Supply Chain Council of European Union |

Blister Packaging Industry Procurement Intelligence Report: PET and RPET Being Considered As Alternatives To PVC Due To Increased Cost To Procure

SAN FRANCISCO, Dec. 1, 2021 /PRNewswire/ — The global blister packaging industry is expected to advance at 7.4% CAGR from 2020 to 2025 as demand grows for unit-dose packaging, short-cycle medication, and a monitored dosage system to improve patient adherence. PVC has been the traditional choice in blister packaging for a very long time as it offers low prices and strong durability while maximizing product visibility at the same time. PVC pricing had been stagnant for some time before 2020 and it was generally readily available. However, during the Covid-19 pandemic, the housing market started to gain traction and the construction market continues to buy more PVC, hence the price has increased drastically, making it hard to procure PVC for blister packaging. Moreover, recent economic and environmental policy changes compel some brands to think and find a PVC alternative for their blister packaging. Polyethylene terephthalate (PET) and recycled polyethylene terephthalate (RPET) are the two major strong alternatives to the traditional PVC blister. It is majorly used in soda bottles and is known for its strong durability and transparency. PET and RPET are most preferable for brands with high sustainability goals as they can be easily recycled.

Grand View Research

Grand View Research

One of the leaders in the packaging industry, Amcor has already started working on developing alternatives for PVC in blister packaging. In April 2021, the company announced the customer trials of the world’s first recyclable polyethylene-based thermoform blister packaging named AmSky. It reduces carbon footprint by 70% compared to PVC and other alternatives. PVC makes packaging recycling more difficult or contaminates other materials if consumers attempt to recycle them. Therefore, Amcor’s solution eliminates PVC from the packaging by using a mono-material Polyethylene thermoform blister and lidding film.

Blister Packaging Industry Procurement Intelligence report, by Grand View Research, deep dives into the following insights from the industry:

  • Increasing demand for pharmaceuticals and consumer goods is fueling the growth of the blister packaging market – The shift from plastic containers to blisters in North America to enhance patient compliance for the growing old-age population is expected to propel market growth. Europe, Middle East, and Africa (EMEA) is expected to register the highest CAGR of more than 8% and reach USD 10.31 billion by 2024.

  • Fragmented nature of the blister packaging industry, with high number of suppliers present in different regions, has an arresting effect on bargaining power of suppliers. – With low entry barriers for new entrants, due to low manufacturing and operating costs, the blister packaging industry features a highly fragmented competitive landscape. Moreover, established industry participants are engaging into new product development, M&A, and strategic partnerships to enhance their regional presence and cater to the heightened demand.

  • Suppliers opt for a full-service outsourcing engagement model – Suppliers widely prefer approved provider operating models to reduce risks and improve the potential for value creation. As such, suppliers are expected to move from offering generic services to proprietary services in the future.

Blister Packaging Industry Cost Intelligence – Key Components:

Grand View Research has identified the following key cost components for availing blister packaging:

  • Raw Materials

  • Fixed Costs

  • Labor

  • SG&A

  • R&D

  • Depreciation

  • Interest

  • Tax

  • Profit

Raw material is the biggest cost component of blister packaging, accounting for more than 60% of the total cost of manufacturing.

Blister Packaging Industry Supplier Intelligence – Capability based ranking & selection criteria with weightage:

Operational Capabilities –

  • Years in Service – 15%

  • Geographical Service Presence – 35%

  • Employee Strength – 15%

  • Revenue Generated – 15%

  • Key Clients – 12%

  • Certifications – 8%

Functional Capabilities –

List of key suppliers in the blister packaging industry:

  • Amcor Plc

  • DOW

  • WestRock Company

  • Sonoco Products Company

  • Constantia Flexibles

  • Klockner Pentaplast Group

  • E.I. du Pont de Nemours and Company

  • Honeywell International Inc.

