Demand for plastic film in the United States is expected to increase by 2.6 percent per year through 2010, according to a study from Cleveland-based market research firm the Freedonia Group.
Low density polyethylene will remain the largest plastic film resin based on its competitive cost structure, versatility and opportunities in areas such as produce and snack packaging, stretch and shrink wrap and trash bags. Slightly faster increases are expected for high density polyethylene film due to good growth in areas such as baked goods packaging and retail bags.
According to the study, polypropylene film demand will expand the fastest with 3.4 percent annual growth through 2010, driven by produce, grain mill, dairy and other food packaging applications. The Freedonia study also predicts that polyester film demand will decline through 2010 as a result of decreasing use in photographic film and magnetic tape.
Packaging accounted for 73 percent of all plastic film use in 2005, according to the study. The best growth is expected in secondary packaging applications based on opportunities in stretch and shrink wrap and retail bags.
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