Packaging Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 1.14 Trillion |
| Market Size (2029) | USD 1.38 Trillion |
| CAGR (2024 - 2029) | 3.89 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Packaging Market Analysis
The Packaging Market size is estimated at USD 1.14 trillion in 2024, and is expected to reach USD 1.38 trillion by 2029, growing at a CAGR of 3.89% during the forecast period (2024-2029).
- Over the past decade, the global packaging market has grown steadily, driven by substrate preference shifts, new markets, and evolving ownership structures. Flexible packaging, high-barrier films, and stand-up retort pouches are increasingly challenging traditional formats like metal tins and glass jars, especially in the food sector.
- Digital printing in the packaging sector is set for significant growth, propelled by its capacity to deliver high-quality, customizable, and cost-efficient solutions. The incorporation of smart packaging technologies is set to revolutionize the sector.
- RFID tags, QR codes, and sensors bolster traceability, quality control, and consumer interaction. With the evolution of the Internet of Things (IoT), smart packaging solutions are becoming pivotal in the packaging industry.
- Rising retail sales will encourage manufacturers to innovate packaging to attract consumers. Creative and visually appealing packaging designs can help products stand out on store shelves and capture consumer attention, leading to a higher adoption of advanced packaging solutions. According to the United States Census Bureau, retail sales in the United States were USD 7.242 trillion in 2023. When compared to 2019, the sales value was USD 5.396 trillion.
- Conversely, the rise in the use of non-recyclable, non-biodegradable plastic packaging is leading to a surge in carbon emissions, potentially acting as a growth deterrent. In response, major players such as Amazon, Google, and Tetrapak are pivoting toward achieving net-zero carbon emissions, a move that's set to define their future capital investments.
Packaging Market Trends
Paper and Paperboard Packaging Products to Witness the Highest Growth
- Increasing demand for environmentally friendly materials propels the packaging market. Eco-friendly packaging, characterized by recyclability, biodegradability, reusability, and low toxicity, is gaining prominence due to its minimal environmental footprint. Notably, paper-based solutions, including bags, pouches, and cartons, have led to a surge in sustainable packaging adoption.
- The increasing trend of online retail and environmental regulations on non-biodegradable and non-recyclable packaging solutions progressively creates a massive demand for eco-friendly paper packaging solutions.
- Companies increasingly shift towards sustainable packaging to meet consumer demands and regulatory requirements. Consumers perceive paper and paperboard packaging as more environmentally friendly than plastic packaging.
- The food and beverage industry's shift from plastic to paper packaging is driven by increasing environmental concerns and regulatory pressures to reduce plastic waste. Manufacturers are increasingly embracing paper and paperboard packaging solutions. For instance, in May 2024, Mondi introduced 'TrayWrap,' a secondary paper packaging solution designed to supplant the conventional plastic shrink film utilized in bundling food and beverage items.
- According to AFRY and Suzano PaperLine, the global consumption of paper is expected to increase from 415 million metric tons in 2022 to 476 million metric tons in 2032. As online shopping continues to rise, the demand for sustainable and efficient packaging solutions will grow. Paper and paperboard are often preferred for their recyclability and biodegradability.
Asia Pacific Packaging Market to Expand Significantly
- Plastic packaging has observed wide-scale utilization in Asia, with countries like India and China contributing significantly through their food and beverages market. The Chinese packaging sector is heavily influenced by variables such as rising per capita income, changing social atmosphere, and demographics, including ban enforcement on plastics to minimize its plastic footprint. This results in significant impacts on the packaging business.
- India's packaging industry is experiencing robust growth, expanding at a rate of 22-25% annually, solidifying its position as a key player in the global packaging landscape. As the 5th largest sector in India's economy, the packaging industry has demonstrated consistent growth in recent years, with significant potential for further expansion, especially in the industry of exports.
- Notably, the costs associated with processing and packaging food in India can be as much as 40% lower than in many European countries. This, coupled with India's abundant skilled labor force, renders the nation an enticing investment destination for businesses eyeing the packaging sector.
- Japan stands out as a significant consumer of paper-based products across diverse sectors, spanning newspapers, packaging, printing, communication, and even sanitary applications. Notably, driven by a growing consumer consciousness towards sustainable practices, concerns over deforestation, and the availability of raw materials, Japan's packaging industry is increasingly pivoting towards paper-based solutions.
- China's monthly plastic product output averages 6.59 million metric tons. Notably, December 2023 marked a peak, with production hitting 6.98 million metric tons, as reported by the National Bureau of Statistics of China.
- Higher production volumes ensure a more stable supply of plastic raw materials for packaging manufacturers. This stability can lead to more consistent production schedules, reducing lead times and improving delivery reliability for packaging products.
Packaging Industry Overview
The global packaging industry appears fragmented due to several vendors. Some leading players in the are Amcor Group GmbH, Berry Global Group, Inc., International Paper Company, Mondi Group, and others. In the global packaging market, key factors include sustainable competitive advantages driven by innovation, market penetration levels, exit barriers, advertising expenditure, competitive strategy, and firm concentration ratios. Players in this market leverage innovation for a competitive edge. The material specifications, especially in plastic packaging, offer ample room for product differentiation.
- June 2024 - Berry Global Group Inc. launched a new offering: a rectangular Domino bottle tailored for the beauty, home, and personal care sectors. This bottle is manufactured from up to 100% post-consumer recycled (PCR) plastic. The 250ml Domino bottle boasts a distinctive 75-millimeter-wide front panel, complemented by customizable side panels.
- June 2024 - Smurfit Kappa, a sustainable packaging solutions provider, has acquired Artemis Ltd, a Bag-in-Box packaging facility in Shumen, Bulgaria. Specializing in food and beverage packaging, Artemis manufactures bags for bag-in-box items and produces films and caps tailored to the wine industry.
- April 2024 - Amcor, a global provider of sustainable packaging solutions, launched a product: a one-liter polyethylene terephthalate (PET) bottle designed specifically for carbonated soft drinks (CSDs). It's manufactured entirely from 100% post-consumer recycled (PCR) materials. By offering this pioneering stock option, Amcor underscores its commitment to sustainability and empowers its customers to align with their eco-conscious goals.
Packaging Market Leaders
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Gerresheimer AG
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Amcor Group GmbH
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Huhtamaki Oyj
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Mondi plc
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Berry Global Group, Inc.
*Disclaimer: Major Players sorted in no particular order
Packaging Market News
- June 2024: Sonoco Products Company announced its agreement to acquire Eviosys, a Europe manufacturer of food cans, ends, and closures, from KPS Capital Partners, LP, at around USD 3.9 billion.
- May 2024: Mondi, a prominent global entity in sustainable packaging and paper, marked a significant milestone in Duino, Italy, by laying the foundation for its EUR 200 million (USD 216.45 million) investment in the mill, which Mondi acquired in January 2023. The facility's existing paper machine is transforming into a recycled containerboard machine.
- April 2024: The United Kingdom has initiated the Circularity in Primary Pharmaceutical Packaging Accelerator (CiPPPA) to spearhead the development and execution of strategies aimed at enhancing the recycling of medicinal devices and pharmaceutical packaging at their end-use. CiPPPA is a non-profit, collaborative effort that unites stakeholders spanning the pharmaceutical supply chain.
- April 2024: Berry Global Group Inc., a key player in designing, developing, and producing healthcare solutions, increased its production capacity by investing in new assets and manufacturing capabilities. This move is set to amplify production by a significant 30% at three of its European facilities.
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 INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Competitive Rivalry
4.2.5 Threat of Substitutes
4.3 Industry Value Chain Analysis
4.4 Market Drivers (Paper and Glass)
4.5 Market Challenges (Plastic)
4.6 Coverage of Per Capita Packaging Consumption in Major Countries Across the World
4.7 Market Opportunities
5. MARKET SEGMENTATION
5.1 By Packaging Type
5.1.1 Plastic Packaging
5.1.1.1 Rigid Plastic Packaging
5.1.1.1.1 By Material Type - (PE - HDPE & LDPE, PP, PET, PVC, PS and EPS)
5.1.1.1.2 By Product Type - (Bottles and Jars (Containers), Caps and Closures, Bulk-Grade Products - IBC, Crates & Pallets, Others)
5.1.1.1.3 By End-User Industry - (Food, Beverage, Industrial and Construction, Automotive, Cosmetics and Personal Care, Other End-user Industries)
5.1.1.2 Flexible Plastic Packaging
5.1.1.2.1 By Material Type - (PE, BOPP, CPP, Others)
5.1.1.2.2 By Product Type - (Pouches, Bags, Films and Wraps)
5.1.1.2.3 By End User Industry - (Food, Beverage, Pharmaceutical, Cosmetics and Personal Care)
5.1.1.3 By Region - (North America, Europe, Asia Pacific, Middle East and Africa (GCC, United Arab Emirates, KSA, Rest of GCC, Rest of Middle East and Africa), Latin America)
5.1.2 Paper and Paperboard
5.1.2.1 By Product Type - (Folding Carton, Corrugated Boxes, Single-use Paper Products (Bags, Cups, Others))
5.1.2.2 By End-user (Food, Beverage, Industrial & Electronic, Cosmetics & Personal Care, Healthcare, Others (Household Care, Transit (Transportation of Automobile Components, Machinery, etc.))
