Global Wet Glue Labels Market - 2024-2031

Overview

Global Wet Glue Labels Market reached US$ 9.5 Billion in 2023 and is expected to reach US$ 16.3 Billion by 2031, growing with a CAGR of 7.1% during the forecast period 2024-2031.

The label business has transformed because digital printing technology provides flexible, affordable and personalized printing options. Advances in digital printing enable shorter print runs, faster turnaround times and variable data printing for wet glue labels. Digital printing allows firms to rapidly develop unique wet glue labels in response to the growing demand for seasonal variants, promotional campaigns and personalized packaging.

Labels using wet glue are widely used in a variety of industries, including domestic goods, personal care, medicines and food and drink. Since they are so adaptable, they may stick well to a variety of package substrates while offering crucial product information and branding possibilities. The need for wet glue labels rises in tandem with these sectors' ongoing expansion and innovation, propelling the market.

Asia-Pacific is among the growing regions in the global wet glue labels market covering more than 1/3rd of the market. A growing movement toward more sustainable packaging and legislative measures to cut down on packaging waste is being seen throughout the Asia-Pacific. Preferred for its ability to work with environmentally friendly materials including paper and biodegradable substrates, wet glue labels provide producers aiming to meet environmental goals with a sustainable labeling solution.

Dynamics

Technological Developments in Labeling Materials and Equipment

The wet glue labels market is seeing innovation and efficiency due to technological advances in labeling materials and equipment. Modern labeling machines with high-speed application, precise labeling and interaction with automated packing lines are being purchased by manufacturers. Furthermore, wet glue labels' performance and adaptability are being enhanced by developments in adhesive technology and substrate materials, which enable improved adhesion, durability and print quality.

For Instance, in 2022, Xaar and Guangzhou Haotian Machinery Manufacturing Co. Ltd (Haotian) collaborated to present the HTP-220/330 digital label decoration machine at Labelexpo Asia 2023. Haotian highlighted the 2002 printhead's dependability and adaptability in expressing their happiness to be working with Xaar. It hope that by working together, they can improve print quality and production efficiency for their clients, which will eventually help the label printing sector grow.

Growing Demand for Packaged Products

Wet glue labels market growth is mostly driven by a growing demand for packaged goods in some industries, including food and drink, pharmaceuticals, personal care and home goods. Urbanization, shifting customer lives and increased disposable incomes are contributing to an increasing preference for branded products and convenience.

For instance, in 2023, All4Labels Global Packaging Group acquired Chile-based label converter AMF Etiquetas from AMF Group. The move expands their network to a key location in the Wine & Spirit market. With specialist goods including shrink sleeves, in-mold labels, wet glue labels and self-adhesive labels, it makes it possible for All4Labels to serve both current and new customers. Growth and customer satisfaction are fostered by the purchase, which enhances their offers and presence in the market. Overall, it marks a strategic step forward for All4Labels in serving the packaging needs of the Wine & Spirit sector.

Raw Material Costs and Disruptions in the Supply Chain

The market for wet glue labels is vulnerable to changes in raw material prices and supply chain interruptions, which can affect production processes and final product prices. Supply disruptions caused by weather, transportation or geopolitical conflicts can result in shortages, delays and higher production costs for the materials needed to make wet glue labels. The disruptions can also affect the availability of paper, adhesives and other components.

The profitability of wet glue label producers can also be impacted by fluctuations in raw material costs since they may find it difficult to pass cost increases on to clients in a market where competition is fierce. The market for wet glue labels is being held back by supply chain difficulties and cost constraints, which means producers need to devise efficient techniques for managing their supply chains and reducing expenses.

Regulations and Environmental Issues

Paper labels with wet glue are nonetheless impacted by the environment even if they are frequently thought to be more sustainable than plastic ones. Deforestation, pollution and greenhouse gas emissions are all caused by the paper-producing process, which uses a lot of water, energy and chemicals.

Furthermore, once paper-based label disposal is not handled appropriately, it may result in waste production and landfill problems. Wet adhesive label growth is constrained by growing environmental laws and consumer demand to choose sustainable packaging. Manufacturers must manage complicated regulatory requirements and make investments in sustainable practices to reduce the negative environmental impact.

Segment Analysis

The global wet glue labels market is segmented based on product, material, grade, application and region.

Rising Demand for Wet Glue Labels in the Paper

The Paper segment is among the growing regions in the global wet glue labels market covering more than 1/3rd of the market. There is a rise in the demand for sustainable packaging options due to worries about plastic pollution and environmental awareness. Because paper is renewable, recyclable and biodegradable, it is seen to be a more environmentally responsible option for wet glue labels than those made of plastic.

For instance, information obtained by Financial Express indicates that India is through to over 600 paper mills with daily capacities ranging from 5 to 1,650 million square meters, meaning the country can generate over 25 million square meters annually. The element has contributed to the market expansion of paper-based wet glue labels. Moreover, a broad range of end-use industries, including wine and spirits, labeling, packaging and personal care, employ paper-based wet glues.

