List of Contents
What is the Contract Packaging Market Size?
The global contract packaging market size is calculated at USD 78.31 billion in 2025 and is predicted to increase from USD 83.2 billion in 2026 to approximately USD 142.64 billion by 2035, expanding at a CAGR of 6.18% from 2026 to 2035.
Contract Packaging Market Key Takeaways
- By product, the blisters & clamshells segment is expected to grow at a CAGR of 9% from 2026 to 2035.
- The food & beverage segment is projected to cover a market share of 72% in 2025.
- The bottling segment held market share of around 29.2% in 2025.
- The Asia Pacific contract packaging market is expected to grow at a CAGR of 9% from 2026 to 2035.
- North America region accounted market share of around 37% in 2025.
Market Overview
Contract bundling alludes to the bundling administrations gave to clients by rethought partners for the various bundling arrangements that they give. Contract Packaging organizations are basically "outsider suppliers" who have practical experience in bundling undertakings. Contract bundling alludes to the bundling administrations gave to clients by revaluated accomplices for the various bundling arrangements that they give. Contract bundling firms are basically outsider suppliers who have practical experience in bundling. As of late, makers have started to re-appropriate bundling related undertakings and other non-center administrations to outsider suppliers. Organizations habitually decide for this sort of re-appropriating in light of the fact that they come up short on fitting abilities, information, staff, or framework for such administrations. The advantage of this is that the firm might zero in more on its center exercises without the superfluous cost of bundling related assignments. This can assist a business with turning out to be more effective and useful.
Bundling is expected to guard the item during travel and capacity. Bundling is a fundamental part of each and every unmistakable item. Nonetheless, item bundling requires a colossal measure of assets and early ventures. To conquer this issue, makers utilize outsider bundling organizations, frequently known as agreement bundling organizations, to bundle their items. Besides, contract bundling gives bundling experience and assets. Subsequently, a development in the quantity of little and medium-sized organizations all through the world, as well as the advantages given by contract bundling associations, are supposed to fuel interest in the agreement bundling industry. The ascent of the web based business has likewise added to an expansion in the requirement for tertiary bundling all through the world, well influencing the agreement bundling market. Moreover, different bundling serious enterprises like drug, buyer products, food and refreshments, and gadgets are encountering a flood popular because of various factors like expanded discretionary cashflow, populace development, and positive government strategies toward organizations in numerous nations.
AI in the Market
The impact of artificial intelligence on contract packaging is seen in the areas of operations, quality assurance, and resource management. AI takes over the real-time quality control through the use of advanced vision technology, thus cutting down on errors and boosting consistency. Predictive analytics are a key factor in keeping the machines alive and running, hence the plant is always producing. Smart robots take care of the tasks that require a lot of repetition, while AI is at the forefront of creating eco-friendly packaging and allowing customers to make their own choices through the analysis of consumer data. To sum up, AI infusion has made contract packaging more flexible, efficient, and eco-friendly as well.
Contract Packaging Market Growth Factors
The changing inclinations of assembling endeavors, which frequently re-appropriate pressing administrations to outsider players, drive development in the overall agreement bundling industry. This is because of makers' expanded spotlight on cost effectiveness and center business. Contract pressing has various benefits. First off, it brings down the producers' functional costs. It is anticipated that by re-appropriating bundling undertakings to contract packagers and bringing down machine and human costs, working expenses can be cut by as much as 6% to 8% as a rule. One of the essential drivers of the agreement bundling industry has been the always expanding specialized improvement. Contract bundling firms are exceptional with the fundamental framework as well as the fundamental ability for effective item bundling. The cutting edge computerization and hardware important for bundling assignments can assist with helping the organization's business. Different variables affecting the overall agreement bundling market incorporate the development of different corporate store all through the world, the development of internet business firms, etc. The expense component is one of the primary obstacles for the overall agreement bundling industry. Dealing with the costs related with contract bundling is a troublesome undertaking. Besides, fabricating associations may initially re-appropriate bundling related errands to contract bundling organizations, however over the long haul, such organizations might lay out their own in-house bundling unit for their items. This might help them more than outsider merchants. Thus, this may be a boundary to the extension of the agreement bundling area.
- Rising Outsourcing Trends: Manufacturers are moving more and more towards outsourcing packaging functions to concentrate on their main products and services, as well as to cut down the operational complexity.
