Global Sustainable Plastic Packaging Market Overview:
The global sustainable plastic packaging market is estimated to reach USD 209.89 billion by 2030, growing at a CAGR of 7.43% during the forecast period, 2022-2030, and it is was valued at USD 110.02 billion in 2022.
The Sustainable Plastic Packaging is helping address sustainability concerns across industries and reduce environmental impact. To describe a product or material as sustainable, it must be environmentally, economically, and socially sustainable. Plastics are durable and lightweight and thus save weight in cars, aircraft, packaging, and pipework. Plastics provide unparalleled benefits as a packaging material because it is lightweight, resource-efficient, and offer excellent barrier properties. These properties of plastic packaging items significantly reduce waste and save energy.
Global Sustainable Plastic Packaging Market Insights
The major factors are the surge in consumption of packaged food & beverages, stringent regulation, and innovation in sustainable materials. Further, the rise in environmental consciousness among consumers is strengthening the market growth. Additionally, the advent of bioplastic, environmental concerns on sustainable development, and stringent rules and policies by regulatory authorities will impact the growth of the sustainable plastic packaging industry in the upcoming periods. Also, the increasing use of renewably sourced materials, the rising use of recycled content, and improvements in packaging and logistical efficiency are expected to witness remarkable growth in the market.
Moreover, the surge in consumer awareness regarding luxury goods and bioplastic use in various sectors, such as FMCG, personal body care, and pharmaceuticals, is driving market growth during the forecast period. In January 2017, thousands of international leaders attended the World Economic Forum (WEF) annual meeting to formulate strategic plans for more than a dozen global initiatives. During this meeting, more than 40 packaging industry leaders signed a new global action plan, making detailed recommendations on the production, use, and post-use disposal of plastic products. Furthermore, the growing government campaigns for educating consumers about the benefits of eco-friendly products and the harmful effects of toxic packaging materials will spur the global sustainable plastic packaging market share in the projected periods. The surge in consumer demand for the use of green packaging for organic food is expected to propel the demand for sustainable plastic packaging over the coming years. Additionally, the growing use of bioplastics is promoted by major regulatory bodies worldwide, for reducing carbon footprint substantially will trigger the growth of the market in the future timeframe.
Growth Driver
Government initiatives toward sustainable packaging
Governments worldwide have reacted to public concerns regarding packaging waste, especially single-use packaging waste, and are implementing regulations to minimize environmental waste and improve waste management processes. The most developed countries and regions are taking important steps to introduce regulations to drive sustainability. Others are still operating as per the status quo, with limited or no regulations in place. A new EU Directive announced in May 2019 for Single-Use Plastics aims to reduce leakage of the ten single-use plastic products most often seen on European beaches.
Shifting of consumer preference toward recyclable and eco-friendly materials
FMCG brands are increasingly aware of packaging’s environmentally friendly nature as one of the key selling points of consumer-packaged goods. Increasing awareness about environmental problems among consumers and industries is especially increasing the growth of the sustainable packaging market. Growing public attention about environmental concerns has resulted in higher demand for sustainable packaging and processing operations. Sustainability initiatives have advanced considerably, leading manufacturers to reduce the source material by downgrading, creating thinner and lighter packaging, and reducing waste.
Packaging Type Segmental Analysis
Based on the packaging type, the global sustainable plastic packaging market is classified into rigid plastic packaging, flexible plastic packaging, and industrial plastic packaging. The rigid plastic packaging is expected to be the largest market for sustainable plastic packaging during the forecast period. The segment’s growth is largely attributed to the growing usage of rigid plastic packaging in industrial applications for packing, storage, and transportation of chemicals and gaseous.
Flexible plastic packaging will witness a momentous growth rate in the estimated period due to swelling demand for flexible packing solutions in food and beverage, personal care, and household care applications.
Packaging Format Segmental Analysis
Based on the packaging format, the global sustainable plastic packaging market is segregated into primary, secondary, and tertiary. The secondary segment is expected to witness steady growth over the forecast period. It is due to the secondary packaging improving the appeal and handling convenience features of the product. Additionally, secondary packing is used as display packaging in retail locations such as grocery stores.
