Future Market Insights

In-Mold Labels Market: Food End Use Industry Segment Expected to Remain the Most Attractive


Valley Cottage, NY -- (SBWIRE) -- 11/27/2017 -- Market Introduction: In-Mold labels are made up of plastic films printed with various printing techniques. The film is cut to give the required shape of the label. The label is placed in the mold being used for the manufacturing of the container. With the heat of the molten or expanding plastic, the back surface of the in-mold label also melts slightly and adheres on the surface of the container. On getting cooled in atmospheric temperature, the container and the label forms a strong bond and acts as a single unit. In-mold labelling results in no post-labelling processes, thereby saving time and labour.

In-mold labelled containers are weightless due to no usage of glue for labelling. Offset printing is widely adopted for printing in-mold labels. The food packaging industry is the most prominent consumer of in-mold labels along with other industries such as beverage, pharmaceutical, chemical, automotive, etc.

Significant revenue growth of the global in-mold labels market attributed to an increasing demand from the food packaging industry

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The food packaging industry is anticipated to witness the highest use of in-mold labels over the forecast period. In the pharmaceutical industry, in-mold labels have gained traction as one of the most efficient packaging solutions, which provide enhanced protection against contaminations as well as an improved shelf life.

The Latin America, APEJ and MEA cosmetics and personal care market is expected to witness surging growth that will trigger revenue growth of the regional in-mold labels markets over the forecast period.

Key Market Dynamics

The prime factors powering the demand for in-mold labels are a growing demand for food packaging, complete recyclability, no label look, no requirement of glue, and a saving in time and effort in post-labelling. In-mold labels can be printed with various printing technologies including high graphic flexography, digital, offset and other printing technologies.

Low weight containers due to no requirement of glue for labelling and enhanced strength of the in-mold labelled container are other factors that influence consumer attraction. In-mold labels can be made up of barrier IML, which provides barrier to oxygen, light and odour. Transparent look, where contents of the in-mold labelled container are clearly visible enhances the consumer experience at the time of consumption.

With increasing GDP and purchasing power of consumers, the demand for attractive packaging is rising. In-mold labelling increases the shelf life of the label as the labels do not fall off easily. The bond between the label and the container requires a lot of effort for separation. Barrier in-mold labels, made up of barrier materials such as EVOH, PVOH, PVDC and others provide various barriers such as barrier to oxygen, light, odour and others. This increases the quality and shelf life of packaged food and pharmaceutical products.

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The in-mold label is placed inside the mold of the container and subsequently melts with the heat of the expansion of the plastic resin that forms into the container. Thus, it requires no extra heat and labour for the post-labelling process. These factors are anticipated to boost revenue growth of the global in-mold labels market over the forecast period.

Food & Beverage industries to remain largest end users of in-mold labels over the forecast period

Based on end-use industry, the global in-mold labels market has been segmented into food, beverage, pharmaceutical, domestic care, and cosmetics and personal care. There is a separate 'others' segment, which includes end uses such as automotive and other manufacturing industries that require the decoration of their plastic components with in-mold labels. The Food segment is anticipated to account for the highest market share of about half the global in-mold labels market.

Beverage and Domestic Care segments are projected to expand at a significant growth rate while the Pharmaceutical segment is anticipated to expand at the highest growth rate. The Pharmaceutical segment is projected to reach a peak y-o-y growth rate of around 7.2% over the forecast period and gain a whopping 410 basis points in market share in 2027 over 2017. The Pharmaceutical segment is also projected to register the highest CAGR of 6.6% in terms of value over the forecast period.