Geographical Penetration

Growing Demand for New Products in the Food and Personal Care Industries in Asia-Pacific

Asia-Pacific has been a dominant force in the global wet glue labels market. Wet glue labels have enjoyed incredible growth in the Asia-Pacific market as a result of the region's rapidly increasing industrialization and urbanization, which has raised consumer demand for packaged goods in a variety of industries, including food and drink, household goods, personal care and pharmaceuticals. As to the numbers provided by AWA, glue-applied labels hold the largest market share in Asia, accounting for 46% of all label usage.

Furthermore, a range of skincare and personal care products have been introduced by FMCG firms as well as startup businesses. In December 2017, the India Brand Equity Foundation issued an article stating that the grooming industry in India involves beauty and cosmetics and it is predicted to grow from US$ 6.5 billion in 2017 to US$ 20 billion by 2025. The elements have improved wet adhesive label performance in the personal care and cosmetics industries.

The Asia-Pacific wet glue labels market is expanding as a result of improvements in manufacturing processes and technology. To satisfy the increasing demand for labeled products and to increase production efficiency and label quality, manufacturers are investing in automation solutions and state-of-the-art technology. Wet glue labeling systems are ideal for a variety of packaging applications across sectors because of their high application speed, accuracy and flexibility.

For Instance, in 2023, Sappi, a producer of specialty papers, recently introduced the new wet-strength, alkali-resistant Parade Label Pro WS, made at the Gratkorn facility in Austria, to its line of wet-glue label papers. Sappi stated that it is going to invest tens of millions of dollars in this location's innovative technical infrastructure to create wet-strength, alkali-resistant label sheets in the future and position itself as a long-term, full-range provider of label papers.

COVID-19 Impact Analysis

The COVID-19 pandemic has resulted in both short-term disruptions and long-term changes in consumer behavior and market dynamics, which have substantially affected the globally wet glue labels industry. Widespread lockdowns and limitations on travel and company operations during the pandemic's early stages hampered supply chains, manufacturing and the market for non-essential products.

Additionally, because of changing customer tastes and a decline in economic activity, demand for wet glue labels fluctuated in several businesses that are key product users, including food and beverage, personal care and retail. The made it difficult for producers of wet glue labels to maintain income streams, manage inventories and adhere to production deadlines.

However, there was a discernible change in consumer behavior as the pandemic spread, with a rise in the use of e-commerce and a desire for packaged items. The increase in online shopping due to people staying home instead of going to stores increased demand for packaged products that required labeling supplies like wet adhesive labels.

Increased demand for products like hand sanitizers, disinfectants and packaged foods which need good labeling for consumer information and regulatory compliance was also brought on by customers' growing safety and hygiene concerns. As the market's demands changed throughout the pandemic, producers found that wet glue labels renowned for their adaptability and appropriateness for various packaging substrates were the best option.

Russia-Ukraine War Impact Analysis

The war between Russia and Ukraine greatly impacts the global wet glue labels market, especially since it can cause supply chain disruptions and influence important regions for raw material sourcing and production owing to geopolitical instability. Paper and adhesive production two necessities for producing wet glue labels-are mostly produced in Russia and Ukraine.

Any interruption to these supply networks may result in shortages and price swings, which would affect manufacturers and consumers everywhere. Furthermore, the prolonged conflict has increased economic instability, which has affected investor confidence and currency exchange rates, both of which affect the wet glue labels market.

Additionally, the conflict between Russia and Ukraine has hampered logistical networks and transportation routes, impacting the cross-border flow of supplies and commodities. The kind of interruption can cause producers and suppliers of wet glue labels to have difficulties managing their inventory, as well as delays in delivery schedules and higher shipping expenses.

By Product

• Plain printed label
• Foil stamped label
• Spot Varnish Label
• Holographic Label
• Others

By Material

• Paper
• Plastic
• Metallized Paper
• Others

By Grade

• Uncoated Wet Glue Papers
• Coated Wet Glue Papers

By Application

• Food & Beverage
• Confectionary
• Pharmaceutical
• Cosmetic
• Electronic
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

On July 20, 2023, All4Labels Global Packaging Group acquired Chile-based label converter AMF Etiquetas from AMF Group. The move expands their network to a key location in the Wine & Spirit market. It enables All4Labels to cater to existing and potential clients with specialized products like self-adhesive labels, wet glue labels, shrink sleeves and in-mold labels. The acquisition strengthens their presence and offerings in the industry, fostering growth and customer satisfaction. Overall, it marks a strategic step forward for All4Labels in serving the packaging needs of the Wine & Spirit sector.

Competitive Landscape

The major global players in the market include CCL Industries Inc., Gallus Holding, Caribbean Label Crafts Ltd., CPC Packaging, Royal Sens, Arjobex America, Inc., Gavin Watson, Huhtamaki India Ltd, Reflex and Lecta.

Why Purchase the Report?

• To visualize the global wet glue labels market segmentation based on product, material, grade, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of wet glue labels market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The global wet glue labels market report would provide approximately 70 tables, 67 figures and 208 Pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies