Food Service Packaging Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 128.82 Billion |
| Market Size (2029) | USD 158.09 Billion |
| CAGR (2024 - 2029) | 4.18 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Food Service Packaging Market Analysis
The Food Service Packaging Market size is estimated at USD 128.82 billion in 2024, and is expected to reach USD 158.09 billion by 2029, growing at a CAGR of 4.18% during the forecast period (2024-2029).
- Online delivery platforms and mobile apps fuel the growth of foodservice packaging products. This surge is poised to intensify as technology reshapes the food landscape, drawing in more investments. Third-party online food ordering services are expected to surge, empowering numerous small, independent eateries to tap into a wider customer base. Additionally, the growth of quick service restaurants (QSRs), including online delivery food trucks, bolsters the demand for foodservice packaging, especially disposables.
- Over the last few years, online food ordering and restaurant delivery have grown more than 20%. With the increasing adoption of the online food delivery system, the demand and use of sustainable packaging are rising, causing manufacturers to opt for sustainable packaging solutions.
- Cafés and restaurants worldwide are on the rise, propelling the foodservice packaging market. In China alone, the café count surged from 115.82 thousand in 2022 to 132.83 thousand in 2023, as reported by CBN-Data. This uptick in café numbers directly fuels the demand for foodservice packaging. Given that many cafes prioritize takeout options, the need for packaging, such as paper bags and plastic containers, becomes paramount. Consequently, with the expanding café and restaurant landscape, the demand for retail bags is poised to climb.
- Several packaging companies, such as Hinojosa, assist firms in promoting more environmentally friendly consumption habits in the food and beverage industry, strategically making it easier to include sustainability as a competitive advantage. Foodservice was one of the industries with the most significant demand for plastic packaging, which witnessed plastic usage climb by more than 33% in 2021.
- In March 2023, Hinojosa Packaging Group launched a new line of foodservice packaging products that offers a range of solutions using printing methods safe for contact with food. This container is constructed entirely of recyclable paper and is biodegradable, which makes it stand out from other packaging.
- However, sustainable packaging can be expensive and challenging to develop. Many businesses need more resources, and investing in R&D would be required for better packaging. The potential cost savings from streamlined packaging must be considered. The cost of using sustainable packaging is higher than conventional packaging. This is due to the materials involved and their sourcing (both virgin and used), the less-established supply chains, manufacturing processes, and lower economies of scale.
- Enhanced packaging materials and customization are pivotal drivers of growth in the foodservice packaging market. They not only meet evolving consumer preferences but also bolster brand identity and tackle sustainability concerns. In April 2024, Sabert Corporation, a leading innovator in food packaging, unveiled its latest range: Pulp Protein and Produce Trays. These Trays, certified as commercially compostable, offer foodservice operators a sustainable choice over conventional foam trays, all while maintaining top-tier quality and performance.
Food Service Packaging Market Trends
Quick Service Restaurants (QSR) Are Expected to Hold the Largest Share
- Global consumers are increasingly turning to fast food, with a surge in offerings from global giants like KFC, Domino's, and Starbucks, as well as regional players. This trend is fueled by the growing penchant for dining out, a melding of cross-cultural dietary tastes, and fast food's convenience in fast-paced lives. The QSR segment’s growth is bolstered by the diverse culinary options offered by international brands. Shifting population demographics and a growing health consciousness among millennials and baby boomers are amplifying the demand for food products that prioritize wellness.
- QSRs specialize in affordable, fast food and prioritize service efficiency. They stand out from traditional dining establishments by offering minimal table service and a strong focus on self-service. Commonly, QSRs utilize single-use plastic products such as rigid polystyrene (PS), expanded polystyrene (EPS), polypropylene (PP), polyethylene terephthalate (PET), and polylactic acid (PLA).
- During the lockdowns, many cafes and restaurants pivoted to emphasize curbside pickup and carryout exclusively. Others slashed their in-store capacities, introducing innovative delivery services to meet the demand for food delivery. As a result, the food and beverage industry is poised to generate increased demand for foodservice packaging. This can be largely attributed to the heightened emphasis on hygiene and sustainability, propelling paper to the forefront as a preferred packaging material.
- Amidst the prevalence of styrofoam cups, plastic lids, and inorganic meat, the industry is increasingly pivoting toward eco-friendliness. Driven by a rising customer preference for sustainable practices, numerous companies are embracing greener alternatives. Arcos Dorados Holdings, an independent McDonald’s franchisee, adopted J&J Green Paper’s 'all-natural' barrier coating in June 2024. This move aimed to eliminate plastics and PFAS chemicals and reduce consumer waste, marking a significant step in the fast food industry’s sustainability efforts.
- The rising trend of on-the-go dining and heightened food expenditures have bolstered the QSR segment, consequently driving up the demand for foodservice packaging. As per Yum! Brands’ February 2024 report, the global count of KFC outlets surged from approximately 25,000 in 2020 to a staggering 29,900 by 2023. This global uptick in QSR establishments is poised to further escalate the need for foodservice packaging in the coming years.
