Sustainable Packaging Market by Material Type, Packaging Type, End-User, and Region: Global Trends, Opportunity Analysis, and Industry Forecast, 2024-2030

The Global Sustainable Packaging market size reached USD 296.61 Bn in 2023 and is expected to reach USD 428.62 Bn by 2030, growing at a CAGR of 5.4 % during the forecast period.

The world is currently getting more focused on eco-sustainable packaging and more than 50% of the world’s population lives in urban areas they are more likely to have higher production rates of waste, which drives opportunities for sustainable packaging during the forecast period. The Packaging companies are leaning towards sustainable packaging solutions, thanks to a longstanding experience in recycling and a flourishing technology sector. The term sustainable packaging market has gained a lot of momentum because both the government authorities globally and end-users are more aware of maintaining the green harmony of the planet.

The leading Sustainable Packaging market players adopted mergers and acquisitions as the key strategies because of the intense competition in the market. Some of the top key players in the market are Amcor Ltd. (Switzerland), Sealed Air Corp. (USA), Mondi Group (UK), Tetra Laval International (Switzerland), and WestRock Company (USA). They are adopting various other strategies to strengthen their footprint in the market.

For instance, in November 2022, Amcor announced an investment of USD 3 million in PulPac, a Swedish company providing disruptive manufacturing technology for low-cost, high-performance fiber-based packaging. Sustainable Packaging usage continues to rise in the Asia Pacific region, with China, India, and Indonesia at the forefront of sustainability efforts. The U.S. is one of the countries that has shown an increased focus on transitioning to sustainable packaging and they have the highest willingness to pay more for sustainable products.To know about the Research Methodology :- Request Free Sample Report
Sustainable Packaging Market Dynamics:
Strong demand for sustainable packaging solutions in South Korea to drive the sustainable packaging market

There is strong demand for sustainable packaging solutions in South Korea. The sharp growth of the e-commerce market, rocketed popularity of HMR products, and the increase in single-person households among others are some of the reasons for the steady rise in packaging waste. South Korea generates a half million tons of waste every day and seven times more municipal solid waste than Finland. More than 50% of municipal solid waste is packaging waste which accounts for 46% of the total plastic waste.

The whole of Korean society awakened toward the environmental impact caused by packaging waste and they have adopted sustainable packaging solutions. The Korean government amended its recycling law, which brought a significant impact, especially for the food and beverage companies requiring that materials of packaging should be graded and evaluated according to their recyclability.

The regulations and goals of the government, and the global trend of ESG, companies across several industries led by F&B and e-commerce sectors are largely investing in the development of sustainable packaging solutions in Korea Responding to increased consumer concerns over the environmental impact of packaging waste. Thus, the Sustainable Packaging Market in the South Korean region is expected to rise during the forecast period.

Huge investments in the food processing, personal care, and pharmaceutical sectors are creating opportunities for the growth of the sustainable packaging market.

Sustainable packaging is gaining traction in food processing, personal care, and pharmaceutical sectors because of the increasing focus on sustainability and the environment. Companies are investing in research and development to create innovative packaging solutions that are both sustainable and aesthetically pleasing. Sustainable packaging is essential to ensure the safety and efficacy of drugs. Packaging materials that are biodegradable, compostable, and recyclable are being increasingly used to reduce the environmental impact of pharmaceutical packaging waste. Goods (FMCG) companies and retailers are proactively making strong commitments to improve the sustainability of their packaging and to fundamentally rethink their packaging systems.

Tetra Pak is a multinational food packaging and processing company that specializes in producing sustainable carton packaging for food and beverages. The company is known for its signature tetrahedron-shaped cartons, which are made from renewable materials such as paperboard and are fully recyclable. Tetra Pak has invested heavily in sustainable packaging solutions, with a goal to use 100% renewable materials in all of its products by 2030. The company's sustainable packaging solutions not only meet consumer demands for eco-friendly packaging options but also help to reduce waste and extend the shelf life of food products.

Increase in concern regarding packaging waste in oceans and landfills to drive sustainable packaging market.

There is a growing concern worldwide about the environmental impact of packaging waste on oceans and landfills. Plastic waste in particular has become a major issue, with millions of tons of plastic entering the oceans every year, endangering marine life and ecosystems. According to MMR Analysis, global plastic waste generation is expected to reach 1.124 billion metric tons by 2050. In landfills, plastic waste takes hundreds of years to decompose, causing environmental pollution and health hazards. As a result, there is a growing demand for sustainable packaging solutions that can help reduce packaging waste and its environmental impact. This trend is driving the growth of the sustainable packaging market, which includes materials and technologies that are eco-friendly, recyclable, and biodegradable.

