Green Packaging Market Research Report - Global Forecast to 2030

Green Packaging Market, By Packaging type (Recycled Content Packaging, Degradable Packaging) By Application (Food & Beverage, Health Care, Personal Care and Other) - Forecast 2030

ID: MRFR/PNT/2209-HCR | February 2021 | Region: Global | 185 pages         

Green Packaging Market

The global green packaging market size was valued at USD 274.15 billion in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 6.1% from 2021 to 2028.

Segmentation

By Packaging Type Recycled Content Packaging Degradable Packaging
By Application Food & Beverage Health Care Personal Care and Other

Key Players

  • Bemis Company
  • Huhtamaki OYJ (Finland)
  • Amcor Limited (Australia)
  • Sealed Air Corporation (US)
  • Tetra Laval International S.A. (Switzerland)
  • Sonoco Products Company (U.S.)
  • WestRock Company (US)
  • Smurfit Kappa Group PLC (U.S.)
  • Mondi Plc. (South Africa) and BASF SE (Germany)

Drivers

  • Rising urbanization
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Green Packaging Market overview:


 


Green packaging is also known as sustainable packaging that significantly reduces landfills or affects environmental stability minimally. The packaging industry has been utilized by various major end-users such as food and beverages, consumer electronics and fast-moving consumer products, and so on. The emergence of e-commerce had further increased the packaging necessities. Moreover, the rising economic condition across the globe and the convenience of ordering food and beverages online is increasingly impacting the green packaging industry. 



Food and beverages, medical supplies, personal care items are some of the major users of packaging. Therefore the government of developed countries has imposed stringent regulations upon these industries. Moreover, with the help of digital marketing and social media, the value of the products that utilize sustainable packaging is rapidly increasing among the consumers which impact the overall growth of the green packaging industry.


 


COVID 19 Analysis:


 


The COVID 19 pandemic has significantly affected several industrial processes and manufacturing units. Most importantly, the food and beverage industry is witnessing significant growth in the green packaging industry owing to the increasing demand throughout the pandemic. The convenience and the increasing purchasing power of the consumers have increased the utilization of packaged foods and beverages. Such factors have impacted the overall growth of the green packaging industry in the food and beverage segment.


On the other hand, the significant rise in medical utilities and pharmaceutical products due to the increasing number of emergencies across the globe has increased the overall growth of the green packaging industry in the pharmaceutical industry as well.


 


Market dynamics:


 


Market drivers:


 


The increasing awareness among the consumers with the help of digital marketing medium, combined with the stringent regulations imposed on the single usage plastics are propelling the overall growth of the green packaging industry.


 


Owing to the regulations of the country and responsible consumers who add value to the green packaging and prefer the products that come with sustainable packaging are augmenting the overall growth of the green packaging industry. The food industries are adopting degradable packaging like lids, cups made out of thick paper, paper straws, and so on. Such factors are fuelling the overall growth of the green packaging industry in recent years.


 


Market opportunities:


 


Several developed countries such as North America are imposing stringent regulations regarding green packaging and are creating awareness regarding the environmental impact due to the waste generated by the packaging. 


 


The reports from the significant organizations are creating awareness among the public and manufacturers. For instance, the Environmental protection Agency has reported that the world generates about 80 million metric tons of packaging waste year over year and that significantly affects overall global health. A report in the U.S has stated that the country generates about 4% of the solid waste generated that is generated globally, whereas the country’s population is only about 2% of the world’s population. Such reports have propelled the government organizations to introduce 2 more regulations that ensure efficient management of packaging.


 


Market restraints:


 


The changing governmental policies and the attitude of consumers affect the overall growth of the green packaging industry.


 


The strength of the packaging material reduces as they are recycled and hence might affect the quality of the product inside it. For instance, it might get mixed with the food or drug that it encloses and thereby affect the product value.


