The global food packaging market was valued at USD 305.29 Billion in 2019 and expected to reach USD 464.98 Billion by 2027 and poised to grow at a compound annual growth rate (CAGR) 5.4% during the forecast period 2020 to 2027.
Rising demand for packaged food by consumers due to fast lifestyle along with changing eating habits expected to impact positively on the market. The product provides stable and extended shelf-life, safety, and high barrier properties, thereby propelling the market growth. Factors such as convenience along with use of high-performance material are further expected to aid towards the growth of the food packaging industry. Improved shelf-life along with increased efficiency in the prevention of content from contamination predicted to boost the growth of the market in the coming years. In addition, factors such as rising disposable income, increasing population, and shrinking households have also influenced positively on the market.
Moreover, the bargaining power of buyers projected to remain high during the analysis period. The industry is considered by the presence of large number of buyers that anticipated to fuel over the forecast period. Additionally, buyers seek for customized and innovative solutions for their products as well as exhibit high levels of price sensitivity together with frequent possibility for material substitution.
Besides this, the market analyzed to remain highly regulated with agencies such as the European Commission and the U.S. Food and Drug Administration (FDA) imposing strict regulations pertaining use of food contact materials and food packaging types. Furthermore, the market trend is inclined toward more sustainable packing solutions that include thermoplastics and bio-based plastics that further poised to spur the market growth.
The paper and paper-based material segment led the global food packaging market and accounted for a value share of nearly 32% in 2019. Growth of this segment is attributed to high adoption rate of the product in a bid to substitute non-biodegradable packing solutions. Ease of printability, innovations in design, and sustainability provide paper packaging a competitive advantage over other materials such as plastic and metal packaging solutions.
On the other side, plastic food packaging anticipated to witness considerable growth owing to increasing adoption by end users because of its low price. Further, increasing usage of plastic films in secondary food packaging expected to have a positive impact on the market. Superior properties provided by plastic packaging that include high moisture barrier and increased sealing capacity is presumed to boost the product demand over the coming years.
Bakery and confectionery products generally require high moisture barrier packaging so as to extend their shelf life. Flexible packaging is increasingly used for the bakery & confectionary application because of its advantages that include printability, lightweight, and cost-effectiveness over paper cartons and tins. Furthermore, attractive packing of confectionery products witnessed to boost the growth of the segment over the analysis period.
Increasing consumer inclination toward dairy products in smaller packs owing to shrinking households anticipated to augment the market growth. Further, adoption of attractive food packaging strategies by manufacturers is also intended to boost the growth of the segment. The rising demand for dairy products that include ice cream and yogurt considered to flourish the market growth for food packaging solutions in dairy products application.
The Asia Pacific estimated to be the dominant market, followed by North America and Europe, accounting for around 40% of the total value share in the year 2019. The market analyzed to be driven by rising per capita income, increasing population, and growing demand in emerging countries such as Japan, China, and India.
China is the largest consumer of packaged food because of its growing economy and large population base. The market in China expected to flourish at a prominent rate due to its intensifying middle-class population along with their rising purchasing power. Among other Asian countries, India is the fastest growing market in consequence of increasing usage of the products in retail chains.
On the contrary, high rate of consumption of packaged food by consumers, thriving retail sector, as well as the presence of large number of manufacturers are the key factors projected to propel the demand for food packaging solutions in North America. Despite of high saturation level, Europe predicted to register a positive outlook over the analysis period. Single market policy within European countries allows free-trade that expected to encourage exports, consequently fuels the market growth.
Key Companies & Market Share Insights
The global food packaging market exhibits presence of significant number of market players most of which operate through Europe and North America. However, the industry players show immense interest in expanding their reach to the Asia Pacific market owing to numerous untapped opportunities in the region. The industry participants supply their product through various distribution channels along with manufacturing plants in various locations across the globe.
Some of the prominent players in the food packaging market include:
Scope of the Food Packaging Market
|Market Size||USD 464.98 Billion by 2027|
|Growth Rate||CAGR of 5.4%% from 2021 to 2027|
|Forecast Period||2021 to 2027|
|Segments Covered||Type, Application, Material, Regional Outlook|
|Regional Scope||North America, APAC, Europe, Latin America, MEAN, Rest of the World|
|Companies Mentioned||Berry Plastics Group, Amcor Plc, Sigma Plastics Group, Sealed Air Corporation, DS Smith PLC, American Eagle Packaging, Ball Corporation, Crown Holdings, Inc., Huhtamaki Oyj., and Ardagh Group|
Segments Covered in the Report
This research study comprises complete assessment of the market by means of far-reaching qualitative and quantitative perceptions, and predictions regarding the market. This report delivers classification of marketplace into impending and niche sectors. Further, this research study calculates market size and its development drift at global, regional, and country from 2016 to 2027. This report contains market breakdown and its revenue estimation by classifying it based on material, type, application, and region:
By Regional Outlook
No cookie-cutter, only authentic analysis – take the 1st step to become an Precedence Research client