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Latin America's baby wipes market growing: Suominen

06 Mar '17
3 min read

On a development path as of North America and Europe and with currently growing baby wipes market, Latin America is drawing attention of producers of nonwovens for wipes. Suominen, a leading global producer of nonwovens for wipes, is now coming out with wipe materials tailored for local needs in Latin America in terms of dispensing and functionality.
 
Latin American consumers, even those who use low-cost baby wipes, value high-end products with incomparable cleaning results or exceptional softness. The demand for this kind of features will increase as the wipes market grows and matures in the region, according to Suominen.
 
Increasing the share of nonwovens with higher added value is the most important thing in Suominen's strategy. The company creates nonwovens for wipes that stand out from bulk products that baby wipes often are. "We know that Latin America is not Europe or North America and the needs of Latin American consumers are not the same as elsewhere. When it comes to nonwovens, we have to offer wipes materials that are tailored for local needs meeting the consumer expectations in wipes from dispensing to functionality," Ernesto Levy, senior vice president of convenience business area at Suominen, says.
 
Suominen has been present in the Latin American market for years with its own production plant in Paulínia, Brazil, since 2014. 
 
Setbacks in Latin American economies had hindered the growth of local nonwovens market. However, the future looks promising with the aggregate gross domestic product growing greater at 3.7 per cent than that of the US and the European Union under 2 per cent for the past 10 years. Besides, Latin America has a population of more than 600 million which means it would be a mistake to overlook Latin American wipes market, especially now that it is the fastest-growing nonwovens market in the world, a Suominen release said.
 
"Latin America is truly an interesting consumer market. The share of urban population is well above the world average, at 80 per cent, creating good premises for convenience driven growth. For sake of comparison, China's share is at 56 per cent and India at 33 per cent. Remarkable is also that Latin American population life expectancy has increased by about one year every five years in 2000's, shaping the market structure similarly as in the western economies," Levy explains.
 
The demand for nonwovens is still emerging in Latin America with baby wipes currently representing more than 90 per cent of the wipes market. In terms of market development, Latin America is where North America and Europe were some 20 years ago, when baby care was the dominant application for wipes. Today, baby wipes are a minority compared to combined market share of all other wiping applications in North America and Europe.
 
The development in Latin America is following the path of North America and Europe. It is like a natural law that the rise in the standard of living increases the demand for different kinds of wipes and hygiene products. When GDP increases to $1,000 per capita, people start using disposable sanitary napkins. When it rises to roughly $7,000 per capita, demand extends to baby wipes and at $14,000 to household wipes.
 
As the Latin American wipes market develops, other wiping applications are gaining market share and, in the course of time, new kinds of wipes, such as flushable wipes, will appear. Mexico and Brazil are already way past 'the baby wipes point' and closing in on the use of household wipes while Colombia is on the verge of taking baby wipes into use in large scale. (SV)

Fibre2Fashion News Desk – India

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