This study analyzes the US market for food containers. Product segments covered include folding cartons and other rigid paperboard containers (including aseptic cartons, paperboard tubs and composite cans), various rigid plastic containers, steel and aluminum cans, and glass bottles and jars used in retail (e.g., supermarket) and selected foodservice bulk and portion control food packaging applications. Flexible food containers covered include plastic and paper bags and pouches. Both primary and secondary rigid packaging are included in the study in cases where the secondary packaging would typically be used beyond the point of sale. For example, secondary containers like cereal boxes are included, whereas a shipping crate or merchandise display box is not. Also excluded are containers used to package beverage products such as fluid milk and fruit and vegetable juices. Other food packaging such as film wrap, foil, trays, clamshells, baskets, pails, home canning jars and separately sold ends and closures are also excluded from the scope of this study.

INTRODUCTION xi

I. EXECUTIVE SUMMARY 1

II. MARKET ENVIRONMENT 4
General 4
Macroeconomic Outlook 5
Consumer Income & Spending Trends 9
Demographic Trends 11
Retail Sales Outlook 15
Food Industry Overview 17
Consumer Preferences 20
Distribution Trends 22
Packaging Industry Overview 24
Competitive Packaging Materials 27
Pricing Trends 29
Plastic 31
Bags & Pouches 33
Paperboard 34
Metal 35
Glass 35
Environmental & Regulatory Issues 36
Recycling 38
Degradable Materials 40
International Activity & Foreign Trade 42

III. FOOD CONTAINER MARKETS 45
General 45
Grain Mill Products 47
Grain Mill Products Outlook 47
Container Trends 50
Pet Food 50
Other Grain Mill Products 55
Fruits & Vegetables 58
Fruit & Vegetable Outlook 59
Container Trends 60
Dairy Products 65
Dairy Products Outlook 65
Container Trends 67
Baked Goods 72
Baked Goods Outlook 72
Container Trends 73
Meat & Related Products 76
Meat & Related Products Outlook 77
Container Trends 79
Meat, Poultry & Seafood 80
Egg Cartons 85
Sauces & Condiments 88
Sauces & Condiments Outlook 88
Container Trends 89
Snack Foods 93
Snack Food Outlook 94
Container Trends 96
Candy & Confections 99
Candy & Confections Outlook 100
Container Trends 102
Frozen Specialties 106
Frozen Specialties Outlook 106
Container Trends 108
Other Foods 111
Other Foods Outlook 112
Container Trends 114
Soups & Canned Specialties 115
Fats & Oils 118
Coffee & Tea 120
Baby Food 124
All Other Foods 127

IV. CONTAINER OVERVIEW 130
General 130
Container Demand 132

V. BAGS & POUCHES 136
General 136
Plastic Bags & Pouches 139
Pouches 141
Definition 141
Applications 143
Producers 146
Bags 147
Paper Bags & Pouches 150
Applications 152
Producers 154
Markets 155

VI. PAPERBOARD FOOD CONTAINERS 163
General 163
Paperboard Boxes & Cartons 165
Folding Cartons 166
Applications 168
Producers 170
Other Boxes & Cartons 172
Gabletop Cartons 173
Set-Up Boxes 175
Aseptic Cartons 177
Other Paperboard Containers 179
Nonfolding Sanitary Containers 181
Composite Cans 183
Egg Cartons 186
Markets 188

VII. PLASTIC FOOD CONTAINERS 195
General 195
Plastic Bottles & Jars 198
Bottles 199
Jars 203
Resins 206
Producers 207
Plastic Tubs & Cups 209
Resins 213
Producers 215
Egg Cartons 216
Other Plastic Food Containers 218
Cans 219
Squeeze Tubes & Other 221
Markets 223
Resins 230
Polyethylene Terephthalate 232
High Density Polyethylene 233
Polypropylene 234
Polystyrene 235
Polyvinyl Chloride & Other 236

VIII. METAL FOOD CONTAINERS 239
General 239
Container Types & Materials 242
Steel & Bi-Metal Cans 244
Aluminum Cans 245
Aerosol Cans 246
Captive & Merchant Production 247
Markets 250