- Cost Efficiency: The use of contract packaging is regarded as an effective way of reducing costs that are associated with labor, machinery, maintenance, and logistics, thus making the company more profitable.
- Technological Advancements: The use of automation, robotics, and digital solutions has made packaging processes more accurate, faster, and flexible.
- E-commerce Expansion: The rapid growth of online retail is driving the demand for packaging solutions that are efficient, protective, and customizable.
- Product Diversification: The demand for packaging services that are both scalable and adaptable is mainly driven by the growing demand from industries such as food, beverages, pharmaceuticals, and consumer goods.
Market Outlook
- Industry Growth Overview: The contract packaging industry is on a path to considerable long-term growth due to increased relationships between brands and suppliers for flexible, scalable, and cost-effective packaging options.
- Sustainability Trends: The concept of sustainability is causing a radical change within contract packing as a result of the many companies developing new sustainable materials and replacing their outdated manufacturing processes with manufacturers who utilize sustainable methods.
- Global Expansion: The world's leading contract packing companies are working to create a global presence, which will improve their service levels, expedite product delivery, and create a more efficient supply chain that operates across borders.
- Start-Up Ecosystem: Across the globe, Large and Medium-sized corporations are experiencing increased competition from new entrants into the contract packing market, including many new start-up companies offering innovative technologies, including automation, smart labels, digital printing, and eco-packaging.
Market Scope
| Report Coverage | Details |
| Market Size in 2026 | USD 83.20 Billion |
| Market Size in 2025 | USD 78.31 Billion |
| Market Size by 2035 | USD 142.64 Billion |
| Growth Rate from 2026 to 2035 | CAGR of 6.18% |
| Base Year | 2025 |
| Forecast Period | 2026 to 2035 |
| Segments Covered | Type, Material, Service, End User, Geography |
Segment Insights
Type Insights
The agreement bundling business is partitioned into three classifications in light of bundling type: essential, auxiliary, and tertiary. The worldwide market is overwhelmed by essential bundling, which is utilized as the underlying degree of pressing to shield the item from penetrates, scratches, and scraped area. Bottles, drink jars, tins, paper envelopes, wraps, and rankle packs are instances of primary bundling things. Following essential bundling are tertiary bundling and optional bundling. Vials, bottles, rankle packs, ampoules, and different kinds of essential bundling are accessible. This type of bundling is supposed to rule the overall drug contract bundling market before very long because of the combined re-appropriating of essential bundling tasks because of an absence of in-house capabilities and limit.
- Primary packaging
Essential bundling is the underlying layer of bundling that comes into contact with the things. The crucial objective of essential bundling is to limit, secure, and save the things. The motivation behind essential bundling is to safeguard against pollution and imperfections. Rankle bundling for non-prescription medications is an illustration of essential bundling. These materials safeguard the item. They likewise inform clients assuming that pollution has occurred. Essential bundling is often the last component eliminated by the customer. Essential bundling gives both insurance and marking potential open doors, which increments item allure. The essential bundling is the bundling that has direct touch with the items it is conveying. The real item will be taken care of by a business that has some expertise in essential bundling. The business that does the fluid filling is the head packager for a brand of filtered water. Frequently, the item maker will do the primary bundling in-house. Stream wrapping, rankle pressing, and mollusk shell bundling are likewise unmistakable essential bundling procedures.
- Secondary packaging
The essential bundle's external bundling is known as auxiliary bundling. Auxiliary bundling safeguards the essential pressed objects by adding an additional layer of security. Optional bundling, like cardboard boxes, might be utilized to transport the products. Therefore, optional bundling is a typical decision for eCommerce undertakings. Optional bundling is frequently produced using at least two materials. Boxes, air pads, sacking, pressing peanuts, and other similar bundling supplies are instances of these materials. Optional bundling is habitually printed or marked to recognize different items. Optional bundling, then again, is portrayed as the activities in the bundling system that occur after the item has been set in its essential pressing. Auxiliary bundling is utilized to package things for shipment while likewise safeguarding the item and the essential pressing. Optional bundling is now and again disposed of before it arrives at a definitive client. This is the psychologist wrap that packs individual containers into instances of water in the case of filtered water fabricating. A few makers will try and lead the optional pressing in-house, however there are numerous circumstances when it is better for an organization to re-appropriate these methods to bundling specialist co-ops known as "contract packagers."