Asia-Pacific Accounts for the Largest Market Share
- Asia-Pacific comprises densely populated countries and emerging economies like China and India. The demand for foodservice is growing rapidly, and the adoption of sustainable packaging is gaining momentum; it is expected to increase further during the forecast period.
- Plastic is an essential part of the packaging industry that forms the foundation of the consumer convenience culture. Owing to their cost-to-performance ratio, traditional packaging materials, such as corrugated paper boards, glass, and metals, have been substituted by plastics in foodservice.
- CHUK, a compostable foodservice brand, joined quick commerce firm Blinkit as its sustainability partner. Blinkit delivers CHUK's products to consumers within 10 minutes, bridging the gap between the consumers and CHUK. The partnership helped CHUK to serve one crore pieces to consumers on the platform FY 2022-23.
- Japan has a high per capita consumption of packaging materials, and there is a close relationship between the food and packaging industries in the country. Japanese food manufacturers are known for using high-tech packaging techniques and their tendency toward ingenuity in packaging designs. This focus on packaging innovation has led to the development of attractive and efficient packaging solutions in Japan.
- There has been strong growth of FSRs in India during the past years due to the rise in the consumption of different varieties of Asian cuisine, including Chinese, Indian, Japanese, and Pan-Asian. Indian cuisine is significantly influenced by East Asian culture and is particularly popular among the younger generation.
- As per the Speciality Restaurants report, in FY 2023, there were about 127 outlets of Speciality Restaurants Limited in India, up from 117 stores two years prior. This uptrend is also expected to be witnessed in the upcoming years, thereby bolstering the demand for foodservice packaging products.
- According to industry insiders, foodservice packaging manufacturers are gravitating toward flexible packaging as it is visually appealing, cost-effective, and long-lasting. According to the India Brand Equity Foundation (IBEF), the Indian food and grocery market is the sixth-largest globally, with retail accounting for 70% of sales. The Indian food processing industry accounted for 32% of the country's overall food market, ranking sixth in production, consumption, export, and expected growth.
Food Service Packaging Industry Overview
The foodservice packaging market is fragmented, as many players have a strong presence due to their offerings. With innovations and demand, the market is attractive for new players.
- September 2023: Berry introduced food-grade recycled content in flexible plastic packaging with food-grade low-density polyethylene (LLDPE) films containing at least 30% (PCR) post-consumer recycled plastic. Through this addition to its robust film portfolio, Berry offered brands a solution to their sustainability commitments to include PCR in food packaging.
- February 2023: Pactiv Evergreen collaborated with AmSty to launch Circular Polystyrene Food Packaging Products, where Pactiv Evergreen packaging will use ISCC PLUS-certified recycled polystyrene from AmSty, and Evergreen will begin offering customers the ability to purchase packaging linked to ISCC PLUS-certified post-consumer recycled polystyrene derived from advanced recycling technologies using mass balance allocation.
Food Service Packaging Market Leaders
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Pactiv Evergreen Inc.
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Genpak Corporation
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Huhtamaki Oyj
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Berry Global Inc.
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Novolex Packaging
*Disclaimer: Major Players sorted in no particular order
Food Service Packaging Market News
- February 2024: Berry launched its reusable tableware range to help meet the foodservice industry’s demand for more sustainable packaging solutions. This initiative was in response to mounting legislative and customer pressures to transform its packaging practices. For example, the Anti-Waste Law for Circular Economy (AGEC) in France mandates that restaurants and other establishments with seating for more than 20 guests must offer reusable tableware.
- September 2023: Pactiv Evergreen and ExxonMobil collaborated to leverage advanced recycling for foodservice packaging. Evergreen would be able to offer its customers certified circular polypropylene (PP) packaging products leveraging ExxonMobil’s Exxtend™ technology for advanced recycling. These innovative products meet all regulatory requirements and specifications for food contact applications.
Food Service Packaging Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
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4.2 Industry Attractiveness - Porter's Five Forces Analysis
- 4.2.1 Bargaining Power of Suppliers
- 4.2.2 Bargaining Power of Buyers
- 4.2.3 Threat of New Entrants
- 4.2.4 Threat of Substitute Products
- 4.2.5 Intensity of Competitive Rivalry
- 4.3 Industry Ecosystem Analysis
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Growing Demand For Convenience Food Continues In Major Markets
- 5.1.2 Increasing Vendor Focus On Recycled Plastic Due To Emphasis On Sustainability
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5.2 Market Challenges
- 5.2.1 Steady Growth Of Flexible Packaging Due To Environmental Pressure And Uncertainty In Polymer Prices
6. MARKET SEGMENTATION
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6.1 By Product Type
- 6.1.1 Corrugated Boxes And Cartons
- 6.1.2 Plastic Bottles
- 6.1.3 Trays, Plates, Food Containers, And Bowls
- 6.1.4 Cups And Lids
- 6.1.5 Clamshells
- 6.1.6 Other Product Types
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6.2 By End-user Industries
- 6.2.1 Quick Service Restaurants (QSR)
- 6.2.2 Full-service Restaurants (FSR)
- 6.2.3 Institutional
- 6.2.4 Hospitality (Dine-ins, Coffee & Snack, Etc.)
