Hydrocarbon Ink Resin Market - Forecast(2023 - 2028)

Hydrocarbon Ink Resin Market Overview

Hydrocarbon Ink Resin Market size is estimated to reach US$3.5 billion by 2027 and it is projected to grow at a CAGR of 4.4% during 2022-2027. Hydrocarbon resin has a wide variety of industrial applications. The resin can be used in paint, printing ink, adhesives, rubber, and other applications. Hydrocarbon ink resin has a high softening point. Besides it also offers water resistance, chemical stability and a great solubility. Hydrocarbon ink resin serves a great application in flexible packaging, corrugated cardboard and folding cartons, printing, and publications. Various resin polymers are used in  hydrocarbon ink resin industry such as ethylene vinyl acetate, nitrocellulose and polyurethanes. Polyurethanes are used in printing ink while ethylene vinyl acetate is used in printing inks and coatings.

COVID-19 Impact

Many of the industries across the globe have faced several challenges due to the COVID-19 pandemic. The industries such as flexible packaging, printing and publications including many others have experienced pitfalls. Many projects in such industries have been halted due to an interrupted supply chain and employee shortages due to quarantines. According to Flexible Packaging Magazine, packaging industry in 2020 were operating at 85-93% of the capacity. Also, the production and demand corrugated cardboard & folding cartons applications has declined due to an interrupted supply chain and cessation in transportation of raw materials. Thus, with the global pause in industrial production and distribution, the demand and consumption of hydrocarbon ink resin has hampered to an extent in several industries. 

Report Coverage

The “Hydrocarbon Ink Resin Market Report – Forecast (2022-2027)”, by IndustryARC, covers an in-depth analysis of the following segments of the hydrocarbon ink resin industry.

Key Takeaways

• Asia Pacific is the fastest growing region in the hydrocarbon ink resin market. This growth is mainly attributed to the increased demand in printing and publication industry.
• Surge in demand from printing and publication application is driving the growth of the hydrocarbon ink resin market.
• hydrocarbon ink resin plays an important role in several industries, especially in the flexible packaging which is expected to provide a significant growth opportunity for the global market.

Figure: Asia Pacific Hydrocarbon Ink Resin Market Revenue, 2021-2027 (US$ Billion)

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Hydrocarbon Ink Resin Market Segment Analysis – By Process

The flexographic segment held the largest hydrocarbon ink resin market share in 2021, with a share of over 42%. Hydrocarbon ink is majorly used in flexographic printing process. Flexographic process has risen to the top of the list of popular printing technologies, with its capabilities growing and expanding in tandem with changing consumer demand. Flexography prints on a wide range of materials, including films, pressure sensitive materials, and paper stocks, using a relief plate. Flexographic process allows for die cutting, lamination, and cold-foil stamping while running at high press speeds. Labels, tape, bags, boxes, and banners are among the packaging items that are highly suggested. Flexographic process is more economical than lithographic or gravure process. In addition to, according to Luminite, that lead time of gravure is generally 3-4 times that of flexographic process; run time of gravure press is longer. Thus, versatility of flexographic process is driving the growth of hydrocarbon ink resin market.

Hydrocarbon Ink Resin Market Segment Analysis – By Application

The printing and publications segment held the largest hydrocarbon ink resin market share in 2021 and it accounted for around 52%. Hydrocarbon resin has high softening point providing resistance to water and dryness. Combining it with printing ink increases the printing performance. Hydrocarbon ink resin has several advantages as it has wide solubility, good chemical stability and good water resistance. According to Kene Partners, printing industry in 2022 is estimated to be $821 billion globally. Thus, surge in demand of hydrocarbon ink resin in printing and publications is boosting the global market.

Hydrocarbon Ink Resin Market Segment Analysis – By Geography

The Asia Pacific is the leading region accounted for the largest share in the hydrocarbon ink resin market in 2021 and held nearly 37% of market share. Hydrocarbon ink resin has a high compatibility with various polymers. It is used for printing as its high softening point can improve color diffusion, speed of drying, gloss, and the ability to print exceedingly brilliantly. India is dominating country in the printing industry. According to All India Federation of Master Printers (AIFMP) in 2021 India was world’s largest printing industry with about 250,000 printers. Thus, the growth in printing industry is boosting the market growth.

Hydrocarbon Ink Resin Market Drivers

Consumer Preference for Flexible Packaging

Hydrocarbon ink resin serves a great purpose in flexible packaging due to high softening point and chemical stability. Stand-up pouches, reclosable pouches, and other non-rigid food packaging designs are examples of flexible food packaging. They can be used for liquid, solid, or powder items and are an alternative to rigid packaging such as plastic bottles, glass bottles, or composite canisters. Flexible packaging offers several advantages. It is highly economical in terms of production cost. Food packages that are lighter and smaller help to cut transportation expenses. Loads can be lighter for the same volume of merchandise, which saves on fuel cost. Consumers also prefer flexible packaging due to attractive looks and easy handling. According to PKG Brand Design, 71% of Americans prefer flexible packaging over rigid packaging. Thus, surge in demand for flexible packaging is boosting the demand for hydrocarbon ink resin market.

Surge in Food Delivery Sector

Hydrocarbon ink resin has an application in flexible packaging. Flexible packaging offers a delicate balance between performance, weight, functionality, manufacturing costs, recyclability, and sustainability. Flexible packaging films enable smart food packaging, reducing energy usage, raw material use, and CO2 emissions during food product transportation. Flexible packaging formats' transparency allows for the addition of communication components concerning product quality and condition to the food package. To protect public health, flexible packaging maintains food safety and hygiene across various touchpoints. When a package falls off the shelf or comes into contact with non-food items in a store, flexible packaging provides smart skin protection. According to Forbes India, food delivery sector in 2020 was estimated to be $111.32 billion worldwide. Thus, growth of food delivery sector and surge in demand for flexible packaging is boosting the demand for hydrocarbon ink resin market.

Hydrocarbon Ink Resin Market Challenges

Challenges in 3D Printing

Hydrocarbon resin ink has major application in printing. Over the last two years, 3D printing has expanded in popularity. Although it is growing there are certain challenges to deal with. 3D printing requires machines having a purchasing price of millions of dollars. In contrast to traditional production, 3D printing has high expenses associated with producing big quantities of particular products. As 3D printing spreads throughout the industry, there aren't enough people qualified to develop, perform, and run the equipment. Many 3D printers produce products that are inferior to those produced by traditional manufacturing methods. A lack of uniform standards is one of the causes behind this. Thus, the lack of development in 3D printing is hampering the market growth.

Hydrocarbon Ink Resin Industry Outlook

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Hydrocarbon Ink Resin market. Hydrocarbon Ink Resin market top 10 companies include -

1. BASF SE
2. The Dow Chemical Company
3. Covestro AG
4. Evonik Industries Ag
5. Kraton Corporation
6. Arakawa Chemical Industries Ltd.
7. IGM Resins
8. Lawter
9. Hydrite Chemical Co.
10. Indulor Chemie GmbH

Recent Developments

• In October 2021, PPC Flexible Packaging has been purchased by GTCR, a Chicago-based private equity firm. PPC will continue to be an acquirer, according to GCTR.
• In October 2021, Sycamore Sales, a Norcross, Georgia-based company that does business as Preferred Packaging, is acquired by C-P Flexible. Preferred Packaging is a supplier of tray sealing equipment as well as multilayer flexible sheets and thermoformed containers.

Relevant Reports

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