  • Tekni-Plex

  • Display Pack

Addon Services offered by Grand View Research:

  • Should Cost Analysis – In the blister packaging procurement intelligence study, we have estimated and forecasted pricing for the key cost components. Raw materials are the largest cost component of blister packaging manufacturing cost. It accounted for more than 60% of the overall cost of manufacturing. Forming film and lidding materials are the key cost driver of raw materials. Forming films are made of PVC and the prices of PVC peaked in 2020, largely due to COVID-19 and subsequent supply chain disruptions. However, prices are expected to stabilize gradually from 2021.

  • Rate Benchmarking – The type of the forming film is one of the most important aspects while analyzing rate benchmarking of blister packaging. In our research, we have compared the rates of six types of forming films including polyvinyl chloride (PVC), polyvinylidene chloride (PVDC), chlorotrifluoroethylene (CTFE), polypropylene (PP), polyethylene terephthalate (PET), and polystyrene (PS). By using rate benchmarking analysis, we found that PVDC and CTFE forming films price per unit area is 60%-80% higher than PP, PET, PS, and PVC forming films. PVC forming films offers the lowest price per unit area and it has an 80% better water vapor transmission rate (WVTR) than PVDC, CTFE, and PP forming films. PVC films’ high cost-efficiency ratio in price/unit area makes it most preferable forming film material for blister packaging suppliers.

  • Salary Benchmarking – Our research indicates that Honeywell production managers earn 50-60% higher salaries than production managers from other key industry leaders like Amcor and DoW. However, the YoY increment rate in such companies largely depends on KRAs.

  • Supplier Newsletter – It is cumbersome for any organization to continuously track the latest developments in their supplier landscape. Our newsletter service helps them remain updated, to avoid any supply chain disruption which they may face, and keep a track of the latest innovations from the suppliers. Outsourcing such activities help clients focus on their core offerings.

A smart and effective supply chain is essential for growth in any organization. Pipeline division at Grand View Research provides detailed insights on every aspect of supply chain which helps in efficient procurement decisions.

Our services include (not limited to):

  • Market Intelligence involving – market size and forecast, growth factors, and driving trends

  • Price and Cost Intelligence – pricing models adopted for the category, total cost of ownerships

  • Supplier Intelligence – rich insight on supplier landscape, and identifies suppliers who are dominating, emerging, lounging, and specializing

  • Sourcing / Procurement Intelligence – best practices followed in the industry, identifying standard KPIs and SLAs, peer analysis, negotiation strategies to be utilized with the suppliers, and best suited countries for sourcing to minimize supply chain disruptions

Browse through Grand View Research’s collection of procurement intelligence studies:

  • Sugar Processing Industry Procurement Intelligence Report – The growth of the sugar processing industry is majorly driven by the high demand generated from the food and beverages industry. However, a supply shortage due to the COVID-19 pandemic and the substantial reduction in output from Brazil, India, the EU, and Thailand resulted in a decrease in production in 2020.

  • Contract Research Organization Industry Procurement Intelligence Report – A major reason behind the increasing demand for CROs in the pharmaceutical industry is their diversified expertise as compared to pharma companies in terms of conducting clinical trials across multiple geographies and developing drugs in specific therapeutic areas. To efficiently cater to the rising demand, CROs are focusing on innovative sourcing and procurement methods for optimizing the cost of clinical trials and improving profitability.

About Grand View Research

Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.


Sherry James
Corporate Sales Specialist, USA
Grand View Research, Inc.
Phone: 1-415-349-0058
Toll Free: 1-888-202-9519
Email: [email protected]
Follow Us: LinkedIn | Twitter



View original content:–grand-view-research-inc-301434878.html

SOURCE Grand View Research, Inc.

Related posts

Louisiana Man Charged With Conspiracy to Defraud the Government and Violate the Procurement Integrity Act and Lying To Federal Agents | USAO-EDLA


Gurugram to get its first material recovery & composting facility at Badshapur | Gurgaon News


Retail Sourcing and Procurement Market Size And Forecast to 2029