their original business, to retail to financial services.