Bottled water stagnates, consumers return to the tap
March 20, 2009
by FoodBusinessNews.net Staff
BASINGSTOKE, ENGLAND — Environmental and green concerns along with the economic downturn have caused a sharp slowdown in the global bottled water market, according to Canadean.
In the United States, Canadean is estimating annual growth of under 1% for the next five years, which is a significant drop from double-digit rates seen from 2000 to 2008.
"In the decades up to 2008, the U.S. bottled water market accounted for 20% of the growth in global PET demand in beverages," said Emily Neill, business development director for Canadean. "This growth driver has been switched off, and the momentum in bottled water demand is now firmly focused in the dynamic Asian markets."
Tap water campaigns in various states as well as bottled water bans at public institutions have caused consumers to revert to tap and filtered water. The situation is similar in some major European markets such as France and the United Kingdom.
Overall, the forecast for global commercial beverage consumption is relatively positive with beverage demand forecast to grow by 2% in 2009 and 2.6% annually in the longer term.
The most dramatic changes will be in still beverages, juices, and bulk and bottled water as countries such as China, India and Indonesia will make up for a stagnate market in western countries. Carbonates are expected to grow at a 2% rate annually. On another note, energy drinks grew at double-digit rates in many countries in 2008 and are predicted to increase by nearly 10% globally in 2009.