Recyclers can expect to see steady and growing supplies of plastic stretch film in the next several years, according to a new study by the Cleveland-based research firm The Freedonia Group. The firm forecasts stretch film demand in the United States will grow by 3.8 percent annually through 2021, becoming a $2.7 billion market by that year.
Plastic film’s growth can be attributed to improvements in stretch wrapping machinery and equipment, enhanced resin properties, and the increasing market share of more cost-effective products, according to the research firm.
Each of these developments has opened new markets for which stretch film was previously considered ill-suited, such as machinery and building materials that are heavy or irregularly shaped. These and other trends are presented in “Stretch & Shrink Film Market in the U.S., 5th Edition,” the study available from The Freedonia Group.
Stretch hoods will see the fastest growth of any stretch film product, advancing at 8.4% percent annually through 2021. Gains for this product are being driven by increased investment in hooding machinery that has expanded applicability to roofing, tiles and bricks, appliances and bulk warehouse packaging. A ceiling on this market remains, however, as these applications are still more limited than other stretch film products.
The storage and distribution market is by far the largest for stretch film, accounting for 71 percent of total demand in 2016.The Freedonia Group says stretch film is the preferred medium in this market because of its cost competitiveness and advantages over alternatives like strapping.
The 159-page “Stretch & Shrink Film Market in the US, 5th Edition“ study is available for $5,200 from The Freedonia Group, which can be contacted at email@example.com.