Increasing Expenditure on Personal Care Products and Significant Growth in Fast-Moving Consumer Goods (FMCG) Sector to Augment Growth of Sleeve Labels Market

Sleeve labels find application in fast-moving consumer goods, food & beverages, and pharmaceutical packaging sector.

Market Dynamics

Increasing expenditure on personal care products is expected to propel growth of the global sleeve labels market. For instance, according to the U.S. Bureau of Labor Statistics, average annual expenditure on personal care products in the U.S. increased from US$ 707 in 2016 to US$ 768 in 2018.

Significant growth in the fast-moving consumer goods (FMCGs) sector is expected to offer lucrative growth opportunities for players in the global sleeve labels market. For instance, according to India Brand Equity Foundation, FMCG market in India is expected to grow at a CAGR of 27.86 per cent and is expected to reach US$ 103.70 billion by 2020 from US$ 52.75 billion in FY18. Moreover, stringent regulation regarding counter tampering and increasing counterfeiting of various products is also expected to aid in growth of the market. For instance, in 2020, China and the EU signed an agreement to ensure that one hundred European products bearing geographical indications will be legally protected in China against imitations and the misuse of a product’s name. In exchange, one hundred Chinese products will benefit from the same form of protection in the EU.

Among end-use industries, the pharmaceutical segment is expected to witness significant growth in the sleeve labels market, owing to growing pharmaceutical sector. For instance, according to The European Federation of Pharmaceutical Industries and Associations’ Key Data 2019, the pharmaceutical sector in Europe was valued at US$ 139, 287 million in 2000, which increased to US$ 284, 028 million (est.) in 2018.

Competitive Analysis

Major players operating in global sleeve labels market include, Fuji Seal International, Inc., CCL Industries, Dow Chemicals, Berry Plastics Group, Inc., Rottaprint, Klöckner Pentaplast, Macfarlane Group PLC, and Huhtamaki Oyj.

Major players operating in global sleeve labels market are focused on launching new products to expand their product portfolio. For instance, in February 2021, CCL Label launched EcoStretch, a sustainable stretch sleeves option.

Major players operating in global sleeve labels market are also focused on adopting automated technologies to increase their production. For instance, in November 2020, Rottaprint ordered its first MPS press, an EFA+ 530 fully automated multi-substrate flexo press.