Market Size of Food-grade Post-Consumer Recycled (PCR) Packaging Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
CAGR (2024 - 2029) | 7.38 % |
Fastest Growing Market | Asia Pacific |
Largest Market | Europe |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
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Food-grade Post-Consumer Recycled (PCR) Packaging Market Analysis
The Food-grade Post-Consumer Recycled Packaging Market size in terms of shipment volume is expected to grow from 5.86 Million tonnes in 2024 to 8.37 Million tonnes by 2029, at a CAGR of 7.38% during the forecast period (2024-2029).
- The increasing need for reducing energy use, lowering emissions, promoting a circular economy, achieving sustainability targets, reducing packaging waste, FDA and other regulations for contact-sensitive applications, and regulatory pressure are the major factors propelling the demand for food-grade post-consumer recycling packaging solutions.
- Packaging recycling rates worldwide are increasing due to the development of recycling infrastructure, advanced recycling processes, effective processing techniques, and positive government response. This will result in increased availability of post-consumer recycled material. According to the Environment Agency, the packaging recycling target in the United Kingdom is expected to reach 80% by the end of 2024, compared to 77% in 2023. The increasing recycling rate is expected to aid the growth of food-grade post-consumer recycling packaging solutions.
- End-user brands are trying to adhere to regulatory measures to stay ahead of the competition and address the growing consumer awareness for post-consumer recycled packaging. For instance, Keurig Dr Pepper, an American beverage company, committed to reducing virgin plastic use by 20% across the company's product packaging portfolio by 2025 and increasing recycled content in plastic packaging.
- Packaging manufacturers are developing innovative, contact-sensitive, post-consumer recycled packaging solutions using advanced technologies. Furthermore, raw material manufacturers, providers, and converters are adopting the latest recycling technology to offer food-grade PCR material.
- In 2024, Borealis AG received letters of no objection (LNOs) from the US Food & Drug Administration (FDA) for its Borcycle M post-consumer recycled plastics (PCR) used for food-grade packaging. This material is sensitive to packaging applications, including cosmetics, personal care, and food contact. The company developed Borcycle M post-consumer recycled plastics (PCR) using transformational mechanical recycling technology. This technology offers post-consumer plastic waste another life in an energy-efficient way.
- Besides this, the need for more material availability due to the improper recycling of plastic material creates supply issues. The improperly discarded packaging material creates contamination problems during recycling, which may hamper the market's growth. The continuous effort by the recyclers and increasing investments driven by EPR are projected to improve recycling collection and infrastructure. This is expected to overcome the concern of material availability.
Food-grade Post-Consumer Recycled (PCR) Packaging Industry Segmentation
Food-grade post-consumer recycled packaging refers to packaging materials that are recycled after use and repurposed into new packaging products. The percentage of food-grade post-consumer recycled content varies depending on the packaging type and end-user requirement. The limitation of the market studied is that every segmentation does not include 100% post-consumer recycled content. It depends on various factors such as application, usage, and more. Countries listed are dynamic based on the current status of demand and other factors. The market volume is based on the percentage of food-grade post-consumer recycled material used in the overall packaging.
The food-grade post-consumer recycled (PCR) packaging market is segmented by material (plastic [polyethylene terephthalate (PET), polyethylene (PE), polypropylene (PP), and other plastic materials], glass, metal, and paper and paperboard), product type (bottles and containers, cans, pouches and bags, trays and clamshells, and other product types), end-user industry (food, beverage, personal care and cosmetics, healthcare and pharmaceuticals, and other end-user industries), and geography (North America [United States and Canada], Europe [United Kingdom, Germany, France, Italy, Spain, and Rest of Europe], Asia-Pacific [China, Japan, India, Australia and New Zealand, and Rest of Asia Pacific], Latin America [Brazil, Argentina, Mexico, and Rest of Latin America], and Middle East and Africa [Saudi Arabia, South Africa, Egypt, and Rest of Middle East and Africa]). The market sizes and forecasts are provided in terms of volume (tonnes) for all the above segments.