 


Market challenges:


 


Producing materials that can be recycled infinitely while offering quality and aesthetical values is considered the major challenge of the green packaging industry. Moreover, the brand value is not a priority for the consumers, the quality and the costs are the major concerns for the consumers, at least for the ones in the developing countries.


 


The process of recycling is tedious and costlier than virgin packaging materials. Therefore the manufactures had to spend extra on the packaging that might increase the selling price of the product. Such a factor is considered the major challenge for the green packaging industry.


 


Cumulative growth analysis:


 


The market value of the green packaging industry was at USD 289.83 billion in the year 2020 and it is expected to surpass the market value of over USD 441.41 billion by the year 2028 while registering a CAGR of 6.1% during the forecast period. The growth estimate by the experts is primarily due to the factors such as increasing demand in the health care sectors. Also, the stringent regulations imposed on the health care industries to adopt the green packaging to ensure the safety of the consumers, while them being suitable for the drugs that are being packed. The manufacturers of green packaging are bringing in novel solutions for the healthcare segments such as molded pulp packaging products that are efficient than the reusable utensils that are prone to carry or pass the infection. The increasing number of emergencies and chronic illnesses across the globe are propelling the demand for eco-friendly and sustainable use and throw packaging for medical products. 


 


On the other hand, the manufacturers of personal care products are also adopting green packaging as they significantly reduce the usage of materials wastage. The increasing demand for these personal care products with the increasing population is generating a huge material and packaging wastage that affects environmental stability. Such factors are promoting the overall growth of green packaging in the personal care products sectors.


 


Value chain analysis:


 


Among the other packaging materials, plastics are considered to be the most widely used packaging material and require recycling for efficient usage, considering the costs of the overall product. The paper segment which is considered as the readily available and affordable packaging material is also utilized in the green packaging industry. Paper packaging is highly preferred by a large population and key ends user industries such as food industries due to the potential benefits such as flexibility, waterproofing, and lesser environmental impact.


 


On the other hand, the leading brands are promoting the growth of the green packaging industry. For instance, H&M which is an established clothing brand has announced their plan for aiming to about 100% of the circulation of the packaging materials and utilizing only organic chemicals for the labeling and printing. Hindustan Unilever which is an American brand has also announced its decision to use 100% recyclable packaging materials. Such initiatives are considered as the major market driver of green packaging market growth. Moreover, the Fast-moving consumer goods industries are implementing lightweight packaging materials to reduce the raw materials and thereby reduce transportation costs. Additionally, consumer preferences are changing and promoting the growth of the green packaging industry.


 


Segment overview:


 


Based on application:


 



  • Food & Beverages

  • Personal Care

  • Healthcare

  • Others


 


Based on packaging type:


 



  • Recycled Content Packaging


 



  • Paper

  • Plastic

  • Metal

  • Glass

  • Others


 



  • Reusable Packaging


 



  • Drum

  • Plastic Container

  • Others

  • Degradable Packaging


 


Regional analysis:


 


Europe is currently dominating the green packaging market share with 36.7% in the year 2020 and due to the increasing number of stringent regulations imposed by the European government; the overall growth of the green packaging industry is rapidly increasing. The European country has been striving to reduce the energy spent in the industrial sectors and has been working on various factors to conserve and optimize energy generation. They have adopted renewable energy resources for the industrial processes and are significantly working towards building a country with green products and services. Therefore European countries are dominating the green packaging market share as they have already introduced roadmaps that are recyclable and degradable. 


 


On the other hand, Asia-pacific is expected to follow the European countries in the green packaging market growth, owing to the increasing number of regulations and initiatives from the government organizations across the region. The world’s leading manufacturing country has been changing its packaging norms and methods in recent times and increasingly utilizing eco-friendly materials. Such factors have increased the consumer base for those products and the values of those products are increased. Such factors are promoting the overall growth of the green packaging industry across the Asia-pacific region.


