Russia Container Glass Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Volume (2024) | 7.12 Million tonnes |
| Market Volume (2029) | 7.78 Million tonnes |
| CAGR (2024 - 2029) | 1.78 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Russia Container Glass Market Analysis
The Russia Container Glass Market size in terms of shipment volume is expected to grow from 7.12 Million tonnes in 2024 to 7.78 Million tonnes by 2029, at a CAGR of 1.78% during the forecast period (2024-2029).
The Russian container glass market supplies packaging solutions for food and beverages, perfumery, cosmetics, and pharmaceuticals. As the Russian economy shows signs of recovery, several industries, including food processing, are witnessing growth, benefiting the glass bottle and container sector.
- The recovering Russian economy is opening up growth opportunities for various sectors, including food processing. This, in turn, is bolstering the glass bottle and container industry. Ban on food imports from several countries, combined with the Russian government's import substitution policy, positions the Russian food industry for expansion in a competitive landscape. This scenario is likely to encourage investments in modern processing and packaging technologies.
- Advancements in manufacturing technologies for glass production can boost efficiency, cut costs, and potentially elevate the output and competitiveness of container glass products. Exporting glass products to neighboring countries and markets presents growth opportunities, especially when production boasts a competitive edge.
- The alcoholic beverage industry in Russia has seen a significant demand for glass bottles and containers. Russia is the world's fourth-largest consumer of alcohol, and its preferences are evident. Statistics from the Analytical Center for the Government of the Russian Federation highlight that beer tops the list of alcoholic beverages sold in the country. Given that glass packaging is the primary choice for alcoholic drinks, the market for container glass is poised for robust growth.
- Major players have begun establishing offices nationwide to capitalize on Russia's recent economic upswing. CHSZ Group of Companies is one of Russia's premier manufacturers, specializing in high-quality glass containers for beer, alcoholic beverages, food, and other industries. The business has thrived due to the country's convenient geographical location and the accessibility provided by the railway.
- The market also faces challenges owing to disruptions in the supply chain, often triggered by economic instability and political tensions, which can impact the availability of essential raw materials for glass production, such as silica sand, soda ash, and limestone. Also, glass manufacturers frequently grapple with relatively high energy and raw materials costs. Furthermore, adhering to environmental regulations can elevate operational expenses.
Russia Container Glass Market Trends
Food and Beverage Sectors are Expected to Witness Growth
- The Russian economy offers several growth opportunities for various industries, like food and other indigenous industries, subsequently boosting growth for the glass bottle and container industry. Additionally, the importing food ban from several countries and the Russian government's import substitution policy created a situation where the Russian food industry is anticipated to expand in a favorable competitive environment.
- The Russian packaging industry faces a unique set of challenges in the wake of Western sanctions. Unlike previous crises characterized by universal trends such as decreased demand and reduced purchasing power, the current situation in the Russian packaging market presents distinct hurdles.
- The increase in the selling price of carbonated soft drinks may prompt consumers to become more conscious of their purchasing decisions, including packaging choices. Glass bottles are often viewed as more environmentally friendly than plastic bottles due to their recyclability and sustainability. As a result, there could be a growing preference for glass bottle packaging among environmentally conscious consumers, leading to increased demand.
- Russian Federal State Statistics Service reports that the average selling price of carbonated soft drinks in Russia has risen. In September 2023, it reached RUB 62.2 (USD 0.72) per liter, compared to RUB 61.3 (USD 0.71) per liter in September 2022.
- Packaging plays a role in shaping consumers' perception of a brand. As carbonated soft drink prices rise, beverage companies may invest more in packaging to differentiate their products and stand out. Glass bottles, with their aesthetic appeal and perceived quality, can help brands convey a premium image and distinguish themselves from competitors.
Pharmaceutical Industry in the Country is Set for Expansion
- Glass has long been the preferred material in the pharmaceutical packaging industry, ensuring the safe containment of medicines. Due to its chemical stability and inertness, glass is ideally suited for packaging various pharmaceuticals, including solids, liquids, injectables, and reconstitutes. Even when its outer surface encounters multiple products and chemicals, glass remains non-reactive, safeguarding the purity of its contents.
- According to a study by Sberbank in India in August 2024, in the past two years, numerous Indian pharmaceutical firms have announced intentions to establish significant production facilities in Russia. Russia's recent emphasis on import substitution is noteworthy owing to its openness to Indian investments, especially considering its historically close relations. With India's pharmaceutical expertise and Russia's supportive initiatives, there's potential for the emergence of sustainable, high-tech projects in the region, including container glass packaging.
- According to news from the United National Council of Glass Industry Enterprises StekloSouz of Russia, Chegem Glass Factory LLC is set to embark on an investment project, marking its second medical glass production phase. The projected output is valued at RUB 300 million (USD 3.50 million). In collaboration with Chinese manufacturers, an agreement has been secured for essential equipment supply. Production is slated to commence in the first quarter of 2025.
- The pharmaceutical sector in the country is growing. Rising cardiovascular diseases, cancer, and HIV are the prevalent diseases in Russia and are pushing demand for associated pharmaceutical products. The commercial pharmaceutical market value in August 2023 was RUB 114.6 billion (USD 1.34 billion), and it increased to RUB 153.8 billion (USD 1.79 billion) in December 2023. (Source: DSM Group)
- Glass packaging is the primary choice for pharmaceutical products, solidifying its position as a leading material in the pharmaceutical sector. Given such attributes, glass containers have become a staple in the pharmaceutical industry. The choice of glass container varies based on the specific pharmaceutical contents, ensuring safe and practical packaging. In the near to medium future, the market for generic drugs is poised for growth, fueled by incentives from the Russian government and the populace's inclination towards more affordable medications.
