Packaging Industry in Thailand

Euromonitor International's Packaging Industry in Thailand report offers a comprehensive guide to the size and shape of the market at a national level. It provides historic market size data by industry, allowing you to identify the most popular pack types. It identifies the leading companies, and offers strategic analysis of key factors influencing the market- be they new product developments, recycling or legislation issues. Forecasts illustrate how the market is set to change.

Chapters: 5  |  Tables: 45  |  Publication date: Aug 2009
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Executive summary

Economic downturn putting pressure on margins

As a result of the slowdown in the global economy, packaging manufacturers have faced increasing raw material and distribution costs. Not only this, but falling revenues have affected the manufacturers’ financial positions. Small manufacturers are more severely affected than large manufacturers as they face weaker cash flow and lower economies of scale. One of the biggest challenges the industry is facing stems from the fact that operators are being forced to improve operational efficiency in the context of rising production costs, while at the same time maintaining their competitive edge. Large-scale packaging manufacturers are gaining competitive advantages through economies of scale and a stronger bargaining position in their dealings with suppliers. However, there was minimal merger or acquisition activity during 2008 and most packagers have a limited capacity to expand during the economic downturn.

Packagers act to respond to increasing environmental awareness

Packaging manufacturers continue to place their focus on environmentally friendly products due to rising concerns surrounding climate change, both among consumers and the government, as well as private organisations. Bangkok Glass Co Ltd invested in the promotion of its recycling campaign. The company set up Glass Bottle Bank scheme to buy back glass packaging from consumers and has run a campaign on television and through other media to promote the message that used glass packaging has intrinsic value and can be sold back to packaging companies. In 2008, the company continued to expand its recycling campaigns beyond glass packaging by launching the campaign, Change, by Bangkok Glass to communicate the ideas of reduce, reuse, and recycle for materials such as folding cartons and other unused materials in households.

Convenient packaging to generate added value

Out-of-home and on-the-go consumption remains the leading area of focus for food and non-food manufacturers. Portable packaging is one of the major strategies being pursued to appeal to consumers. Widespread innovations in portable packaging have been seen in several categories. Travel packs, pocket packs and single-serve packs are all being warmly welcomed by Thai consumers.

Single-person households influencing packaging trends

In Thailand, single-person households are rising in number, particularly in urban areas. This has made them an increasingly important target group for manufacturers and packagers alike. Urban consumers have less time to prepare food as they spend longer hours outside the home, working, studying, and spending time in retailing outlets doing leisure activities and exercising. For food products, packaging is a key factor in terms of the speed and convenience of preparation. Microwaveable and heatproof packs are widely used for many frozen and dried processed products in Thailand, enabling them to be consumed anywhere anytime, without the necessity to transfer the products to other containers for cooking and consumption.

Larger players introduce technological advances, pushing smaller players out

Due to their stronger financial capacities, large-scale packaging manufacturers are making headway in technological investment, which is enabling them to offer a wider range of cutting-edge and more technologically advanced products. Consequently, the products of these larger players are being increasingly sought after, particularly amongst the technologically-orientated products such as high-end skin care brands and other premium cosmetics. Thus, small-to-medium sized packagers are being pushed aside as the larger competitors successfully persuade clients to switch to their products. Large numbers of small packaging manufacturers continue to disappear from the market as a result of this trend.

Table of contents

EXECUTIVE SUMMARY

ECONOMIC DOWNTURN PUTTING PRESSURE ON MARGINS

PACKAGERS ACT TO RESPOND TO INCREASING ENVIRONMENTAL AWARENESS

CONVENIENT PACKAGING TO GENERATE ADDED VALUE

SINGLE-PERSON HOUSEHOLDS INFLUENCING PACKAGING TRENDS

LARGER PLAYERS INTRODUCE TECHNOLOGICAL ADVANCES, PUSHING SMALLER PLAYERS OUT

MARKET BACKGROUND

PACKAGING LEGISLATION

FDA laws and regulations on food packaging

Nutrition labelling

RECYCLING AND THE ENVIRONMENT

Recycling campaigns actively driven by packaging companies

CORPORATE ACTIVITY IN PACKAGING

LEADING PACKAGING MANUFACTURERS GO GREEN

INNOVATION IS CREATING UNIQUE PACKAGING PRODUCTS

LARGE-SCALE MANUFACTURERS GAIN MORE POWER

PACKAGING SHIFTING TOWARDS CONVENIENT CLOSURES

MAJOR MARKET PLAYERS

ALCAN PACKAGING STRONGPACK CO LTD

Strategic direction

Company Background

Competitive positioning

Summary 1 Major End-Use Markets for Alcan Packaging Strongpack Co Ltd by Pack Type 2008

ALUCON PUBLIC CO LTD

Strategic direction

Company Background

Production

Competitive positioning

Summary 2 Alucon Public Co Ltd: Operational Indicators 2007

Summary 3 Major End-Use Markets for Alucon Public Co Ltd by Pack Type 2008

BANGKOK GLASS INDUSTRY CO LTD

Strategic direction

Company Background

Production

Environmental campaign

Competitive positioning

Summary 4 Bangkok Glass Industry Co Ltd: Operational Indicators 2006

Summary 5 Major End-Use Markets for Bangkok Glass Industry Co Ltd by Pack Type 2008