 


Competitive landscape:


 



  • Amcor

  • Be Green Packaging

  • DS Smith

  • DuPont

  • Evergreen Packaging

  • Mondi

  • Nampak

  • Ball Corp.

  • Sealed Air

  • Tetra Laval


 


Recent developments:


 


In the year 2020, one of the leading food manufacturers, Nestle has announced their investment of about USD 2.1 billion in the packaging industry to convert them into food-grade recycled plastics. Also, the company has introduced a sustainable packaging fund scheme that encourages start-ups across the globe to invest in.


 


In the year 2019, one of the leading beverage industries, Coco-cola has joined hands with the world without waste organization in collecting, sorting, and reusing the packaging wastes thrown into the environment. The company has also paved way for the future goals by facilitating a roadmap for the western European country and ensuring the packages are collected and recycled.

In March 2018, the Government of China decided to switch to a green packaging system as a means of all kinds of packaging. This step was taken to ensure there is less degradation and less harmful effects on the environment due to none sustainable packaging.
A significant merger took place in March 2018 between Life and Aldi, where the common goal was to reduce pollution being caused by sustainable job packaging. Aldo pledged that there would be no waste at all from its manufacturing unit, and Life pledged to reduce the waste to almost 50% by the end of 2025.

Major companies in the green packaging industry Value have been working on reducing the waste products during the manufacture.
Companies have been collaborating and joining hands in this cause of saving the environment and making sure that the products they manufacture do not harm the environment at any cost.

Advancements in technologies are being made to recycle waste. This rules out two benefits. One is that the waste is taken care of and does not cause any pollution. Secondly, the water gets transformed into something useful.


 


Report overview:


 


This report has covered:



  • Market overview

  • COVID 19 Analysis

  • Market dynamics

  • Cumulative growth analysis

  • Value chain analysis

  • Segment overview

  • Regional analysis

  • Competitive landscape

  • Recent developments


 


Segmentation Table:


 


Based on application:


 



  • Food & Beverages

  • Personal Care

  • Healthcare

  • Others


 


Based on packaging type:


 



  • Recycled Content Packaging


 



  • Paper

  • Plastic

  • Metal

  • Glass

  • Others


 



  • Reusable Packaging


 



  • Drum

  • Plastic Container

  • Others

  • Degradable Packaging



Report Scope:
Report Attribute/Metric Details
  Market Size   2030: USD 503.72 billion
  CAGR   9.31% CAGR (2022-2030)
  Base Year   2021
  Forecast Period   2022-2030
  Historical Data   2019 & 2020
  Forecast Units   Value (USD Billion)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Packaging Type, and Application
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   Bemis Company, Inc. (US), Huhtamaki OYJ (Finland), Amcor Limited (Australia), Sealed Air Corporation (US), Tetra Laval International S.A. (Switzerland), Sonoco Products Company (U.S.), WestRock Company (US), Smurfit Kappa Group PLC (U.S.), Mondi Plc. (South Africa) and BASF SE (Germany)
  Key Market Opportunities   New product launches and R&D amongst major key players
  Key Market Drivers

  • Governments in different regions have been making strict laws to make the manufacturers sustainable options for packaging
  • Increased preferences of the people to go with sustainable materials
  • Rising urbanization


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    Frequently Asked Questions (FAQ) :

    The market value of the green packaging industry was at USD 289.83 billion in the year 2020 and it is expected to surpass the market value of over USD 441.41 billion by the year 2028 while registering a CAGR of 6.1% during the forecast period.

    Smurfit Kappa Group PLC (U.S.), Sonoco Products Company (U.S.), Huhtamaki OYJ (Finland), and Sealed Air Corporation (U.S.) are some reputed names in the green packaging market.

    • Reusable packaging • Degradable packaging • Recycled content packaging

    • Amcor • Be Green Packaging • DS Smith • DuPont • Evergreen Packaging

    • Paper • Plastic • Metal • Glass