34 Industry Outlook in South Africa: Market Size, Key Trends, Drivers and Challenges to 2016

Synopsis
The report provides detailed market analysis, information and insights on the South African packaging industry, including:
• Current, historic and forecast values and trends for the South African packaging industry, including individual categories
• Comprehensive, country-specific analysis of the industry’s market attractiveness, covering key trends and drivers, South Africa’s competitive landscape and benchmarking with other key markets
• Description and analysis of the packaging categories and end-user markets for the overall packaging industry
• Porter’s Five Forces Analysis of all individual categories and the overall packaging industry

Summary
The South African packaging industry recorded significant growth during the review period due to an increase in consumer expenditure on food and a rising demand from end-user markets like food and beverages, pharmaceuticals and personal care products. During the review period, the industry posted a CAGR 6.05% to reach a market value of US$6.6 billion in 2011. Of the end-user markets, the food and beverages market is expected to generate the most business for the industry. In addition, the rising demand for pharmaceuticals and personal care products is also aiding packaging industry growth. Other factors that will affect the South African packaging industry over the forecast period are the population’s changing lifestyles, cheaper imports due to low excise duty, technological advancements, recycling trends, and a structural shift from plastics to glass. Over the forecast period, the South African packaging industry is expected to grow at a CAGR of 6.62% to reach a market value of US$9 billion in 2016.

Scope
• This report provides a comprehensive analysis of the packaging industry in South Africa
• It provides historical values for South Africa’s packaging industry for the report’s 2007–2011 review period and forecast figures for the 2012–2016 forecast period
• It offers a detailed analysis of the key categories in South Africa’s packaging industry, along with market forecasts until 2016
• It details the different macroeconomic factors affecting the packaging industry in South Africa
• It covers an exhaustive summary on the key trends and drivers affecting the end-user markets in packaging
• Using Porter’s industry-standard “Five Forces” analysis, it details the competitive landscape in South Africa for the packaging industry
• It outlines the current regulatory framework in the industry

Reasons To Buy
• Make strategic business decisions using historic and forecast market data related to the South African packaging industry and each category within it
• Understand the key market trends and growth opportunities within the South African packaging industry
• Assess the competitive dynamics in the packaging industry
• Identify the growth opportunities and industry dynamics within five key packaging categories
• Gain insights into key regulations governing the South African packaging industry

Key Highlights
• In terms of market size, paper and board packaging accounted for the largest share of the domestic packaging industry revenue of US$2.4 billion in 2011, representing 35.8% of the total packaging industry.
• Active and smart packaging has been gaining popularly in the South African food and beverages industry. Companies use active packaging to preserve the quality and extend the shelf life of packaged food.
• The highly competitive South African packaging industry registered several mergers and acquisitions during the review period. Leading companies adopted this strategy in order to strengthen their position in the local market.
• The most widely used pharmaceutical packaging forms are cartons, blisters, tubes, ampoules, envelopes and strips, and within the market, plastic and metal blister packaging is used more frequently than glass bottles.

