Packaging Materials Market Size, Share, Growth, Trends, and Forecast by 2031

MARKET ANALYSIS

Packaging materials are the materials that are used to provide a protective layer to the products. These layers are divided into primary, secondary, and tertiary; the primary layer is the most critical layer of all. It provides a protective covering to the product to prevent it from spilling and getting contaminated by the external environment. The secondary layer offers a more significant protective covering to the product, thereby enhancing the convenience in handling. Tertiary packaging, or the third level packaging, uses packaging materials to transport the goods in bulk from one place to another.

GROWTH DRIVERS AND CHALLENGES

Growth and expansion of various end-user industries such as healthcare, food and beverages, cosmetics, and the introduction of new products in the market have bolstered the demand for packaging materials. Rising e-commerce shopping due to changing lifestyles is also fuelling the packaging materials market growth. Also, rising disposable income and rising demand for a range of consumer products is the most significant factor determining the packaging materials market growth. The e-commerce industry in the globe has grown exponentially in the last few years. According to the European Commission, 74% of internet users in the European Union shopped online in 2021.

Additionally, as per PostNord AB's report titled 'E-commerce in Europe,' the number of e-commerce consumers in Europe has grown from 286 million in 2021 to 297 million in 2021. Many e-commerce companies such as Tesco and Amazon ensure customers can conveniently shop required commodities online using smartphone e-commerce applications. In the e-commerce value chain, attractive packaging is a crucial strategy for brand owners to differentiate their products. Brand owners are shifting from traditional corrugated boxes to varied packaging options to stand out. The popularity of online shopping is also increasing the use of personalized packaging. Hence, the high preference for online shopping and e-commerce propels the demand for packaging material. However, various plastics used in the packaging materials are not a good option. Ban and various regulations imposed on plastic packaging materials due to environmental concerns will degrade the market growth rate. Additionally, fluctuations in the prices of raw materials will also hinder the market's growth.

REPORT SEGMENTATION AND SCOPE

The "Global Packaging Materials Market Analysis to 2031" is a specialized and in-depth study focusing on global market trends and growth opportunities. The report aims to provide an overview of the global packaging materials market with detailed market segmentation by material, product type, application, and geography. The global packaging materials market has witnessed high growth over the recent past and is expected to continue this trend during the forecast period. The report provides key statistics on the consumption of packaging materials worldwide and their demand in major regions and countries. In addition, the report provides a qualitative assessment of various factors affecting the packaging materials market performance in major regions and countries. The report also includes a comprehensive analysis of the leading players in the packaging materials market and their key strategic developments. Several analyses on the market dynamics are also included to help identify the key driving factors, market trends, and lucrative packaging materials market opportunities that would, in turn, aid in identifying the significant revenue pockets.

Further, ecosystem analysis and Porter's five forces analysis provide a 360-degree view of the global packaging materials market. This helps understand the entire supply chain and various market growth factors.

SEGMENTAL ANALYSIS

The global packaging materials market is segmented based on material, product type, and application. Based on material, the packaging materials market is segmented as paper and cardboard, polymer, metal, glass and wood, textile, and others. Based on product type, the market is classified as containers and jars, pouches, bags and wraps, closures and lids, boxes and crates, drums, and others. The packaging materials market is categorized based on application into food and beverage, healthcare, personal care, cosmetics, chemicals, etc.

Based on application, the food and beverage segment accounted for a significant packaging materials market share which can be attributed to its popularity across the globe and wide availability. The rising packaged food demand across all regions is surging the food and beverage industry. Additionally, the rising demand for personal care and cosmetics products indirectly contributes to the growth of packaging materials.  

REGIONAL ANALYSIS

The report provides a detailed overview of the global packaging materials market concerning five major regions: North America, Europe, Asia-Pacific (APAC), Middle East and Africa (MEA), and South & Central America. North America is estimated to account for a significant packaging materials market share globally. Increasing preference for packaged food products, surging e-commerce industry, increase in demand for personal care and cosmetics products, etc., have positively contributed to the market growth in North America. Europe is also expected to witness considerable growth during the forecast period. Asia Pacific is also expected to be an attractive market for packaging materials during the forecast period, owing to the growing end-use industries such as food and beverage, healthcare, personal care, cosmetics, etc.

INDUSTRY DEVELOPMENTS AND FUTURE OPPORTUNITIES

Partnerships, acquisitions, and new product launches were the major strategies the players operating in the global packaging materials market adopted.

In June 2021, Amazon India announced that it would replace all single-use plastic in packaging originating from its more than 50 fulfillment sites nationwide with plastic-free, biodegradable paper.

In April 2021, Greif Inc. acquired a minority position in Centurion Container LLC to grow its North American IBC reconditioning network. This agreement enhances its capacity to offer environmentally friendly packaging solutions.

IMPACT OF COVID/IMPACT OF GEOPOLITICAL SCENARIO/IMPACT OF RECESSION

The covid-19 pandemic led to a decline in the progress of many industries across the globe. The shutdown of manufacturing plants and restricted trade across the globe led to supply chain constraints for manufacturers across the globe. The packaging materials market experienced a slump during the pandemic due to the limited trade of raw materials globally. Many raw materials used for packaging are imported from countries across the globe, leading to limited availability of products. Moreover, various end-use industries, such as food and beverage, healthcare, personal care, cosmetics, chemicals, etc., declined during this period due to the shortage of raw materials and limited labor supply. This negatively affected the packaging materials market. However, the global marketplace is recovering from the losses as governments of different countries have announced relaxation in the restrictions. Manufacturers can operate at total capacity, helping them overcome the supply gap.

Moreover, the rising vaccination rate positively boosts the industry's overall growth. The pandemic led to a change in consumer habits of purchase. During the COVID-19 pandemic, consumers worldwide shifted toward purchasing food & beverages, and pharmaceutical products online. This factor will open lucrative growth opportunities for the packaging materials market over the forecast period.

COMPETITIVE LANDSCAPE AND KEY COMPANIES

Some of the key players operating in the packaging materials market include Amcor plc, Honeywell International Inc., Alcoa Corporation, Bemis Manufacturing Company, Graham Packaging Company., CKS Packaging, Inc., ProAmpac., Mondi, Berry Global Inc., AVERY DENNISON CORPORATION., Bayer AG, Tetra Pak Group, InMat Inc., Avient Corporation, A-ROO COMPANY LLC., FlexPak Services, Amerplast, Ajover S.A.S., Oliver Packaging & Equipment Company, Sealed Air and 3M among others.

Packaging Materials Report Scope