Sustainable packaging solutions such as bioplastics, compostable materials, and reusable packaging are gaining popularity among consumers and businesses. Many companies are also adopting sustainable packaging practices as part of their corporate social responsibility (CSR) initiatives, as well as to comply with regulatory requirements. Thus, the increasing concern regarding packaging waste in oceans and landfills is driving the growth of the sustainable packaging market.

Sustainable Packaging Market Trend:

High rate adoption of Eco-Friendly Packaging in Personal care Products

The high rate of adoption of eco-friendly packaging in personal care products is a positive trend that benefits both the environment and consumers. Personal care brands are also taking proactive steps to adopt eco-friendly packaging to meet consumer demand and improve their sustainability practices. They are using materials such as biodegradable plastics, bamboo, and recycled paper to package their products.

In addition to the environmental benefits, eco-friendly packaging can also enhance a brand's reputation and appeal to consumers who value sustainability. By adopting eco-friendly packaging, personal care brands can differentiate themselves from competitors and build stronger relationships with environmentally conscious consumers. Many Personal care companies have adopted Eco-Freiendly Packaging for their products. Lush is a personal care brand that is known for its eco-friendly packaging. They use recycled and biodegradable materials such as paper, cardboard, and plant-based plastics to package their products. For example, their shampoo bars come in a cardboard box that is fully recyclable.

Limited availability of material for Sustainable Packaging is expected to hamper the market growth.

One of the key challenges facing the sustainable packaging market is the limited availability of materials. Sustainable packaging often requires materials that are biodegradable, compostable, or made from renewable resources, and there may be limited supplies of these materials available. For example, some sustainable packaging materials such as bioplastics are made from plant-based sources such as corn or sugarcane. The availability of these materials may be limited by factors such as weather conditions, land availability, and competition with food crops.

Additionally, sustainable packaging materials may be more expensive than traditional packaging materials, which can be a deterrent for some companies. The higher costs of sustainable materials may be due to the limited availability of these materials as well as the costs associated with developing and producing these materials.
Sustainable Packaging Market Segment Analysis:
Based on the Material Type, the paper and paperboard segment held the largest revenue share of 21.2 % in 2023. The high demand for sustainable paper and paperboard materials for the import and export of packaging products is a positive trend that reflects a growing awareness of the need for sustainable packaging solutions. It is a step towards a more sustainable future and is expected to grow in the coming years. Amazon company has committed to using sustainable packaging materials paper and paperboard for its shipments. The company has introduced a range of sustainable packaging initiatives, including using corrugated boxes with a high percentage of recycled content and introducing paper-based cushioning materials to replace plastic materials.

Based on the Packaging Type, the rigid packaging segment accounted for a Significant market share of around 18.2% in 2023 and is expected to maintain the same during the forecast period. Many companies are using sustainable materials to produce rigid packaging products.

Coca-Cola has committed to making all of its packaging 100% recyclable by 2025 and has implemented a variety of sustainable packaging initiatives, including the use of plant-based plastics and recycled content. The company has introduced a sustainable plastic bottle made from 100% recycled PET plastic for its Dasani water brand. This is expected to boost the growth of the Sustainable Packaging market for rigid packaging applications.

Based on the End User, the food and beverage segment accounted for a Significant market share of around 56.3% in 2023 and is expected to grow during the forecast period. Many companies are using recycled plastics in their packaging, either by incorporating recycled content into their existing packaging or by creating new packaging solutions made entirely from recycled materials. Reusable packaging is also becoming more popular in the food and beverage segment. Some companies are exploring reusable packaging solutions, such as refillable containers or packaging that can be returned to the manufacturer for reuse.

The PepsiCo company has introduced a range of sustainable packaging initiatives, including the use of plant-based plastics and the elimination of single-use plastics. PepsiCo has also developed a range of compostable packaging solutions for its products, including its SunChips brand snacks, which are packaged in a compostable bag made from plant-based materials. The company has also introduced a paper-based bottle for its Tropicana brand orange juice, which is made from 100% recycled fiber and is fully recyclable.
Sustainable Packaging Market Regional Insights
Europe is expected to emerge as the major contributor in terms of revenue in the Sustainable Packaging market during the forecast period. The European sustainable packaging market is a rapidly growing sector, driven by increasing consumer demand for environmentally friendly packaging solutions, as well as government regulations aimed at reducing waste and promoting sustainability. One of the key sustainable packaging materials in Europe is paper and cardboard, with many companies using recycled materials in their packaging to reduce their environmental impact. There is also a growing demand for biodegradable and compostable plastics, which are made from plant-based materials and break down more easily in the environment.