IX. GLASS FOOD CONTAINERS 256
General 256
Competitive Factors 258
Glass Jars 260
Glass Bottles 264

X. INDUSTRY STRUCTURE 266
General 266
Market Share 270
Silgan 272
Altivity Packaging 273
Bemis 274
Alcan 274
Ball 275
Graphic Packaging 275
Bags & Pouches 276
Paperboard Containers 278
Plastic Containers 279
Metal Containers 281
Glass Containers 282
Acquisitions & Divestitures 283
Product Manufacturing & Development 288
Marketing Strategies 290
Channels of Distribution 291
Competitive Strategies 292
Cooperative Agreements 294
Company Profiles 297
Alcan Incorporated 298
Altivity Packaging LLC 300
Amcor Limited 302
Anchor Glass Container Corporation 305
BagcraftPapercon, see Packaging Dynamics
Ball Corporation 306
Bemis Company Incorporated 308
Berry Plastics Holding Corporation 311
Captive Plastics Incorporated 313
Caraustar Industries Incorporated 314
Carter Holt Harvey Limited 316
Clear Pack Company, see Sonoco Products
Consolidated Container Company LLC 317
Constar International Incorporated 319
Crown Holdings Incorporated 320
Cryovac Incorporated, see Sealed Air
Curwood Incorporated, see Bemis Company
Dolco Packaging, see Tekni-Plex Incorporated
Evergreen Packaging Incorporated, see Carter Holt Harvey Limited
Exopack Holding Corporation 322
Graham Packaging Holdings Company 323
GRAFCO PET Packaging Technologies, see Captive Plastics Incorporated
Graphic Packaging Corporation 325
Hood Companies 327
Huhtamaki Oyj 329
Letica Corporation 330
LINPAC Group Limited 331
Liquid Container/Plaxicon Company 332
MeadWestvaco Corporation 333
Milprint Incorporated, see Bemis Company
Newspring Industrial Corporation, see Pactiv
Owens-Illinois Group Incorporated 334
Packaging Dynamics Corporation 336
Pactiv Corporation 337
Plastipak Holdings Incorporated 339
Pliant Corporation 340
Polytainers Limited 342
Premier Plastics, see Captive Plastics Incorporated
Printpack Incorporated 343
Ring Container Technologies 345
Rock-Tenn Company 346
RTS Packaging LLC, see Rock-Tenn Company and Sonoco Products Company
Saint-Gobain 348
Sealed Air Corporation 349
SIG Holding Limited 351
Silgan Holdings Incorporated 353
Solo Cup Company 355
Sonoco Products Company 357
Tekni-Plex Incorporated 360
Tetra Laval International SA 361

LIST OF TABLES
TABLE NUMBER PAGE
SECTION I -- EXECUTIVE SUMMARY
Summary Table 3

SECTION II -- MARKET ENVIRONMENT
1 Macroeconomic Indicators 8
2 Consumer Income & Spending 10
3 Population & Households 14
4 Retail Sales 17
5 Food Shipments 19
6 Packaging Shipments 27
7 Food Container Prices 31

SECTION III -- FOOD CONTAINER MARKETS
1 Food Container Demand by Market 46
2 Grain Mill Product Shipments 49
3 Grain Mill Product Container Demand by Application 50
4 Pet Food Container Demand by Material 52
5 Other Grain Mill Product Container Demand by Material 58
6 Fruit & Vegetable Shipments 60
7 Fruit & Vegetable Container Demand by Material 61
8 Dairy Product Shipments 67
9 Dairy Product Container Demand by Material 68
10 Baked Goods Shipments 73
11 Baked Goods Container Demand by Material 76
12 Meat & Related Product Shipments 79
13 Meat & Related Products Container Demand by Application 80
14 Meat, Poultry & Seafood Container Demand by Material 81
15 Egg Carton Demand by Material 87
16 Sauce & Condiment Shipments 89
17 Sauce & Condiment Container Demand by Material 93
18 Snack Food Shipments 95
19 Snack Food Container Demand by Material 99
20 Candy & Confection Shipments 101
21 Candy & Confection Container Demand by Material 103
22 Frozen Specialties Shipments 108
23 Frozen Specialties Container Demand by Material 111
24 Other Food Shipments 114
25 Other Food Container Demand by Market 115
26 Soups & Canned Specialties Container Demand by Material 118
27 Fats & Oils Container Demand by Material 120
28 Coffee & Tea Container Demand by Material 121
29 Baby Food Container Demand by Material 126
30 All Other Food Container Demand by Material 129