Table of Contents
1 Executive Summary
2 Future Growth Potential of Packaging in South Africa
2.1 South African Packaging Market Overview
2.2 South African Packaging Market Future Outlook
2.3 South African Packaging Material Size
2.4 South African Packaging Market Size by Category
2.4.1 Paper and board packaging
2.4.2 Flexible plastic packaging
2.4.3 Rigid plastic packaging
2.4.4 Metal packaging
2.4.5 Glass packaging
3 South African Packaging Industry Benchmarking
3.1 Ranking in the Global Packaging Marketplace
3.2 Global Packaging Market Growth Potential
3.3 Per Capita Annual Packaging Expenditure
3.4 Paper and Board Packaging Market Share
3.5 Flexible Plastic Market Share
3.6 Rigid Plastic Market Share
3.7 Metal Packaging Market Share
3.8 Glass Packaging Market Share
4 Market Environment, Growth Drivers and Challenges
4.1 Macroeconomic Factors
4.1.1 GDP growth
4.1.2 Annual disposable income
4.1.3 Inflation
4.2 Regulatory Environment
4.3 Key End-User Market Drivers
4.3.1 Market growth
4.3.2 Food and beverages market
4.3.3 Pharmaceuticals market
4.3.4 Personal care market
4.4 Emerging Business Strategy and Trends
4.4.1 Companies are forming strategic alliances to gain market share
4.4.2 Companies are undertaking strategic initiatives to strengthen their position
4.4.3 Consumer spending on food and beverages is expected to drive demand for packaged foods
4.4.4 Companies are looking to consolidate operations to achieve efficiencies
4.4.5 Rising demand for environmentally friendly and sustainable packaging among consumers
4.4.6 Increasing demand for smart and active packaging
4.5 Key Challenges
4.5.1 Regulatory measures
4.5.2 Economic slowdown negatively impacts packaging
5 South African Packaging Trade Dynamics
5.1 Packaging Import and Export Market Dynamics
5.2 Packaging Imports and Exports: Category Analysis
5.2.1 Paper and board packaging
5.2.2 Plastic packaging
5.2.3 Metal packaging
5.2.4 Glass packaging
5.2.5 Packaging machinery
6 Industry Structure and Competitive Landscape
6.1 Competitive Landscape: Overview
6.1.1 Main industry participants
6.1.2 High levels of competition exert pressure on small and medium-sized companies
6.2 Industry Dynamics: Five Forces Analysis
6.3 Five Forces Analysis: Paper and Board
6.3.1 Paper and board – bargaining power of supplier: low
6.3.2 Paper and board – bargaining power of buyer: high
6.3.3 Paper and board – barriers to entry: low-to-medium
6.3.4 Paper and board – intensity of rivalry: high
6.3.5 Paper and board – threat of substitution: low
6.4 Five Forces Analysis: Flexible Plastic Packaging
6.4.1 Flexible plastic – bargaining power of supplier: low
6.4.2 Flexible plastic – bargaining power of buyer: medium
6.4.3 Flexible plastic – barrier to entry: low
6.4.4 Flexible plastic – intensity of rivalry: high
6.4.5 Flexible plastic – threat of substitution: low
6.5 Five Forces Analysis: Rigid Plastic Packaging
6.5.1 Rigid Plastic – bargaining power of supplier: low
6.5.2 Rigid Plastic – bargaining power of buyer: high
6.5.3 Rigid Plastic – barriers to entry: low
6.5.4 Rigid Plastic – intensity of rivalry: high
6.5.5 Rigid Plastic – threat of substitution: medium
6.6 Five Forces Analysis: Metal Packaging
6.6.1 Metal – bargaining power of supplier: medium to high
6.6.2 Metal – bargaining power of buyer: medium
6.6.3 Metal – barriers to entry: low to medium
6.6.4 Metal – intensity of rivalry: medium
6.6.5 Metal – threat of substitution: medium
6.7 Five Forces Analysis: Glass
6.7.1 Glass – bargaining power of supplier: medium
6.7.2 Glass – bargaining power of buyer: medium
6.7.3 Glass – barrier to entry: medium
6.7.4 Glass – intensity of rivalry: medium
6.7.5 Glass – threat of substitution: medium to high
7 Appendix
7.1.1 Areas of expertise
7.2 Methodology
7.3 Definitions
7.4 Disclaimer

List of Tables
Table 1: South African Packaging Market Size by Category (US$ Million), 2007–2011
Table 2: South African Packaging Market Size by Category (US$ Million), 2012–2016
Table 3: South African Packaging Market Share by Category, 2011 and 2016
Table 4: South African Paper and Board Packaging Market Size (US$ Million), 2007–2011
Table 5: South African Paper and Board Packaging Market Size (US$ Million), 2012–2016
Table 6: South African Flexible Plastic Packaging Market Size (US$ Million), 2007–2011
Table 7: South African Flexible Plastic Packaging Market Size (US$ Million), 2012–2016
Table 8: South African Rigid Plastic Packaging Market Size (US$ Million), 2007–2011
Table 9: South African Rigid Plastic Packaging Market Size (US$ Million), 2012–2016
Table 10: South African Metal Packaging Market Size (US$ Million), 2007–2011
Table 11: South African Metal Packaging Market Size (US$ Million), 2012–2016
Table 12: South African Glass Packaging Market Size (US$ Million), 2007–2011
Table 13: South African Glass Packaging Market Size (US$ Million), 2012–2016
Table 14: South African GDP at Constant Prices (US$ Billion), 2007–2016 (Base Year 1999–2000)
Table 15: South African Annual Disposable Income (US$ Billion), 2007–2016
Table 16: South African Inflation Rates (%), 2007–2016
Table 17: South Africa – Market Regulation Measures
Table 18: South African Packaging Market by End-User Market (% Value), 2011
Table 19: South African Packaging Market Size by End-User Market (US$ Billion), 2007–2011
Table 20: South African Packaging Market Size by End-User Market (US$ Billion), 2012–2016
Table 21: South African Packaging Market Strategic Alliances by Key Companies
Table 22: South Africa Packaging Industry – Import/Export Dynamics (US$ Million), 2010
Table 23: South African Paper and Board Packaging: Exports and Imports (US$ Million), 2006–2010
Table 24: South African Plastic Packaging: Exports and Imports (US$ Million), 2006–2010
Table 25: South African Metal Packaging: Exports and Imports (US$ Million), 2006–2010
Table 26: South African Glass Packaging: Exports and Imports (US$ Million), 2006–2010
Table 27: South African Packaging Machinery: Exports and Imports (US$ Million), 2006–2010
Table 28: Competitive Landscape of the South African Packaging Industry

