The South East Asia flexographic ink market was valued at US$ 443.26 million in 2019 and is projected to reach US$ 661.06 million by 2027; it is expected to grow at a CAGR of 5.2% during 2020–2027.
Flexographic ink, also known as flexo printing ink, is used in the printing of packaging materials such as cardboard boxes, packaged food, paper bags, plastic bags, and newspapers. There is an upsurge in demand for flexographic inks from the packaging industry due to the growing focus of manufacturers on the development of attractive packaging methods and materials for their products. UV curable ink is gaining high acceptance over other types such as water-based and solvent-based inks due to its advantages such as high production output, superior bonding, low volatile organic compound (VOC) content, lowered drying time, reduced rejection rates, and better solvent resistance properties. The demand for UV-curable inks has also increased on the back of continuous changes in environmental regulations, and growing awareness and rising concern toward improving the safety of packaged foods.
Based on application, the South East Asia flexographic ink market is segmented into water-based technology, solvent-based technology, and UV- curable technology. In 2019, the water-based technology segment dominated the market with a share of 48.6%. The water-based flexographic inks consist of water and pigments, along with additives such as deformers, and adhesion and drying agents. The inks that are produced using water-based technology exhibit higher surface tension than other inks. Flexographic inks produced using water-based technology deliver better and enhanced performance compared to the inks produced using solvent-based technology. These inks find applications in digital printing of garments and fabrics, among others. Moreover, there is also a high demand for flexographic inks in packaging applications. The water-based inks that contain less quantity of organic solvents can reduce the VOC emission from printers.
In terms of country, the South East Asia flexographic ink market is segmented into Malaysia, Singapore, Thailand, Vietnam, and Rest of South East Asia. In 2019, rest of South East Asia held the largest share of the market, followed by Thailand and Vietnam, respectively. Rest of South East Asia includes Indonesia, the Philippines, Cambodia, and Myanmar, among others. The growth of the market in these countries is mainly ascribed to the presence of well-established flexographic ink producing companies such as T& K Toka Co. Ltd. and Sakanta Inx Corporation. With the emerging packaging industry in these countries the flexographic ink market has experienced huge growth in recent years in South East Asia.
Impact of COVID-19 Pandemic on South East AsiaFlexographic Ink Market
The COVID-19 outbreak first began in Wuhan (China) in December 2019, and since then, it has spread at a fast pace worldwide. As of September 2020, Malaysia, Singapore, Thailand, and Vietnam are among the highly affected South East Asian countries in terms of confirmed cases and reported deaths. The COVID-19 pandemic has been affecting economies and industries in various countries due to lockdowns, travel bans, and business shutdowns. Chemicals and materials is among the major industries facing serious disruptions.
DIC Corporation, Nazdar Ink Technologies., Sakanta Inx Corporation, SiegwerkDruckfarben Ag and Co. KGaA, T& K Toka Co. Ltd., Toyo Ink SC Holdings Co. Ltd. and Swan Coatings (M) Sdn. Bhd. are among the major players in the South East Asia flexographic ink market.
The overall South East Asia flexographic ink market size has been derived in accordance with both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants typically involved in this process include industry experts, such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the South East Asia flexographic ink market.