BERLI JUCKER PCL

Strategic direction

Company Background

Production

Environmental campaign

Competitive positioning

Summary 6 Berli Jucker PCL: Operational Indicators 2007

Summary 7 Major End-Use Markets for Beli Jucker PCL by Pack Type 2008

C.P. PACKAGING INDUSTRY CO LTD

Strategic direction

Company background

Competitive positioning

Summary 8 C.P. Packaging Co Ltd: Operational Indicators 2007

Summary 9 Major End-Use Markets for C.P. Packaging Co Ltd by Pack Type 2008

CROWN SEAL PUBLIC CO LTD

Strategic direction

Company background

Production

Competitive positioning

Summary 10 Crown Seal Public Co Ltd: Operational Indicators 2007

Summary 11 Major End-Use Markets for Crown Seal Public Co Ltd by Pack Type 2008

FILM MASTER CO LTD

Strategic direction

Company background

Competitive positioning

Summary 12 Film Master Co Ltd: Operational Indicators 2007

Summary 13 Major End-Use Markets for Film Master Co Ltd by Pack Type 2008

NIPPON PACK (THAILAND) PUBLIC CO LTD

Strategic direction

Company background

Competitive positioning

Summary 14 Nippon Pack (Thailand) Public Co Ltd: Operational Indicators 2007

Summary 15 Major End-Use Markets for Nippon Pack (Thailand) Public Co Ltd by Pack Type 2008

SIAM GLASS INDUSTRY CO LTD

Strategic direction

Company background

Competitive positioning

Summary 16 Siam Glass Industry Co Ltd: Operational Indicators 2007

Summary 17 Major End-Use Markets for Siam Glass Co Ltd by Pack Type 2008

SIAM TOPPAN PACKAGING CO LTD

Strategic direction

Company background

Competitive positioning

Summary 18 Siam Toppan Packaging Co Ltd: Operational Indicators 2007

Summary 19 Major End-Use Markets for Siam Toppan Packaging Co Ltd by Pack Type 2008

SWAN INDUSTRIES THAILAND LTD

Strategic direction

Company background

Competitive positioning

Summary 20 Swan Industries (Thailand) Ltd: Operational Indicators 2007

Summary 21 Major End-Use Markets for Swan Industries Thailand Ltd by Pack Type 2008

TCK INTERPLAS CO LTD

Strategic direction

Company background

Competitive positioning

Summary 22 TCK Interplas Co Ltd: Operational Indicators 2007

Summary 23 Major End-Use Markets for TCK Interplas Co Ltd by Pack Type 2008

TETRA PAK MANUFACTURING (THAILAND) CO LTD

Strategic direction

Company background

Competitive positioning

Summary 24 Major End-Use Markets for Tetra Pak Manufacturing (Thailand) Ltd by Pack Type 2008

THAI CAPS CO LTD

Strategic direction

Company background

Competitive positioning

Summary 25 Major End-Use Markets for Thai Caps Co Ltd by Pack Type 2008

THAI HOOVER INDUSTRY CO LTD

Strategic direction

Company background

Competitive positioning

Summary 26 Thai Hoover Industry Co Ltd: Operational Indicators 2007

Summary 27 Major End-Use Markets for Thai Hoover Industry Co Ltd by Pack Type 2008

THAI OPP PCL

Strategic direction

Company background

Production

Competitive positioning

Summary 28 Thai OPP PCL: Operational Indicators 2007

Summary 29 Major End-Use Markets for Thai OPP PCL by Pack Type 2008

THAI PACKAGING & PRINTING PUBLIC CO LTD

Strategic direction

Company background

Competitive positioning

Summary 30 Thai Packaging & Printing Public Co Ltd: Operational Indicators 2007

Summary 31 Major End-Use Markets for Thai Packaging & Printing PCL by Pack Type 2008

THAI PLASPAC PCL

Strategic direction

Company background

Competitive positioning

Summary 32 Thai Plaspac PCL: Operational Indicators 2007

Summary 33 Major End-Use Markets for Thai Plaspac PCL by Pack Type 2008

TOP EASY CO LTD

Strategic direction

Company background

Competitive positioning

Summary 34 Top Easy Co Ltd: Operational Indicators 2007

Summary 35 Major End-Use Markets for Top Easy Co Ltd by Pack Type 2008

UNION THAI POLYPLAST CO LTD

Strategic direction

Company background

Competitive positioning

Summary 36 Union Thai Polyplast Co Ltd: Operational Indicators 2007

Summary 37 Major End-Use Markets for Union Thai Polyplast Co Ltd by Pack Type 2008

MAJOR PLAYERS BY PACK TYPE

RIGID PLASTIC

Intense competition among large number of players

Summary 38 Major Rigid Plastic Packaging Companies by Pack Type 2008

METAL

Downturn period of metal packaging

Summary 39 Major Metal Packaging Companies by Pack Type 2008

FLEXIBLE PACKAGING

Technological innovation key means of differentiation in fragmented competitive landscape

Summary 40 Share of Major Flexible Packaging Companies 2007

Summary 41 Major Flexible Packaging Companies by Pack Type 2008

GLASS

Environmental concerns boost popularity of glass packaging

Summary 42 Share of Major Glass Packaging Companies 2007

LIQUID CARTONS

Tetra Pak leads packaging innovation

Summary 43 Share of Major Liquid Carton Companies 2007

PAPER-BASED CONTAINERS

Folding cartons dominate paper-based containers

Summary 44 Major Paper-based Container Companies by Pack Type 2008

CLOSURES

Packaging moving towards convenient closures

Metal caps face substitution by plastic caps

Summary 45 Ranking of Major Closure Companies 2007