SECTION IV -- CONTAINER OVERVIEW
1 Food Container Demand by Type 134

SECTION V -- BAGS & POUCHES
1 Bag & Pouch Demand in Food Applications
by Material & Type 139
2 Plastic Bag & Pouch Demand in Food Applications by Type 140
3 Paper Bag & Pouch Demand in Food Applications by Type 152
4 Bag & Pouch Demand in Food Applications by Market 156

SECTION VI -- PAPERBOARD FOOD CONTAINERS
1 Paperboard Food Container Demand by Type 165
2 Paperboard Food Box & Carton Demand by Type 166
3 Folding Carton Demand in Food Applications 167
4 Other Food Box & Carton Demand by Type 172
5 Gabletop Carton Demand in Food Applications 175
6 Set-Up Box Demand in Food Applications 176
7 Aseptic Carton Demand in Food Applications 179
8 Other Paperboard Food Container Demand by Type 180
9 Nonfolding Sanitary Food Container Demand 183
10 Composite Can Demand in Food Applications 186
11 Molded Pulp Egg Carton Demand 188
12 Paperboard Food Container Demand by Market 189

SECTION VII -- PLASTIC FOOD CONTAINERS
1 Plastic Food Container Demand by Type 197
2 Plastic Food Bottle & Jar Demand 199
3 Plastic Food Bottle Demand 202
4 Plastic Food Jar Demand 205

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5 Plastic Tub & Cup Demand in Food Applications 212
6 Plastic Egg Carton Demand 217
7 Other Plastic Food Container Demand by Type & Resin 219
8 Plastic Food Container Demand by Market 224
9 Plastic Food Container Demand by Resin 231

SECTION VIII -- METAL FOOD CONTAINERS
1 Metal Food Container Demand by Type 242
2 Metal Food Container Demand by Source of Production 250
3 Metal Food Container Demand by Market 251

SECTION IX -- GLASS FOOD CONTAINERS
1 Glass Food Container Demand by Type 258
2 Glass Jar Demand by Market 263
3 Glass Bottle Demand by Market 265

SECTION X -- INDUSTRY STRUCTURE
1 US Food Container Sales by Company, 2006 268
2 Selected Acquisitions & Divestitures 286
3 Selected Cooperative Agreements 296

LIST OF CHARTS

CHART NUMBER PAGE

SECTION II -- MARKET ENVIRONMENT
1 Food Shipments, 2006 20

SECTION III -- FOOD CONTAINER MARKETS
1 Food Container Demand by Market, 2006 47

SECTION IV -- CONTAINER OVERVIEW
1 Food Container Demand by Type, 2006: Units Versus Value 135

SECTION V -- BAGS & POUCHES
1 Bag & Pouch Demand by Market, 2006 162

SECTION VI -- PAPERBOARD FOOD CONTAINERS
1 Other Paperboard Food Container Demand by Type, 2006 181
2 Paperboard Food Container Demand by Market, 2006 190

SECTION VII -- PLASTIC FOOD CONTAINERS
1 Plastic Food Container Demand by Type, 2006 197
2 Plastic Food Bottle Demand by Resin, 2006 203
3 Plastic Food Jar Demand by Resin, 2006 206
4 Plastic Tub & Cup Demand by Resin, 2006 213
5 Plastic Food Container Demand by Market, 2006 225
6 Plastic Food Container Demand by Resin, 2006 231

SECTION VIII -- METAL FOOD CONTAINERS
1 Metal Food Container Demand by Market, 2006 252

SECTION IX -- GLASS FOOD CONTAINERS
1 Glass Jar Demand by Market, 2006 264

SECTION X -- INDUSTRY STRUCTURE
1 US Food Container Market Share, 2006 272
2 Food Bag & Pouch Market Share, 2006 277
3 Paperboard Food Container Market Share, 2006 279
4 Plastic Food Container Market Share, 2006 281
5 Metal Food Container Market Share, 2006 282
6 Glass Food Container Market Share, 2006 283