Tobacco is a plant
belonging to the Solanacae or nightshade plant family. Tobacco is
generally used for smoking and chewing as it acts as a stimulant due
to its high nicotine content. Tobacco packaging industry involves
packaging of dried tobacco leaves used for making bidis, cigarettes,
smokeless tobacco, cigars, dissolvable tobacco and shishas or water
pipes. Packaging enhances and protects tobacco products from external
impacts during transportation. Cigarettes are one of the most widely
used tobacco products which consist of delicately cut tobacco leaves
rolled in lean paper.. Cigars on the other hand are larger in size
and do not necessarily contain a filter. Bidis are made by hand
rolling of loose tobacco in tendu leaves. Smokeless tobacco is used
as a snuff for chewing or dipping. Materials used for primary tobacco
packaging include films, boards, cartons, foils, paper, laminates and
membranes. Bulk or commercial tobacco packaging employs use of
hinge-lid cartons, bundle wraps, shells and slides. Cigarette
production currently has the largest share in the tobacco packaging
market.
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The demand for
tobacco packaging is driven by increased global cigarette production.
Increased population and per capita income in developing countries
has resulted in changing lifestyles, increased workload, and stress
especially in urban areas. To manage stress and weight issues, people
are getting inclined towards the use of stimulants and
anti-depressants, cigarettes being one of them. Furthermore,
cigarettes have become a huge attraction amongst the youth population
which has also led to an increase in its consumption. Currently,
different production technologies are being used for tobacco
packaging including hot-foil stamping and rotogravure & offset
printing. However, tobacco is a highly carcinogenic substance.
Consumption of tobacco products can lead to mouth cancer and
respiratory disorders. Increased consumer awareness and regulations
imposed by the World Health Organisation (W.H.O.) might hinder the
growth of tobacco packaging market. Currently, to reduce the ill
effects of tobacco, it is now been mixed along with cloves and green
tea leaves to produce herbal cigarettes.
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In terms of the
global demand, Asia Pacific is expected to show the fastest growth in
tobacco packaging market followed by rest of the world regions, by
2020. China is currently the largest tobacco & cigarette
manufacturer as well as exporter. Owing to a continuous increase in
cigarette consumption, China is likely to lead the international
markets by the end of forecast period. The other Asia Pacific
countries including India, Japan and South Korea are anticipated to
show a similar scenario by 2020. Considering rest of the world
region, the Middle East is likely to show an increased demand for
tobacco packaging by the end of forecast period, due to traditional
use of shishas or water pipes. The economies of countries such as
Brazil and Zimbabwe are currently dependent on tobacco production.
Hence, these countries are estimated to show a steadfast growth in
demand for tobacco production, packaging and exporting by 2020.
Europe is currently one of the leading cigarette exporters, wherein
Germany and France are top cigarette manufacturing countries.
However, due to the present situation of economic slowdown and heavy
government taxations & regulations, a decline in demand for
tobacco packaging is anticipated over the coming years. Considering
North America region, an overall decreased rate in domestic cigarette
consumption has occurred over the past few years. Thus, a stagnant
growth in demand for tobacco packaging is expected by 2020.
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Some of the key
players in the tobacco packaging market include Amcor Limited, Innova
Films Limited, China National Tobacco Corporation, ITC Limited and
Phillip Morris International, Inc.
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