Tinplate demand to grow at 4-6%
The Metal Container Manufacturers’ Association (MCMA), India’s premium organisation that represents the interests of companies involved in the production of metal containers/ packaging and allied components, envisages a key role for metal packaging (prime and non-prime tin plate and tin-free steel) in future given the global focus on sustainable principles of reduce-reuse-recycle. Tinplate demand is expected to grow at 4-6% and reach around 770-800 KT by 2024. Demand growth to be supported by robust growth in the processed food, dairy products, beverage, paints and aerosol segments.
07 Jun 2021 | 3240 Views | By PrintWeek Team
Tin containers/cans – like any other metal products – are 100% recyclable and can form an important part of global strategy to ensure sustainability of the environment.
The greatest strength of tinplate/tin-free steel is its recyclability. It is also one of the most environmentally friendly packaging materials of all, which means that tinplate can be returned to the production cycle without loss of quality. In India about 60% of the tinplate is estimated to be recycled. This is because of the unorganised nature of the recycling industry. With a proper scrap collection and recycling mechanism in place, this share can be significantly increased to match global standards.
Looking at countries such as Germany, the material has consistently exceeded all required recycling rates for 10 years. As per ‘recycling week’ – June 2020 data in 2018 a whopping 90.4% of the tinplate used as packaging material in Germany was recycled – in Europe the figure was 82.5%.
Considering the market is already favouring the industry in terms of the demand but much is dependent on government policies as soon as it becomes favourable, it will surely pin a promising future for the Indian metal packaging industry.
The rapid growth of the market is primarily driven by the pharmaceuticals, edible oil, foods and beverage industries. Huge investments in the food processing, personal care, and pharmaceuticals end-user industries are creating scope for expansion of the packaging market. The end-user of such product includes food, beverage, healthcare, cosmetics, personal care, and household care and industrial segment.
Moreover, metal packaging also provides multiple packaging options for gifting of watches, high value products, etc. It offers semi-transparent packaging with tinplate for luxury items; also, the food processing industry is on the rise with requirements for tinplate containers for packing fruit juices, cut vegetables and fruits, meat products, fish, etc.
But the Rs 10,000-crore metal packaging industry has been under continued distress. While on 17 April Metal Container Manufacturers’ Association (MCMA) had received a three-month extension from ministry of steel for the implementation of BIS notification, but it is not sufficient.
Neglecting the fact that metal packaging industry and its recycling in India is a sustainable and environmentally friendly packaging option, the government is restricting the manufacturing of such products by imposing BIS.