List of Figures
Figure 1: South African Packaging Market Size by Category (US$ Million), 2007–2011
Figure 2: South African Packaging Market Size by Category (US$ Million), 2012–2016
Figure 3: South African Packaging Market Shares by Category, 2011 and 2016
Figure 4: South African Paper and Board Packaging Market Size (US$ Million), 2007–2011
Figure 5: South African Paper and Board Packaging Market Size (US$ Million), 2012–2016
Figure 6: South African Flexible Plastic Packaging Market Size (US$ Million), 2007–2011
Figure 7: South African Flexible Plastic Packaging Market Size (US$ Million), 2012–2016
Figure 8: South African Rigid Plastic Packaging Market Size, (US$ Million) 2007–2011
Figure 9: South African Rigid Plastic Packaging Market Size (US$ Million), 2012–2016
Figure 10: South African Metal Packaging Market Size (US$ Million), 2007–2011
Figure 11: South African Metal Packaging Market Size (US$ Million), 2012–2016
Figure 12: South African Glass Packaging Market Size (US$ Million), 2007–2011
Figure 13: South African Glass Packaging Market Size (US$ Million), 2012–2016
Figure 14: Benchmarking with Key Global Markets – Market Size (US$ Billion), 2011 vs. 2016
Figure 15: Leading Global Packaging Markets by Potential Growth Rates (%), 2012–2016
Figure 16: Per Capita Packaging Expenditure by Key Countries (US$), 2011 vs. 2016
Figure 17: Paper and Board Packaging Market by Country as a Percentage of the Global Market (%), 2011
Figure 18: Flexible Plastic Packaging Market by Country as a Percentage of the Global Market (%), 2011
Figure 19: Rigid Plastic Packaging Market by Country as a Percentage of the Global Market (%), 2011
Figure 20: Metal Packaging Market by Country as a Percentage of the Global Market (%), 2011
Figure 21: Glass Packaging Market by Country as a Percentage of the Global Market (%), 2011
Figure 22: South African GDP at Constant Prices (US$ Billion), 2007–2016 (Base Year 1999–2000)
Figure 23: South African Annual Disposable Income (US$ Billion), 2007–2016
Figure 24: South African Inflation Rates(%), 2007–2016
Figure 25: South African Packaging Market by End-User Markets (%), 2011
Figure 26: South African Packaging Market Size by End-User Market (US$ Billion), 2007–2011
Figure 27: South African Packaging Market Size by End-User Market (US$ Billion), 2012–2016
Figure 28: South African Consumer Spending on Food (US$ Billion), 2012–2016
Figure 29: South African Packaging Industry – Import/Export Dynamics (US$ Million), 2010
Figure 30: South African Paper and Board Packaging: Exports and Imports (US$ Million), 2006–2010
Figure 31: South African Plastic Packaging: Exports and Imports (US$ Million), 2006–2010
Figure 32: South African Metal Packaging: Exports and Imports (US$ Million), 2006–2010
Figure 33: South African Glass Packaging: Exports and Imports (US$ Million), 2006–2010
Figure 34: South African Packaging Machinery: Exports and Imports (US$ Million), 2006–2010
Figure 35: South African Packaging Industry Dynamics: Paper and Board Packaging
Figure 36: South African Packaging Industry Dynamics: Flexible Plastic Packaging
Figure 37: South African Packaging Industry Dynamics: Rigid Plastic Packaging
Figure 38: South African Packaging Industry Dynamics: Metal Packaging
Figure 39: South African Packaging Industry Dynamics: Glass Packaging