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As editor of Plastics News, I scan scores of Web sites, emails and news releases daily, and stay in constant touch with our network of global staff reporters and correspondents -- the largest reporting team in the plastics industry. I distill the more interesting items into commentary for this blog. Plastics News, part of Crain Communications Inc., began publishing weekly news in 1989, and launched a bilingual China site in mid-2005. In 2007, Crain acquired the two leading English-language plastics publications in Europe - Plastics & Rubber Weekly and the monthly European Plastics News.
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Is the bottled water market declining?

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What's the state of the bottled water market?

A year ago, we reported that the economy and environmental pressure were putting pressure on the bottled water sector, and the days of double-digit annual growth was over.

Further proof of the trend comes today with the release of Nestle SA's 2009 financial results. The financial press is reporting that the company's water business is struggling.

But Martin Gelnar, writing for The Wall Street Journal's "The Source" blog, says there's still hope for the sector:

Public opinion may be against Nestle and other bottled water companies, but it is likely that environmental concerns will calm over time.

Potentially more important is the fact that such discussions have little impact in emerging markets, where demand is expected to rise substantially in the next few years.

Meanwhile, bottled water companies are working hard to reduce their environmental impact. Check out our report on the International Bottled Water Association's study of beverage packaging, which found:

  • The average PET bottled water container weighed about 19 grams in 2000; by 2008, the average amount of PET in each bottle declined to about 13 grams.
  • During the eight-year period, more than 1.3 billion pounds of PET resin was saved by the bottled-water industry through container lightweighting.
  • In 2008 alone, the bottled water industry saved 445 million pounds of PET by reducing bottle weights.

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Comments (5)

Danny:

I agree that the market is turning; however, if the bottle water industry thinks that the anti bottle movement is dead we are only kidding ourselves. Yes, lighter plastic is helping; however, one other factor is the use of alternative plastics that are more “earth friendly.” I’m talking about compostable, degradable and ENSO biodegradable plastic bottles that have recently come to market. Most consumers can’t see that having a lighter bottle is saving much or helping the environment, which it is. The complaints that I’ve heard is that the bottles are so thin that if one isn’t careful you can easily cause the water to shoot from the container. Consumers are looking for something that will make them feel less guilty about purchasing water. They want the convenience of having a fresh tasting, portable, healthy drink that water provides. Consumers still need and want bottled water, now all the bottle water industry needs to do is provide them with a real solution for eliminating plastic bottle pollution.

Max

Allan Griff:

You say bottlers are "working hard to reduce their environmental impact?" They are doing it for green reasons, but the green is money saved, not enviro-green. It won't impact the anti-bottle people, who will oppose the small PET bottles any way they can, including confusing them with polycarbonate and pointing to the Great Plastic Vortex in the Pacific (PET sinks).
Bah, Humbug!

It is clear that the bottled water industry as a whole is struggling and for good reasons. They sell a product that doesn't make sense.

Whether it's for home use or on the go, a good water filter and a reusable water bottle offers much higher quality, 1/10 the cost or less, much more convenience and without the tragic environmental impact of the 60 million plastic bottles going into U.S. landfills EVERY DAY in America.

People are just getting smarter about this issue and it's a healthy evolution for people to bottle their own with home water filters. It's better for our health and better for the health of our planet.

Alex:

The bottled water industry is facing difficult times the easy double digit growth of prior years has disappeared only 2% growth last year, and a decline is predicted for this year, and the backlash against bottling something that comes out you of your faucet is growing.

Kelly Crawford:

I think there's no problem if the bottled water industry will decline. I, myself, is not a "fan" of bottled water. It's because it's not safe to drink anymore. Been using water filter for years already and I feel secured with the water I am drinking/using.

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