By Material | ||||||
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Glass | ||||||
Metal | ||||||
Paper & Paperboard |
By Product Type | |
Bottles and Containers | |
Cans | |
Pouches and Bags | |
Trays and Clamshells | |
Other Product Types |
By End-user Industry | |
Food | |
Beverage | |
Personal Care and Cosmetics | |
Healthcare and Pharmaceuticals | |
Other End User Industry |
Geography*** | |||||||
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Food-grade Post-Consumer Recycled (PCR) Packaging Market Size Summary
The food-grade post-consumer recycled (PCR) packaging market is experiencing significant growth, driven by the increasing emphasis on sustainability and regulatory pressures to reduce packaging waste and promote a circular economy. The demand for these packaging solutions is fueled by the need to lower energy consumption and emissions, as well as to meet stringent FDA and other regulatory standards for contact-sensitive applications. The development of advanced recycling infrastructure and processes, along with positive government initiatives, is enhancing the availability of post-consumer recycled materials, thereby supporting market expansion. Companies like Borealis AG are leading the way by obtaining FDA approvals for their PCR materials, which are used in food-grade packaging, showcasing the industry's commitment to innovation and compliance.
Brand owners and packaging manufacturers are actively seeking to incorporate post-consumer recycled content into their products to align with consumer expectations and regulatory requirements. Major players such as Coca-Cola and PepsiCo are making strides in this direction by launching products with significant recycled content and collaborating with technology providers to improve recycling processes. The market is further bolstered by legislative measures in regions like Europe and North America, which mandate the use of recycled materials in packaging. These regulations are expected to drive the adoption of food-grade PCR packaging solutions, as companies strive to meet the minimum recycled content requirements and contribute to environmental sustainability. The fragmented nature of the market, with numerous global and local players, underscores the competitive landscape where innovation and compliance are key to gaining market share.
Food-grade Post-Consumer Recycled (PCR) 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's Five Forces Analysis
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1.3.1 Bargaining Power of Suppliers
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1.3.2 Bargaining Power of Consumers
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1.3.3 Threat of New Entrants
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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 Geopolitical Scenario Impact on the Industry
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2. MARKET SEGMENTATION
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2.1 By Material
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2.1.1 Plastic
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2.1.1.1 Polyethylene Terephthalate (PET)
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2.1.1.2 Polyethylene (PE)
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2.1.1.3 Polypropylene (PP)
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2.1.1.4 Other Plastics
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2.1.2 Glass
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2.1.3 Metal
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2.1.4 Paper & Paperboard
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2.2 By Product Type
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2.2.1 Bottles and Containers
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2.2.2 Cans
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2.2.3 Pouches and Bags
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2.2.4 Trays and Clamshells
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2.2.5 Other Product Types
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2.3 By End-user Industry
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2.3.1 Food
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2.3.2 Beverage
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2.3.3 Personal Care and Cosmetics
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2.3.4 Healthcare and Pharmaceuticals
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2.3.5 Other End User Industry
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2.4 Geography***
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2.4.1 North America
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2.4.1.1 United States
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2.4.1.2 Canada
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2.4.2 Europe
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2.4.2.1 United Kingdom
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2.4.2.2 Germany
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2.4.2.3 France
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2.4.2.4 Italy
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2.4.2.5 Spain
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2.4.3 Asia
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2.4.3.1 China
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2.4.3.2 Japan
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2.4.3.3 India
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2.4.3.4 Australia and New Zealand
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2.4.4 Latin America
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2.4.4.1 Brazil
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2.4.4.2 Argentina
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2.4.4.3 Mexico
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2.4.5 Middle East and Africa
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2.4.5.1 Saudi Arabia
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2.4.5.2 South Africa
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2.4.5.3 Egypt
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Food-grade Post-Consumer Recycled (PCR) Packaging Market Size FAQs
How big is the Food-grade Post-Consumer Recycled Packaging Market?
The Food-grade Post-Consumer Recycled Packaging Market size is expected to reach 5.86 million tonnes in 2024 and grow at a CAGR of 7.38% to reach 8.37 million tonnes by 2029.
What is the current Food-grade Post-Consumer Recycled Packaging Market size?
In 2024, the Food-grade Post-Consumer Recycled Packaging Market size is expected to reach 5.86 million tonnes.