India Metal Cans Market Size

India Metal Cans Market Analysis

The Indian metal cans market is expected to register a CAGR of 14% over the forecast period. Packaging ideas and materials that can address the safety and hygiene concerns of consumers while reducing the risk of virus contamination gained popularity during the COVID-19 pandemic in India. Because of their chemical characteristics, metal cans are anticipated to become more popular. Further, the Russia-Ukraine war has an impact on the overall ecosystem of the market.

• Increased urbanization is one of the significant reasons that are prompting companies to increase metal cans and container production capacity. Moreover, the penetration of organized retail is also compelling market players to ramp up their capacity.
• Tin and aluminum are the two different types of metal cans available in the market. Beer and other alcoholic beverages are often packaged in aluminum cans, whereas all other goods and juices are packaged in tin cans. The food processing sector in India is heavily pushed by the government and has the potential to contribute significantly.
• The high recyclability of metal cans is one of the significant drivers for the market's growth. Aluminum cans deliver protection against moisture. They do not rust and are resistant to corrosion, as well as provide one of the most extended shelf lives than any other packaging. It also offers many benefits, such as rigidity, stability, and high barrier properties.
• Despite India being the third largest producer and consumer of aluminum globally, the penetration of aluminum in the packaging segment is lower than the global average owing to high costs. There could be a potential proliferation in the packaging sector with growing health consciousness owing to aluminum's hygienic properties and the boom in the pharmaceutical industries. According to CRISIL, as of 2020, the demand from the packaging segment for primary and secondary aluminum (i.e., recycled aluminum) volumes were 6-8% and 6-7%, respectively.
• The demand for can-packed products, especially food and beverage products, is expected to rise sharply due to the increasing emphasis on recycling and sustainable solutions. India has a very low can consumption compared to other countries. According to Ball Beverage Packaging, per capita can consumption in India is approximately one per annum, while it is nearly 40 in China and about 70 in Vietnam. Consumer behavior and safety concerns in the wake of the COVID-19 pandemic were fueling the demand for aluminum cans in India.