5.1.2.3 By Region - (North America, Europe, Asia Pacific, Middle East and Africa (GCC, United Arab Emirates, KSA, Rest of GCC, Rest of Middle East and Africa), Latin America)
5.1.3 Metal Packaging
5.1.3.1 By Product Type - (Cans (Food, Beverage, Aerosols, Others), Caps and Closures, Other Product Types)
5.1.3.2 By Region - (North America, Europe, Asia Pacific, Middle East and Africa (GCC, United Arab Emirates, KSA, Rest of GCC, Rest of Middle East and Africa), Latin America)
5.1.4 Container Glass
5.1.4.1 By End-user - (Food, Beverage (Alcoholic, Non-Alcoholic), Personal Care and Cosmetics, Pharmaceuticals)
5.1.4.2 By Region - (North America, Europe, Asia Pacific, Middle East and Africa (GCC, United Arab Emirates, KSA, Rest of GCC, Rest of Middle East and Africa), Latin America)
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles*
6.1.1 International Paper Company
6.1.2 Mondi Group
6.1.3 Smurfit Kappa Group
6.1.4 DS Smith PLC
6.1.5 WestRock Company
6.1.6 UFlex Limited
6.1.7 Huhtamaki Oyj
6.1.8 Amcor Group GmbH
6.1.9 Coveris Holding SA
6.1.10 Sealed Air Corporation
6.1.11 Greif, Inc.
6.1.12 Sonoco Products Company
6.1.13 Aptar Group Inc.
6.1.14 Berry Global Group, Inc.
6.1.15 Alpla Group
6.1.16 Owens-illinois, Inc.
6.1.17 Vidrala, S.A.
6.1.18 Verallia SA
6.1.19 Gerresheimer AG
6.1.20 Vitro, S.A.B. De C.V.
6.1.21 Ball Corporation
6.1.22 Crown Holdings, Inc.
6.1.23 Ardagh Group S.A.
6.1.24 Can Pack SA
6.1.25 Silgan Holdings Inc.
7. INVESTMENT ANALYSIS
8. FUTURE OUTLOOK OF THE MARKET
Packaging Industry Segmentation
Packaging refers to wrapping or bottling products to protect them from damage during transportation and storage. It keeps a product safe and marketable and helps to identify, describe, and promote it.
The packaging market is segmented by packaging type (plastic packaging (rigid plastic packaging (material type, product type, end-user industry, region), flexible plastic packaging (material type, type, end-user industry, region)) paper and paperboard (product type, end-user, region), metal packaging (product type, region), container glass (end-user, region). The market sizes and forecasts are provided in terms of value in (USD) for all the above segments.
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Packaging Market Research FAQs
How big is the Packaging Market?
The Packaging Market size is expected to reach USD 1.14 trillion in 2024 and grow at a CAGR of 3.89% to reach USD 1.38 trillion by 2029.
What is the current Packaging Market size?
In 2024, the Packaging Market size is expected to reach USD 1.14 trillion.
Who are the key players in Packaging Market?
Gerresheimer AG, Amcor Group GmbH, Huhtamaki Oyj, Mondi plc and Berry Global Group, Inc. are the major companies operating in the Packaging Market.
Which is the fastest growing region in 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 Packaging Market?
In 2024, the Asia Pacific accounts for the largest market share in Packaging Market.
What years does this Packaging Market cover, and what was the market size in 2023?
In 2023, the Packaging Market size was estimated at USD 1.10 trillion. The report covers the Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What drives the Global Packaging Market growth?
The key factors driving the Global Packaging Market are: a) Rising demand for e-commerce b) Changing consumer preferences c) Increasing Demand for Sustainable and Recyclable Packaging
Packaging Industry Report
The packaging market is witnessing significant growth, fueled by the surge in demand for sustainable and recyclable materials, with the paper and paperboard segment leading due to its eco-friendliness. The expansion of the organized retail sector further boosts the market, necessitating efficient, aesthetically pleasing packaging solutions. Trends towards flexible and rigid packaging cater to diverse industry needs, with advanced printing technologies like flexography enhancing innovation. Regionally, Europe, the US, and Africa show robust growth, each presenting unique opportunities. Europe excels in diversity and sustainability, the US focuses on convenience for busy lifestyles, and Africa's consumer market drives demand for various packaging solutions. The industry's evolution is driven by sustainability, innovation, and consumer preferences, indicating a future shaped by the pursuit of environmentally friendly, efficient packaging aligned with modern lifestyles. For detailed market insights, Mordor Intelligence™ offers comprehensive analysis and forecasts, available for download as a free report PDF.
