Market Size of APAC Flexible Packaging Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
Forecast Data Period | 2024 - 2029 |
Historical Data Period | 2019 - 2022 |
CAGR | 2.76 % |
Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
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APAC Flexible Packaging Market Analysis
The Asia Pacific Flexible Packaging Market is anticipated to grow with a CAGR of 2.76% during the forecast period. Flexible packaging across the Asia-Pacific region is expected to witness a stable growth rate for the forecast period. Some of the prominent vendors in the region are driving their focus toward the ever-growing concern regarding environmental sustainability by adopting efficient manufacturing techniques throughout the three stages of the packaging life cycle - manufacturing, transportation, and disposal process. There has been impact of the Russia-Ukraine war on the overall packaging ecosystem.
- The top R&D priority for packaging engineers across the region has constantly been developing the packaging product with lightweight material with thinner laminate structures without compromising upon the overall barrier, thereby maintaining its functional properties and required strength. Also, the increasing demand for geographically constrained food, which has a short shelf-life, has boosted the growth of new products, especially in the frozen food division, primarily realized through flexible packaging.
- Also, there is a considerable increase in domestic demand for flexible packaging in the Asia Pacific, owing to the rapid urbanization across emerging economies, such as China and India. Healthy growth from end-users across the region is further driving the need for producing higher flexible packaging products, primarily among the wraps and pouches segment, majorly to address the small quantity retailing needs of the rising middle-class population in the region.
- The demand for flexible packaging products is mainly driven by millennial consumers in the region, as they have an avid preference for single-serving and on-the-go style food and beverage products. As these products are generally designed to be portable, durable, and lightweight, flexible packaging stands to be a popular option for packing such products. The fastest-growing areas of snack foods, both in terms of fresh items and processed foods, are expected to govern the demand for flexible packaging from the food and beverage industry of the region.
- Further, the beverage industry offers potential growth opportunities for flexible packaging across the region. Food companies are expanding their businesses in terms of geography and product lines to cater to this rising demand. For instance, Shou Quan Zhai, founded in 1760 and one of the oldest food companies in China, is expanding into the beverage market with a new line of ready-to-drink products.
- With the outbreak of COVID-19, flexible packaging manufacturers have been flooded with a pool of issues that are expected to be only for the short -term. Some of the effects of the lockdown include lack of availability of raw materials used in the manufacturing process, supply chain disruptions, fluctuating prices, labor shortages that could cause shipping problems, production of the final product to inflate and go beyond budget, etc.
- With the outbreak of COVID-19, flexible packaging manufacturers have been flooded with a pool of issues that are expected to be only for the short -term. Some of the effects of the lockdown include lack of availability of raw materials used in the manufacturing process, supply chain disruptions, fluctuating prices, labor shortages that could cause shipping problems, production of the final product to inflate and go beyond budget, etc.
APAC Flexible Packaging Industry Segmentation
Flexible packaging is mainly used for food, contributing to more than 60% of the total market, according to the Flexible Packaging Association. The flexible packaging industry is witnessing healthy growth, as the industry was able to implement innovative solutions for the many packaging challenges it faced.
The Asia Pacific Flexible Packaging Market is segmented by Type (Pouches, Bags, Wraps, Other Types), Material (Plastic, Paper, Aluminum/Composites), Product Type (Pouches, Bags, Wraps), End-User Industry (Food, Beverages, Pharmaceutical and Medical, Household and Personal Care, Other End-user Verticals), and Country. The market sizes and values are provided in terms of value (USD million) for all the above segments.
By Type | |
Pouches | |
Bags | |
Wraps | |
Other Types |
By Material | |
Plastic | |
Paper | |
Aluminum/Composites |
By End-User Vertical | |
Food | |
Beverages | |
Pharmaceutical and Medical | |
Household and Personal Care | |
Other End-User Verticals |
By Country | |
China | |
India | |
Japan | |
Australia | |
Rest of Asia Pacific |
APAC Flexible Packaging Market Size Summary
The Asia Pacific flexible packaging market is poised for steady growth, driven by increasing urbanization and the rising demand for convenient packaging solutions. This growth is particularly evident in countries like China and India, where rapid urbanization and a burgeoning middle class are fueling the demand for flexible packaging products, especially in the wraps and pouches segment. The market is also benefiting from the growing preference among millennial consumers for portable and single-serving food and beverage products. The food and beverage industry, particularly snack foods and frozen foods, is a significant contributor to this demand, with companies expanding their product lines and geographical reach to cater to evolving consumer preferences. Additionally, the beverage sector presents further growth opportunities, as companies like Shou Quan Zhai venture into new product lines such as ready-to-drink beverages.
The flexible packaging industry in the Asia Pacific region is also witnessing a shift towards sustainability, with companies adopting eco-friendly manufacturing techniques and materials. This trend is driven by the increasing consumer and regulatory focus on environmental sustainability, prompting manufacturers to explore innovative solutions like formable paper to reduce plastic usage. The COVID-19 pandemic posed short-term challenges, including supply chain disruptions and raw material shortages, but these issues are expected to be temporary. The Indian market, in particular, is experiencing robust growth due to factors such as rising per capita income, health consciousness, and changing lifestyle patterns. Government initiatives and stricter standards for recycled plastic use are further supporting the adoption of flexible packaging. Key players in the market, including Amcor, Berry Global, and Mondi Group, are actively investing in sustainable packaging solutions and innovations to meet the growing demand and regulatory requirements.
APAC Flexible Packaging Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Value Chain Analysis
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1.3 Industry Attractiveness - Porter Five Forces
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1.3.1 Threat of New Entrants
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1.3.2 Bargaining Power of Buyers
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1.3.3 Bargaining Power of Suppliers
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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1.4 Assessment of the Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By Type
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2.1.1 Pouches
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2.1.2 Bags
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2.1.3 Wraps
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2.1.4 Other Types
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2.2 By Material
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2.2.1 Plastic
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2.2.2 Paper
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2.2.3 Aluminum/Composites
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2.3 By End-User Vertical
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2.3.1 Food
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2.3.2 Beverages
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2.3.3 Pharmaceutical and Medical
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2.3.4 Household and Personal Care
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2.3.5 Other End-User Verticals
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2.4 By Country
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2.4.1 China
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2.4.2 India
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2.4.3 Japan
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2.4.4 Australia
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2.4.5 Rest of Asia Pacific
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APAC Flexible Packaging Market Size FAQs
What is the current APAC Flexible Packaging Market size?
The APAC Flexible Packaging Market is projected to register a CAGR of 2.76% during the forecast period (2024-2029)
Who are the key players in APAC Flexible Packaging Market?
Amcor Ltd, Berry Plastics Corporation, Mondi Group, Sonoco Products Company and Rengo co. ltd are the major companies operating in the APAC Flexible Packaging Market.