End User Insights
The food and drink area is the world's biggest agreement bundling market as far as end-use industry. In 2024, the food and refreshment class is supposed to represent 72% of the market. The increment is connected to rising dispensable salaries, lessening family size, an expansion in the working class populace, and an expansion in longing for new and refreshing comfort dinners, as well as advantages like areas of strength for an against microorganisms and peelable qualities. Subsequent to assembling and pressing, the key activity that an organization should direct is deals and promoting. End client ventures incorporate the food and drink businesses and the individual consideration areas, which procure the administrations of these outsider suppliers. The new Covid immediately spread all through various countries and regions, affecting individuals' lives and the overall local area. It started as a human medical problem and developed into a significant risk to worldwide exchange, financial matters, and money. The COVID-19 episode upset agreement bundling ventures' tasks inferable from assembling movement imperatives.
The financial downturn originally affected yield in agreement bundling undertakings' different end-client areas. Notwithstanding, the power of the COVID-19 pandemic has been significantly diminished because of the arrival of a few inoculations. The quantity of COVID-19 patients has definitely diminished by mid-2022. This has brought about the returning of assembling and agreement bundling businesses at full limit. Besides, it has been over a long time since the pestilence started, and a few organizations have previously showed critical signs of recuperation. Overall populace development and urbanization have brought about expanded interest for bundled and prepared to-eat food, which is probably going to help the worldwide agreement bundling industry. Besides, the heavy drinker and non-cocktail enterprises, which use terminations, covers, jugs, jars, and pockets, are anticipated to drive this market during the following seven years. On account of the expanded production of meds universally, the food and drink business is trailed by the drug area.
Regional Insights
The U.S. contract packaging market size is exhibited at USD 20.28 billion in 2025 and is projected to be worth around USD 37.92 billion by 2035, growing at a CAGR of 6.46% from 2026 to 2035.
The agreement bundling industry in North America is rapidly extending in light of the fact that to expanded interest for bundling in enterprises, for example, food and beverages, drugs, excellence care, and others. A few agreement bundling firms in the United States and Canada have figured out how to adjust to troublesome business conditions. Organizations are likewise turning out to be more conscious of the furious worldwide rivalry, cost difficulties, and incredibly fluctuating OEM request. The agreement bundling industry in the United States is extending quickly because of this environment.
Numerous European firms, as Langen Group and Persson Innovation, have recently made interests in the United States. The agreement bundling industry in the United States is anticipated to increment consistently because of market solidness, developing interest, and a change in assembling endeavors' inclination for contract packagers. What's more, the United States government has ordered various guidelines and guidelines administering medication marking and bundling. Since few drug organizations in this district have an in-house bundling plant, this could impact interest in contract bundling.
How is North America leading in the Contract Packaging Market?
North America is the biggest market in the whole world because of its amazing and powerful manufacturing infrastructure and the ever-increasing need from sectors like food, beverages, and drugs. E-commerce's fast-paced growth, along with the producers' focus on sustainable and personalized packaging solutions, are the main factors that lead to market dominance. The contract packers in this area make a lot of use of state-of-the-art automation and consumer-oriented innovation.
United States Contract Packaging Market Trends
The United States is the biggest market, and the strongest demand is generated by non-pharma, food, and e-commerce industries. The main forces driving these changes are the technological updates, automation, and the introduction of customized packaging solutions that fit the expectations of consumers in terms of quality and sustainability.
The region is reaping the benefits of rapid expansion, and its factors are industrialization, middle-class population growth, and increasing pharmaceutical and electronics outsourcing. The factors fueling the demand for packaging services include increased consumer awareness, the rise of disposable income, and the flourishing of both retail and e-commerce sectors.
China Contract Packaging Market Trends
The market is growing due to the booming industrial sector, the modernization with new technology, and the rise in consumer income. The fast adoption of automated packaging, along with the increase in the number of online shoppers, leads to huge demand for efficient contract packing services.
India Contract Packaging Market Trends
The market is characterized by large potential coming from industrial growth, modernization, and bigger consumer markets. The three sectors of food, pharmaceuticals, and personal care are the major ones that are forcing the outsourcing of packaging to contract packagers for cheaper, high-quality packaging.
