Tobacco Packaging refers to tobacco product packaging. Tobacco packaging boxes are generally divided into two types, one is long, and the other is bulk. To facilitate portability, bulk cigarette packs are usually five cigarette packs, seven cigarette packs, ten cigarette packs, 14 cigarette packs, and 20 cigarette packs. The material includes a paper cigarette case, aluminum cigarette case, and tinplate cigarette case. The replacement of packaging has been dazzling. In terms of paper cigarette case packaging, from soft packs to ordinary white card hard packs, to glass cards, to the popular aluminum foil gold and silver cardboard in recent years, to the introduction of high-grade matte technology using PET composite cardboard.
The global tobacco packaging market size was valued at USD 15.42 billion in 2019 and likely to reach USD 19.28 billion by 2027, growing at a CAGR of 2.79% during the forecast period, 2020-2027. The major factors are the rise in per capita income changing lifestyles, increased workload, and stress, especially in urban areas. Additionally, the surge in global cigarette consumption and the introduction of tobacco that are smokeless for dipping or chewing will spur the global tobacco packaging industry’s growth in the analysis periods. The development of flexible and recyclable cigarette packaging is more attractive to consumers by better protecting the tobacco within. These factors anticipated fueling the growth of the tobacco packaging market in the analysis timeframe. Further, the high volume of worldwide cigarette sales and the shifting consumption patterns in the industry will foster the tobacco packaging market’s growth.
Moreover, the growth in population and the technological advancements in the tobacco packaging industry are projected to drive the expansion of market growth. The equality laws for men and women led to a high number of female smokers, and these factors will complement the growth of the global tobacco packaging market share in the coming years. The cigarettes have become a massive attraction amongst the youth population, which has resulted in an upsurge in the consumption of cigarettes, thereby these factors will trigger the growth of tobacco packaging industry in the forecast span. The increasing penetration of e-cigarettes in developed countries will stimulate market share. The surge in demand for offset printing and stamping attracts among the young generation is anticipated to enhance the growth of the tobacco packaging market in the estimated periods.
In recent years, tobacco specialty marketing has proliferated, with short cigarettes and bead-filled cigarettes particularly prominent. The women were the leading consumer group, and many male smokers tried to reduce the harm of smoking without quitting. The tobacco industry catered to this demand and launched fine cigarettes. According to WHO, over 80% of the 1.3 billion tobacco users worldwide live in low- and middle-income countries. According to Action on Smoking and Health (ASH), there are 1.1 billion tobacco users worldwide. This number is anticipated to increase to 1.6 billion over the next two decades.
The economic operation of the tobacco industry encountered further ups and downs, and the development of national cigarette brands shifted from volume expansion to quality improvement, from extensive expansion to maintenance innovation. The leading consumer groups of new tobacco products are in the United States, Europe, and India. Still, in some countries, such as Sweden and Yemen, the consumption of new tobacco products has exceeded traditional cigarettes. The latest products besides traditional cigarettes and cigars are mainly divided into smokeless tobacco products, heating and non-burning products, and electronic cigarettes.
Based on the material, the global tobacco packaging market segregated into paper, paper box, plastic, jute, and others. The paper box segment is estimated to witness the highest growth over the analysis timeframe because it is environment-friendly and cost-effective, and the growing issues regarding the non-biodegradable nature of plastic and metal packaging, paper box packaging is highly preferred by manufacturers.
The jute will grow at a significant rate during the forecast period due to the stringent government regulations, the use of plastic is banned in many countries, and the introduction of bio-degradable packing.
Based on the type the global tobacco packaging market categorized into primary, secondary, and bulk. The secondary segment held for a significant market share in 2019 and will witness to gain maximum market revenue by 2027. It is attributable to the surge in cigarette consumption in social gatherings and an increase in demand for innovative cigarette boxes.
The primary segment is poised to witness significant growth over the forecast period. It is due to a surge in demand for safe and secure packaging. The primary packaging is mainly used to completely seal the product and eliminate the probability of product contamination via internal/external interferences.
Based on the end-use, the global tobacco packaging market classified into smoking tobacco, smokeless tobacco, and raw tobacco. Smoking tobacco is expected to be the highest revenue share for tobacco packaging during the forecast period. The segment’s growth is primarily attributed to the considerable growth of smoking tobacco as the packing of smoking product types such as cigarettes, cigars, and bidis requires extra protection against moisture.
Smokeless tobacco will witness a lucrative growth rate in the estimated period, and its use involves sniffing, chewing, or placing the product between the gum and the cheek or lip.
By geography, the global tobacco packaging market segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. The Asia Pacific projected to capture considerable growth over 2020-2027. Due to increased stress in work life, growing demand for cigarettes among women, and the mounting population in the region presents a large customer base for tobacco products.
The Middle East & Africa will capture a prominent share of the tobacco packaging market by 2027. Due to the use of water pipes or shishas and mounting trend of smoking a variety of cigarettes.
Companies such as Amcor Ltd., Innovia Films, WestRock, ITC, Mondi Group, Altria Group, Ardagh Group, British American Tobacco, Reynolds American Corporation, Philip Morris International Inc., Novelis, and Sonoco are the key players in the global tobacco packaging market.