Global Market Outlook on Caps and Closures

  • Plastic caps and metal closures hold a market share of about 73–75 percent 24–25 percent, respectively. The rest is shared between rubber and cork 
  • The Beverage industry is the largest end-use segment and accounts for about 50–55 percent of the overall market 
  • Bottled water is the fastest growing end-use market (CAGR 7–8 percent), especially in the Americas and APAC, as more consumers switch from CSDs to more healthy beverages 
  • Adoption of user-friendly features, such as dispensing and child resistance, is driving the value growth in the market, at a CAGR of about 5–6 percent, until 2022


  • Development of flexible packaging options, such as pouches, is restraining the market

Key Trends and Innovations

  • Anti-counterfeiting Closures: The penetration of anti-counterfeiting closures is high in alcoholic beverages, especially in premium segment. Currently, such closures are penetrating other F&B segments. Innovations include holograms, QR codes, RFID chips, etc. As the market grows in other segments, cheaper and highly scalable mechanisms will be adopted by the industry
  • Functional and User-friendly Closures: As a result of growing consumer pressure, especially from mature markets, brands are switching to more user-friendly designs. Features, such as child resistance, are becoming regulatory requirements. These factors are expected to foster multitude of innovations that offer many user-friendly functionalities, such as dosage measuring, dual-spout closures, etc

  • Dispensing and Smart Closures: Many pharma firms have incorporated dispensing closures or smart features into their packaging. Techniques, such as NFC, Bluetooth, etc., are being used by firms to communicate dosage and promotional information to consumers. As such closures command a much higher price than conventional ones, the cost of packaging is expected to increase in the pharma industry

Value Chain Analysis: Plastic Caps

  • PP and HDPE are the preferred resins for manufacturing plastic closures. Injection molding process is the most favored technology for manufacturing caps and closures 
  • Compression molding is a new technology, but it has started replacing injection molding in the manufacturing closures, owing to faster process in mass production and the ability to manufacture light-weight closures

Global Market Size: Caps and Closures

  • The caps and closures market is expected to grow at the rate of 4–4.5 percent by volume during 2017–2022, with plastic caps and closures driving the demand 
  • In the next five years, beverages, especially bottled water, will drive the volume growth, whereas user-friendly and functional closures in personal and home care and pharma are likely to drive the value growth