- 6.2.5 Other End-user Industries
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6.3 By Geography
- 6.3.1 North America
- 6.3.1.1 United States
- 6.3.1.2 Canada
- 6.3.2 Europe
- 6.3.2.1 United Kingdom
- 6.3.2.2 Germany
- 6.3.2.3 France
- 6.3.2.4 Italy
- 6.3.2.5 Spain
- 6.3.3 Asia
- 6.3.3.1 China
- 6.3.3.2 Japan
- 6.3.3.3 India
- 6.3.3.4 Australia and New Zealand
- 6.3.4 Latin America
- 6.3.4.1 Brazil
- 6.3.4.2 Argentina
- 6.3.4.3 Mexico
- 6.3.5 Middle East and Africa
- 6.3.5.1 Saudi Arabia
- 6.3.5.2 United Arab Emirates
- 6.3.5.3 South Africa
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles*
- 7.1.1 Pactiv Evergreen Inc.
- 7.1.2 Dart Container Corporation
- 7.1.3 Amhil North America
- 7.1.4 Genpak LLC
- 7.1.5 Huhtamaki Oyj
- 7.1.6 Berry Global Inc.
- 7.1.7 Novolex Holdings LLC
- 7.1.8 Sabert Corporation
- 7.1.9 Silgan Plastic Food Container
- 7.1.10 B&R Plastics Inc.
- 7.1.11 Graphic Packaging International Inc.
- 7.1.12 Amcor PLC
- 7.1.13 Sonoco Products Company
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Food Service Packaging Industry Segmentation
Foodservice packaging includes single-use and recyclable containers and products used for serving or packaging prepared foods and drinks in eat-in or takeaway food service establishments and increasingly for home delivery. The report offers an up-to-date analysis of the current market scenario, the latest trends and drivers, and the overall market environment. The report also identifies the continuous development of new products as one of the prime market growth drivers over the next few years.
The foodservice packaging market is segmented by product type (corrugated boxes and cartons, plastic bottles, trays, plates, food containers, bowls, cups, and lids, clamshells, and other product types), end user (quick service restaurants (QSR), full service restaurants (FSR), institutional, hospitality, and other end users), and geography (North America [the United States and Canada], Europe [the United Kingdom, Germany, France, Italy, Spain and Rest of Europe], Asia-Pacific [China, India, Japan, 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, the United Arab Emirates, South Africa, and Rest of Middle East and Africa]). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Product Type | Corrugated Boxes And Cartons | |
| Plastic Bottles | ||
| Trays, Plates, Food Containers, And Bowls | ||
| Cups And Lids | ||
| Clamshells | ||
| Other Product Types | ||
| By End-user Industries | Quick Service Restaurants (QSR) | |
| Full-service Restaurants (FSR) | ||
| Institutional | ||
| Hospitality (Dine-ins, Coffee & Snack, Etc.) | ||
| Other End-user Industries | ||
| By Geography | North America | United States |
| Canada | ||
| By Geography | Europe | United Kingdom |
| Germany | ||
| France | ||
| Italy | ||
| Spain | ||
| By Geography | Asia | China |
| Japan | ||
| India | ||
| Australia and New Zealand | ||
| By Geography | Latin America | Brazil |
| Argentina | ||
| Mexico | ||
| By Geography | Middle East and Africa | Saudi Arabia |
| United Arab Emirates | ||
| South Africa |
Food Service Packaging Market Research FAQs
How big is the Food Service Packaging Market?
The Food Service Packaging Market size is expected to reach USD 128.82 billion in 2024 and grow at a CAGR of 4.18% to reach USD 158.09 billion by 2029.
What is the current Food Service Packaging Market size?
In 2024, the Food Service Packaging Market size is expected to reach USD 128.82 billion.
Who are the key players in Food Service Packaging Market?
Pactiv Evergreen Inc., Genpak Corporation, Huhtamaki Oyj, Berry Global Inc. and Novolex Packaging are the major companies operating in the Food Service Packaging Market.
Which is the fastest growing region in Food Service Packaging Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Food Service Packaging Market?
In 2024, the Asia Pacific accounts for the largest market share in Food Service Packaging Market.
What years does this Food Service Packaging Market cover, and what was the market size in 2023?
In 2023, the Food Service Packaging Market size was estimated at USD 123.44 billion. The report covers the Food Service Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Food Service Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Food Service Packaging Industry Report
Statistics for the 2024 Food Service Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Food Service Packaging analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
