Published By : 19 Aug 2016 | Published By : QYRESEARCH
With the emergence of urbanization, consumers have changed their food and lifestyle habits. Consumers in Iran and India have adopted western lifestyle. As a result of this consumers are preferring easy and ready to eat food products. The food industry is thus likely to remain the prime end-user of glass jars and metal cans. However, the emerging number of substitutes are likely to inhibit the market growth.
Rising Attractiveness of Ready to Eat Products to Fuel Demand for Glass Jars and Metal Cans
In both Iran and India, the food industry is growing at a swift rate. Out of all the sectors, the preserved food sector witness a substantial growth in the last few years. With the rise in the adoption of easy meals, the demand for glass jars and metal cans is expected to increase in the food industry. Moreover, the need for air tight packaging for baked goods is also another factor driving the growth of the market in Iran and India. The use of glass jars and metal cans is also high in applications such as health drink powder, confectionaries, chocolate, pharmaceuticals and non-alcoholic, and alcoholic beverages.
The market in Iran and India is also expected to be driven by industries investing in the reuse and recycle of glass and metal. The highly consolidated market in Iran and India with high power of bargaining in the purchase of raw materials and finished goods is likely to propel the growth of the market in the region.
Presence of Cheap Substitutes to Inhibit Sales of Glass Jars and Metal Cans in Iran and India
The presence of cheap packaging materials such as paper and plastic is likely to retrain the growth of the glass jars and metals cans market in Iran and India. The low cost, sturdiness, low weight, and flexibility of plastic packaging is a major factor impeding the sales of glass jars and metal cans in Iran and India. The availability of variety of products is also a factor in favor of the plastic materials.
In Iran and India, the metal cans market will rise at a CAGR of 2.2% and the market for glass jars will rise at a CAGR of 3.6% from 2016 to 2024. The growth will be majorly driven by rising consumer awareness regarding harmful effects of plastics made from non-biodegradable products.