The region is reaping the benefits of rapid expansion, and its factors are industrialization, middle-class population growth, and increasing pharmaceutical and electronics outsourcing. The factors fueling the demand for packaging services include increased consumer awareness, the rise of disposable income, and the flourishing of both retail and e-commerce sectors.
China Contract Packaging Market Trends
The market is growing due to the booming industrial sector, the modernization with new technology, and the rise in consumer income. The fast adoption of automated packaging, along with the increase in the number of online shoppers, leads to huge demand for efficient contract packing services.
India Contract Packaging Market Trends
The market is characterized by large potential coming from industrial growth, modernization, and bigger consumer markets. The three sectors of food, pharmaceuticals, and personal care are the major ones that are forcing the outsourcing of packaging to contract packagers for cheaper, high-quality packaging.
There has been strong growth in contract packaging demand for the Latin America Region as a result of the continued expansion of retail distribution networks, continued growth in the production of consumer goods, and the ongoing growth in the number of small and mid-sized contract packaging suppliers throughout Latin America. Countries such as Brazil, Mexico, and Colombia are adopting cost-effective packaging solutions to respond to the significant growth in export markets.
Value Chain Analysis
- Material Optimization & Sourcing: This involves obtaining high-quality, sustainable materials at a reduced cost by collaborating with suppliers.
- Packaging Operations & Automation: The use of automated filling, labeling, and assembly lines to increase processing speed and accuracy.
- Distribution & Fulfilment: Utilizing established logistics networks for shipping, controlling inventory levels, and tracking product movement.
Contract Packaging Market Companies
- Sharp Packaging
- Aaron Thomas Company Inc.
- AmeriPac Inc.
- Assemblies Unlimited Inc.
- Assured Edge Solutions
- co-pak packaging corp.
- Deufol
- DHL
- Green Packaging Asia
- Hollingsworth
- Jones Packaging
- Kelly Products Inc.
- Sonic Packaging Industries
- Stamar Packaging
- Sterling Contract Packaging Inc.
- Silgan Holdings Inc.
- Wepackit Inc.
Key market developments
- Huge Beverages Contract Manufacturing reported the initiation of its new drink co-pressing plant in North Carolina in February 2020. BBCM will start with one high velocity can-line equipped for assembling 1,200 jars each moment at their new office, with plans to add lines two and three over the course of the following year and a half. BBCM plans to offer an extensive variety of canned refreshment products to large public and local clients. BBCM will be totally functional before the second's over quarter of 2020, and its most memorable assembling line is as of now 80% sold out.
- MSI Express, supported by HCI Equity Partners and situated in the United States, purchased Power Packaging in January 2020. MSI Express is an agreement bundling and agreement producing organization that works with notable brands in the rack stable human and pet food businesses. MSI Express' topographical reach, abilities, and client connections have all been extended because of the acquisition of Power Packaging. MSI Express ventures into extra food classes with Power, including powdered refreshments, soups and bases, baking blends, drink blends, espressos teas, foodservice drinks, dinner units, pasta, rice, side dishes, and salad dressings.
Recent Developments
- In July 2025, Kenco launched its Contract Packaging Division, enhancing secondary packaging services to simplify operations and reinforce its role in supply chain management.
(Source:businesswire.com) - In July 2025, Roquette launched POLYOX Extended Stability packaging to enhance excipient stability, handling, and reduce environmental impact.
(Source: contractpharma.com)
Segments covered in the Report
By Type
- Primary
- Secondary
- Tertiary
By Material
- Plastic
- Metal
- Glass
- Paper and Paperboard
By Service
- Bottling and Filling
- Bagging/Pouching
- Lot/Batch and Date Coding
- Boxing and Cartoning
- Wrapping and Bundling
- Labelling
- Clamshells and Blisters
- Others
By End User
- Pharmaceuticals
- Food & Beverage
- Agriculture
- Cosmetics
- Personal Care
- Others
By Geography
- North America
- U.S.
- Canada
- Europe
- U.K.
- Germany
- France
- Asia-Pacific
- China
- India
- Japan
- South Korea
- Malaysia
- Philippines
- Latin America
- Brazil
- Rest of Latin America
- Middle East & Africa (MEA)
- GCC
- North Africa
- South Africa
- Rest of the Middle East & Africa
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