The primary packaging will be the fastest-growing segment in the forecast period. It is owing to primary packaging related to the real product, and it protects the product and informs or attracts a customer.
Process Segmental Analysis
Based on the process, the global sustainable plastic packaging market is segregated into recyclable, reusable, and biodegradable. The biodegradable segment is estimated to lead the market by 2030 because it decomposes naturally in the environment, is less harmful to the environment than traditional plastics, and is composed of bioplastics manufactured from renewable raw materials.
The recyclable will grow at a significant rate during the forecast period on account of the growing demand for it from the food and beverage sector.
End-User Industry Segmental Analysis
Based on the end-user industry, the global sustainable plastic packaging market is segmented into food & beverages, personal care, healthcare, and others. The food & beverage segment maintained a significant market share in 2021 and will witness to gain maximum market revenue by 2030. It is attributable to sustainable plastic to reduce food loss and increase the shelf-life of food products. Additionally, expectations of food quality, hygiene, and growing health awareness are driving the growth of sustainable plastic packaging in the food industry.
The personal care segment is poised to notice significant growth over the forecast period due to the increase in demand for personal care products in young populations across the world, coupled with the rise in disposable incomes.
Region Segmental Analysis
Based on geography, the global sustainable plastic packaging market is segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. The Asia Pacific witnessed tremendous growth in 2021. Due to growing developmental activities, rapid economic expansion, and rising population in the region, it presents a vast customer base for FMCG products and consumer durables and increasing awareness among the masses about the importance of eco-friendly, renewable packaging.
Europe will capture a prominent share of the sustainable plastic packaging market by 2030. The European Union undertakes favorable government initiatives in promoting the use of sustainable plastic packaging and the presence of health and environmentally-conscious consumers.
Competitor Analysis
Companies such as Amcor PLC, Sonoco Products Company, Sealed Air Corporation, Huhtamaki OYJ, Berry Global Inc., Smurfit Kappa, Mondi Plc, Uflex Ltd, Constantia Flexibles, Genpak Llc, Plastic Suppliers Inc., Natureworks Llc, Phoenix Technologies International LLC, Novamont S.P.A, Innovia Films, Essel Propack, and Gerresheimer Ag are the prominent players in the global sustainable plastic packaging market.
Key Stakeholders
- Market research and consulting firms
- Industry associations
- Global sustainable plastic packaging manufacturing firm
- Research organizations and consulting companies
- Organizations, associations, and alliances related to sustainable plastic packaging
- Regulatory bodies
- Suppliers
- Retailers
Recent Developments
- In April 2022, Sealed Air declared a partnership on an advanced recycling initiative that will concentrate on recycling flexible plastics from the food supply chain and converting them into new certified circular food-grade packaging.
The objective of the Research
- Market modeling starts with identifying a target market where historical data exists. A Market can include prediction problems, economic factors, analyzing customer behavior, and identifying new patterns from past events, which helps our client to have deep dive into the market.
- Product analysis involves steps such as examining product features, costs, availability, quality, and other aspects. Product analysis is conducted to understand potential buyers and measure competition in the market.
- Market Trend and Economic Factors Analysis helps in assessing potential changes to an economy’s inflation rate, taxes, interest rates, exchange rates, trading regulations, and excise duties that can or have a major effect on the target market.
- Market Segmental Analysis defines in-depth scenario of the target market by the process of grouping consumers into naturally existing created segments of consumers who share similar product preferences or characteristics
- The geographical mapping approach helps our clients to understand national or international markets because different consumers in different regions have different needs wants, and cultural characteristics that can be specifically targeted.
Market Modelling
By Packaging Type
- Rigid Plastic Packaging
- Flexible Plastic Packaging
- Industrial Plastic Packaging
By Packaging Format
- Primary
- Secondary
- Tertiary
By Process
- Recyclable
- Reusable
- Biodegradable
By End-User Industry
- Food & Beverages
- Personal Care
- Healthcare
- Others
By Region
- North America
- Europe
- Asia Pacific
- South America
- Middle East & Africa
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