Smurfit Kappa is a leading producer of paper-based packaging solutions, with a strong presence in Europe. The company offers a range of sustainable packaging options, including recycled paperboard and biodegradable packaging materials.

North America is the second-largest growing region across the globe in the Sustainable Packaging market. The region has a mature packaging industry, and there is a growing awareness of the need for more sustainable packaging solutions. In North America, the demand for sustainable packaging is being driven by government regulations, consumer preferences, and corporate sustainability initiatives. Many leading companies are setting ambitious sustainability goals and are looking to implement sustainable packaging solutions as part of their overall sustainability strategy.

One of the key sustainable packaging materials in North America is recycled paper and cardboard. The region has a well-established paper and cardboard recycling infrastructure, and many companies are using recycled materials in their packaging to reduce their environmental impact.

In terms of end-users, the food and beverage segment is a significant part of the North American sustainable packaging market. This segment includes products such as fresh produce, packaged foods, and beverages, and there is a growing demand for sustainable packaging solutions in this area. Amcor is a global packaging company with a strong presence in North America. The company offers a wide range of sustainable packaging solutions, including recyclable and compostable materials as well as lightweight packaging options to reduce carbon emissions.
Sustainable Packaging Market Research Methodology:
Sustainable Packaging Market offers a comprehensive overview of the current market situation and provides a forecast until 2030. This report provides qualitative and quantitative information that highlights important market developments, trends, challenges, competition, and new opportunities within the Sustainable Packaging Market. This report aims to provide a comprehensive presentation of the global market for Sustainable Packaging, with both quantitative and qualitative analysis to help readers develop business/growth strategies, assess the market competitive situation, and analyze their position in the current marketplace. The report also discusses technological trends and new product developments.

The report includes Porter’s Five Forces analysis which explains the five forces: namely buyers' bargaining power, supplier's bargaining power, the threat of new entrants, and the degree of competition in the Sustainable Packaging Market. The report also focuses on the competitive landscape of the Market. The analysis will help the Sustainable Packaging market players to understand the present situation of the market.
Sustainable Packaging Market Scope: Inquire before buying



Sustainable Packaging Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 296.61 Bn.


Forecast Period 2024 to 2030 CAGR:
5.4 %
Market Size in 2030:
US $ 428.62 Bn.


 Segments Covered:
by Material Type
Paper and Paperboard
Plastics
Biodegradable
Bio-based
Aluminum
Others


by Packaging Type
Rigid Packaging
Flexible Packaging


by End User
Pharmaceutical and Healthcare
Cosmetics and Personal Care
Food and Beverage
Other End Users



Sustainable Packaging Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria, Turkey, Russia and Rest of Europe)
Asia Pacific (China, India, Japan, South Korea, Australia, ASEAN and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina, Columbia and Rest of South America)
Sustainable Packaging Market, Key Players are
1. Sonoco Products Company
2. Amcor pie
3. Gerresheimer AG
4. Smurfit Kappa
5. Ball Corporation
6. BASF SE
7. Ardagh Group S.A.
8. Crown Holding,Inc.
9. WestRock Company
10. DS Smith
11. Mondi
12. International Paper
13. Berry Global
14. Printpack
15. Sealed Air
16. Stora Enso Oyj
17. Georgia-Pacific
18. Huhtamaki
19. Genpak,LLC
20. Tetra Pak InternationalS.A.
21. Billerud
22. Albea S.A.
23. HCP Packaging

FAQs:

1. Who are the key players in the Sustainable Packaging market?
Ans. Amcor plc, Ardagh Group S.A., Ball Corporation, and BASF SE are the major companies operating in the Sustainable Packaging market.

2. Which Packaging Type segment dominates the Sustainable Packaging market?
Ans. The Rigid Packaging segment accounted for the largest share of the global Sustainable Packaging market in 2023.

3. How big is the Sustainable Packaging market?
Ans. The Global Sustainable Packaging market size reached USD 296.61 Bn in 2023 and is expected to reach USD 428.62 Bn by 2030, growing at a CAGR of 5.4 % during the forecast period.

4. What are the key regions in the global Sustainable Packaging market?
Ans. Based On the region, the Sustainable Packaging Market has been classified into North America, Europe, Asia Pacific, the Middle, East and Africa, and Latin America. North America dominates the global Sustainable Packaging market.

5. What is the study period of this market?
Ans. The Global Sustainable Packaging Market is studied from 2018 to 2030.