Market Size of Latin America Plastic Packaging Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 4.50 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Latin America Plastic Packaging Market Analysis
The Latin America Plastic Packaging Market is expected to register a CAGR of 4.5% during the forecast period (2021 - 2026). Plastic packaging has been witnessing an increasing inclination from consumers over other products, as plastic packages are lightweight and easier to handle. Moreover, even the major manufacturers are preferring to use plastic packaging solutions, owing to their lower cost of production.
- There is a huge variety of innovative, cost-effective, and sustainable packaging solutions emerging in the market, and plastic, as a product, is still widely accepted in the region. This has led to major players, like Amcor, introducing new products in the region. In Brazil, the leading dairy brand, Letti, and Amcor collaborated to introduce the transparent one-liter PET bottles for its milk products. Amcor recently launched PET for its Salzburg Craft Beer, in Brazil, in partnership with New Age.
- Further, due to the availability of low-cost labor, recycled plastic from the region is considered to be among the cheapest in the world, and hence, it is exported to Europe and other regions. This has also helped increase the rate of recycling of PET in the region.
- In Mexico, PET bottle recycling plants operated by Mexico City-based PetStar recently reached an annual production capacity of 50,000 metric ton. Coca-Cola Mexico officially opened its largest food-grade PET (polyethylene terephthalate) bottle-to-bottle recycling facility in Mexico. These developments are indicative of the growth in the future use of recyclable plastic in the region.
- Moreover, according to Fintech Times, the region's e-commerce sales increased to USD 79.7 billion in 2019 from USD 49.8 billion in 2016. The local growth of consumer preferences, rise in internet and smartphone usage, and the entrance of many MNC e-commerce players, such as Amazon and Alibaba, disrupted the traditional market and leveraged e-commerce to access small and medium-sized clients.
- As COVID-19 has stepped into the market, countries, globally seems to have been shifting towards single-use plastics. Supply chains, additionally, are being strained in order to meet a surge in demand for single-use plastic packaging and medical supplies.