Russia Container Glass Industry Overview
Rising consumer demand for eco-friendly packaging materials, coupled with the consistent expansion of the glass container market, is driving the market's steady growth. Also, rising demand for beverages, organic products, and premium packaging has fueled the need for glass containers in the market.
The Russia container glass market is consolidated. Key players operating in the country include global and domestic players such as Verallia Packaging, Slodes LLC, Avangard-Glass, Saverglass group and others. These companies are pursuing strategies such as new product development, expansion, and mergers and acquisitions to enhance product functionality and broaden their geographic presence in the country.
Russia Container Glass Market Leaders
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Verallia Packaging
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Sibsteklo Ltd.
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Avangard-Glass
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Saverglass Group
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Sisecam
*Disclaimer: Major Players sorted in no particular order
Russia Container Glass Market News
- October 2024: Roust Corporation, a global vodka producer, and Allied Blenders and Distillers Limited (ABDL), India's third-largest spirits company, launched Russian Standard Vodka in India. Russian Standard Vodka, a trailblazer in Russia's premium vodka segment, boasts global sales exceeding 2.5 million cases. Sourced from the glacial waters of Lake Ladoga and winter wheat from the Russian Steppes, it undergoes an impressive 200 distillations at a cutting-edge distillery in St. Petersburg.
- April 2023: Cadila Pharmaceuticals, in collaboration with Russia, is establishing a cutting-edge injectable manufacturing facility aiming to provide affordable healthcare solutions to the USD 30 billion Russian healthcare market. Cadila envisions collaborating with Russia to set up a cutting-edge injectable manufacturing facility. This initiative underscores the company's commitment to global compliance standards and its established credibility, all to bolster affordable healthcare solutions in the Russian market.
Russia Container Glass Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 PESTEL ANALYSIS - Container Glass Industry in Russia
4.3 Industry Standards and Regulations for Container Glass for Packaging
4.4 Raw Material Analysis & Material Considerations for Packaging
4.5 Sustainability Trends for Packaging
4.6 Container Glass Furnace Capacity and Location in Russia
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Stringent Regulations Drive Rapid Shift Towards Sustainable Packaging
5.1.2 End-user Industries, including Beverage and Cosmetics, Embrace Premium Glass Packaging
5.2 Market Restraint
5.2.1 Geopolitical Tensions have led to Ongoing Sanctions Against Russia, Potentially Restricting the Container Glass Market
5.3 Analysis of the Current Positioning of Russia in the European Container Glass Market
5.4 Trade Scenario - Analysis of the Historical and Current Export-Import Paradigm for the Container Glass Industry in Russia
6. MARKET SEGMENTATION
6.1 End-user Industry
6.1.1 Beverage
6.1.1.1 Alcoholic Beverages
6.1.1.1.1 Wines and Spirits
6.1.1.1.2 Beer and Cider
6.1.1.1.3 Other Alcoholic Beverages
6.1.1.2 Non-Alcoholic Beverages
6.1.1.2.1 Carbonated Drinks
6.1.1.2.2 Juices
6.1.1.2.3 Water
6.1.1.2.4 Dairy-Based
6.1.1.2.5 Flavored Drinks
6.1.1.2.6 Other Non-Alcoholic Beverages
6.1.2 Food
6.1.3 Cosmetics
6.1.4 Pharmaceuticals
6.1.5 Other End user verticals
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Verallia Packaging
7.1.2 Grodno Glassworks JSC
7.1.3 Sibsteklo Ltd.
7.1.4 Avangard-Glass
7.1.5 Melnir LLC
7.1.6 Saverglass Group
7.1.7 Slodes LLC
7.1.8 Sisecam
- *List Not Exhaustive
8. SUPPLEMENTARY COVERAGE - ANALYSIS OF MAJOR FURNACE SUPPLIERS TO CONTAINER GLASS PLANTS IN RUSSIA
9. FUTURE OUTLOOK OF THE MARKET
Russia Container Glass Industry Segmentation
Glass Containers refer to clean bottles and jars made from glass. The scope excludes windows and other non-container glass products. Container glass is used in the alcoholic and non-alcoholic beverage industries due to its ability to maintain chemical inertness, sterility, and non-permeability. Glass packaging is valued for its unique properties, including its transparency, inertness, and ability to preserve the quality and integrity of its contents.
Russia Container Glass Market is Segmented by End-User Industry ((Beverages (Alcoholic Beverages (Wines and Spirits, Beer and Cider, and Other Alcoholic Beverages) and Non-Alcoholic Beverages (Carbonated Drinks, Juices, Water, Dairy-Based, Flavored Drinks, Other Non-Alcoholic Beverages)), Food, Cosmetics, Pharmaceuticals, and Other End-User Industries). The Market Sizes and Forecasts are Provided in Terms of Volume (Tonnes) for all the Above Segments.
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| Other End user verticals |
Russia Container Glass Market Research FAQs
How big is the Russia Container Glass Market?
The Russia Container Glass Market size is expected to reach 7.12 million tonnes in 2024 and grow at a CAGR of 1.78% to reach 7.78 million tonnes by 2029.
What is the current Russia Container Glass Market size?
In 2024, the Russia Container Glass Market size is expected to reach 7.12 million tonnes.
Who are the key players in Russia Container Glass Market?
Verallia Packaging, Sibsteklo Ltd., Avangard-Glass, Saverglass Group and Sisecam are the major companies operating in the Russia Container Glass Market.
What years does this Russia Container Glass Market cover, and what was the market size in 2023?
In 2023, the Russia Container Glass Market size was estimated at 6.99 million tonnes. The report covers the Russia Container Glass Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Russia Container Glass Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Russia Container Glass Industry Report
Statistics for the 2024 Russia Container Glass market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Russia Container Glass analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
