Packaging Materials Market By Raw Material (Plastic, Metal, Glass, Textile, and Others), Technology (Injection Molding & Thermoformed, Extrusion, Blow Molding, and Others), and End-user (Food & Beverages, Healthcare, Cosmetics, Household Products, Chemicals, and Others), and Region - Market Perspective, Market Intelligence, Comprehensive Analysis, Historical Data, and Forecast for 2023 - 2032

Market Perspective

The global Packaging Materials Market was valued at USD 361.42 billion in 2022 and is predicted to attain a valuation of USD 529.65 billion by 2032 at a CAGR of 3.9% between 2023 and 2032.

This growth is primarily driven by the increased demand for personal care items, which is expected to have a positive impact on the market growth of packaging materials. This can be attributed to the rising incomes in emerging nations and the growing desire among consumers to spend on personal grooming. In addition, the expanding food and beverage industry is another major driver of the packaging materials market.

The demand for packaging materials in both established and developing nations is expected to increase significantly due to the growing demand for ready-to-eat and frozen food products. The rise of e-commerce has also contributed to an increase in demand for more sophisticated packaging solutions.

The global food and beverage industry is expected to experience significant growth in the coming years, which will further drive demand for packaging materials. These materials are commonly used to package unprepared and prepared food items, as well as bulk food items such as cereals and grains. The increasing global demand for frozen meat products, canned seafood, and ready-to-eat meals is also expected to contribute to the growth of the packaging materials industry.

Key Insights

• Based on raw materials, the plastic segment held the largest market share
• Based on technology, the Injection molding & thermoformed segment dominated the market
• Based on end-user, the food & beverages segment generated the highest revenue
• On the basis of region, Asia Pacific accounted for the largest market share

Demand for Long-Lasting Packaging is Propelling the Market Growth

The demand for long-lasting packaging is a major factor driving the growth of the packaging market. Plastic, in particular, is a preferred material for packaging due to its ability to withstand harsh conditions and temperatures, ensuring the safety and integrity of products such as food, beverages, and cosmetics. Additionally, plastic is a cost-effective and highly printable material, making it an attractive choice for packaging.

Over the next decade, the US market for extrusion technology is expected to expand at a rapid rate. Extrusion-based plastic packaging products, such as pouches, wraps & films, and bags, are used extensively in consumer and industrial applications in the United States, thanks to their superior performance and durability.

The widespread adoption of organized retail has also significantly contributed to the increased use of plastic packaging in the US. The global packaged food and beverage industry has experienced significant growth in recent years, driven by several macro factors such as urbanization, changing lifestyles, increased economic activity in emerging nations, and expanding e-commerce penetration worldwide. Furthermore, as the global population is projected to reach 9.7 billion by 2050, up from 7.3 billion in 2015, the demand for food is expected to increase, further boosting the demand for plastic packaging products.

Increasing demand for Packed Food & Beverages is Trending in the Market

The demand for packaged food and beverages is on the rise and is expected to continue to grow in the projected period. This trend is fueled by the rapid expansion of the global food and beverage industry, which creates a need for packaging materials. These materials are essential for the packaging of both raw and processed foods, including bulk items such as grains and cereals.

The market for packaging materials is expected to benefit from the increasing consumption of canned seafood, frozen meat products, and ready-to-eat meals. Additionally, the high consumption of both alcoholic and non-alcoholic beverages is expected to play a significant role in the market's expansion. Alcoholic beverages such as beer, whiskey, and wine are commonly packaged in glass, metal, and stiff plastic bottles, while non-alcoholic beverages like juices, energy drinks, and soft drinks are packaged in glass and hard plastic bottles.

The growth of the food and beverage market, coupled with a stable growth rate in the coming years, is expected to be the primary driver of the packaging material market's expansion over the forecast period. As demand for packaged food and beverages continues to increase, the need for innovative, sustainable, and cost-effective packaging materials will also rise. The market for packaging materials is likely to witness significant advancements in material science, technology, and sustainability in the coming years to meet the growing demand and address the environmental concerns associated with packaging waste.

Recent Developments

In February 2022: The Union Environment Minister of India announced the ban on single-use plastic so as to minimize plastic waste.  Thus, sustainable packaging is the major trend influencing the future of the packaging industry.

In December 2021: Mondi Group a multinational packaging and paper company won 9 WorldStar Packaging awards for introducing paper packaging for soaps, fruits, beverages, and others to optimize the shelf life of the product.

