By Jim Johnson
SENIOR STAFF REPORTER
Published: October 14, 2014 2:37 pm ET
Updated: October 14, 2014 2:41 pm ET

Rigid bulk packaging — of which plastic is the leading material used — is expected to increase by 4 percent annually in the United States in the years ahead, according to a new report.

The Freedonia Group Inc. of Cleveland is out with the projection as part of its “Rigid Bulk Packaging” study.

Steel and paperboard also are used in rigid bulk packaging “to a significant extent,” the firm said.

The total market is expected to be worth $7.3 billion in the United States in 2018, Freedonia said.

“Beyond a brighter economic picture, advances for these containers will be driven by cost benefits over smaller or single-trip containers,” said Freedonia analyst Esther Palevsky in a statement.

Plastic drums, also according to Freedonia, “will post above average gains based on cost and performance advantages over fibre and steel drums.”

Annual grow in the segment between 2008 and 2013 averaged 2.6 percent. The market was worth $6 billion in 2013 and $5.28 billion in 2008, Freedonia said.

More information about the report, which costs $5,300, is available at www.freedoniagroup.com.