(See original press release and related video interview.)

While the projections vary, the global flexible packaging market is growing at an approximate 5% CAGR and expected to exceed $250 billion by 2024. This is an average range taking into account market forecasts. According to the April 2016 IDC Digital Printing for Packaging Survey, 92% of brands surveyed said their volume of packaging is increasing, although in shorter runs. Today, flexographic speeds can reach in excess of 1,000 fpm, although factors, including market segmentation, brand campaigns, inventory cost reduction, and compliance with new and changing laws and regulations, are all driving the need for shorter-run solutions. 

According to the IDC survey, the cost of digital production in flexible packaging has been one of the primary constraints in its more rapid expansion. This increasing need for lower-cost, higher-productivity digital solutions has been driving the development of many new packaging production solutions including those from HP Indigo, Fujifilm, Mark Andy, Xeikon, and others. While most packaging segments are affected, food/beverage, pharma, and healthcare are the leading areas driving the demand. These are areas that are regulated and have a need for compliance with indirect product contact regulations. Ideally, they would like to comply with these regulations without the need for intermediate barriers that increase the cost of the packaging.