Segmentation Analysis

By raw material, the packaging materials market is categorized into various categories based on the raw materials used, including plastic, paper and paperboard, metal, glass, textile, and others. Plastic is the most widely used packaging material, thanks to its durability and ability to withstand high temperatures. It is particularly popular in the food industry, as it is one of the main raw materials used for food packaging. Plastic packaging is typically made from synthetic polymers like polypropylene and polyethylene, which are produced from natural resources.

However, the packaging industry is currently facing a number of challenges, including rising costs for raw materials. This is largely due to government regulations and resource conservation efforts that are restricting access to certain materials. As a result, the market is struggling to expand, and many businesses are forced to rely on conventional packaging solutions rather than exploring new and innovative options.

The rising cost of raw materials is also impacting technological innovation in the packaging industry. Many new packaging technologies are becoming too expensive to implement due to the high cost of raw materials. This is a major barrier to progress in the field, and it has negative effects on both the economy and the environment.

By packaging technology, it is classified into injection molding & thermoformed, extrusion, and blow molding, with "others" comprising the remainder. In 2021, the injection molding & thermoformed segment accounted for the majority of the market share, followed by extrusion, which generated the most significant revenue share. Extrusion technology is used to produce flexible packaging products such as bags, pouches, and films, resulting in widespread use. In the coming years, the increased demand for flexible packaging due to its sustainability and cost-effectiveness is expected to increase the demand for extrusion technology.

Thermoformed packaging is used to improve the shelf life of various food and beverage items, including dairy products, bread, and meat, by serving as an excellent barrier to air contaminants, oxygen, and chemicals. Thermoform packaging also enhances the visual appeal of packaged food and is cost-effective, resulting in an increase in its use in food and beverage applications. Injection molding technology, on the other hand, is primarily used to produce rigid or robust packaging materials such as crates, industrial containers, closures, and caps.

By end users, the packaging materials market is segmented into food & beverages, healthcare, cosmetics, household products, chemicals, and others. The food & beverages segment is expected to witness significant growth during the forecast period. The expanding food processing and packaging industries, driven by changing consumer lifestyles and dietary preferences, are expected to drive demand for plastic packaging. The increasing consumption of alcoholic and non-alcoholic beverages, particularly among the youth, is also projected to fuel the expansion of the packaging industry.

Due to its convenience, single-serve consumer packaging has seen a tremendous increase over the last few years. The demand for packaged drinking water has accelerated globally, which is projected to leave a positive impact on market growth. This demand has been driven by growing consumer attention to health and well-being, increased knowledge of waterborne diseases, and rising spending capacities.

Asia Pacific is Dominating the Market Share Due to Expansion in the Application Sector

During the projection period, the Asia Pacific is projected to continue dominating the global packaging materials market, with rapidly expanding application sectors in developing economies like India, China, South Korea, Vietnam, and Thailand driving regional demand. China led the Asia-Pacific market in both production and demand. The country's large population has contributed to the growth of industries such as food and beverage, personal care, automotive, construction, and consumer electronics, making it a key growth engine for the business. As a result, the demand for packaging technology in China is expected to remain strong, driven by the growing population and expanding industries.

North America is the Fastest Growing Market Owing to Changing Consumer Preference Towards Packed Food

North America is the second-largest packaging materials market, with increasing demand for packaging materials in the United States due to changes in consumer consumption patterns and a growing urban population. The region is experiencing a rise in consumer preference for processed and prepared foods, leading to an increased demand for packaging materials. Furthermore, the North American region is actively involved in both internal and international trade, which is expected to boost the growth of the packaging materials market. The expansion of the North American market for packaging materials will also be supported by the growing U.S. exports to other countries.

Competitive Landscape

• Amcor plc
• Mondi
• WINPAK LTD
• Constantia Flexibles
• BALL CORPORATION
• Alpha Packaging
• Sonoco Products Company
• WESTROCK COMPANY
• Sealed Air
• CCL Industries

The global packaging materials market is segmented as follows:

By Raw Material

• Plastic
• Metal
• Glass
• Textile
• Others

By Technology

• Injection Molding & Thermoformed
• Extrusion
• Blow Molding
• Others

By End-user

• Food & Beverages
• Healthcare
• Cosmetics
• Household Products
• Chemicals
• Others

By Region

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Nordic countries
    • Denmark
    • Finland
    • Iceland
    • Sweden
    • Norway
  • Benelux Reunion
    • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • New Zealand
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America