US cup & lid demand to reach $8.9 billion in 2016
US demand for cups and lids is forecast to reach $8.9 billion in 2016, with growth driven by above-average gains for food packaging cups and a favorable outlook for foodservice revenues. In particular, cup and lid demand will be propelled by the growing focus on specialty beverages among foodservice operators as a means of recovering sales lost due to weakness in the carbonated soft drink market. Many quick service restaurants are placing greater emphasis on premium coffee, specialty coffee drinks, iced coffee, smoothies, and frozen lemonade. These offerings are also popular as a means of boosting customer traffic since they are often purchased as snacks rather than as accompaniments to meals. http://www.bharatbook.com/
Packaging cups to lead gains
Although drinking cups will continue to dominate, the fastest gains are anticipated in the packaging cup segment due to solid product demand outlooks in key packaging cup-using markets such as yogurt, coffee and tea, and fresh fruits and vegetables. Additionally, gains will be driven by expanding uses, where cups satisfy consumer demand for portable, convenient, single-serving packaging.
Among drinking cups, plastic cups are expected to log the fastest gains based on performance and customization advantages. Additionally, value gains will reflect slightly faster price increases for plastic cups than for paper cups. Paper, however, will remain the leading drinking cup material in value and unit terms through 2016. Demand for paper cups will be supported by the continued popularity of coffee, particularly premium varieties that are typically sold in paper cups. Increasing efforts by quick service restaurants to introduce higherend coffees will also boost paper cup demand, as will the presence of valueadded insulated cups and cups featuring degradable coatings. Additionally, environmental concerns and controls on polystyrene foam cups will benefit paper cup demand.
Lids to outpace cups
Lid demand growth will outpace that of cups, fueled by an increasing percentage of drinking cups utilizing lids, heightened demand for costlier specialty lids, and healthy increases for single-serving packaging cups, all of which have lids or flexible lidding. The increased level of cups with lids will reflect the rising volume of beverages purchased for offsite consumption, consumer tendencies to drink beverages on the go, and the growing popularity of coffee in quick service restaurants, coffee and snack shops, and convenience stores.
Foodservice to remain dominant market
The foodservice market will remain the dominant cup and lid market. Growth for drinking cups will benefit from the aforementioned tendencies of coffee and beverages to go from consumer food outlets. Trends such as the availability of oatmeal as a quick service breakfast item and the popularity of self-serve frozen yogurt shops bode well for food cup demand.
Solid gains in the food and beverage packaging market will be driven by favorable consumption trends for various products commonly packaged in cups, such as yogurt, and coffee and tea for single-cup brewing systems. In addition, new applications and product line extensions utilizing cups will benefit demand. The relative novelty of the cup format in some uses combined with its convenience and portability benefits can help reinvigorate sales of mature products while boosting new sales channels.
For more information kindly visit : http://www.bharatbook.com/
Contact us at :
Bharat Book Bureau
Ph.: + 91 22 27810772 / 27810773
Fax: + 91 22 27812290
Follow us on twitter: http://twitter.com/#!/
Our Blogs : http://bharatbookblog.wordpress.com/