Flexible Industrial Packaging Market size is estimated to reach USD 140.34 Billion by the end of 2036, growing at a CAGR of 4.79% during the forecast period, i.e., 2024-2036. In the year 2023, the industry size of flexible industrial packaging was USD 77.3 Billion. The growth of the market can be attributed to the increasing demand for flexible packaging in several industries. Plastic has become the primary material used for packaging in all industries in recent decades, replacing traditional materials such as paper and cardboard, metal, and glass in many items due to rising demand. Of the whole plastic packaging used globally, flexible plastic packaging accounts for nearly 26% and only 19% is rigid plastic.
In addition to these, factors that are believed to fuel the growth of flexible industrial packaging market include the rapid shift of companies from traditional packaging and flexible packaging. Many fast-moving consumer products companies are reinventing packaging to meet circularity goals while lowering GHG emissions. Currently, the consumer products industry accounts for 45% of global emissions, and the top ten contributors to waste made of plastic among consumers are all in the consumer products industry. Moreover, the cosmetic industry is also opting for flexible packaging to contribute to environmental sustainability. The cosmetic company identified ways to reduce packaging GHG emissions by more than 40% by 2030 by using 20% less packaging material, delivering products with half recycled plastic ingredients, and creating 100% of all packaging ingredients reusable, recyclable, or compostable.
Growth Drivers
Challenges
Base Year |
2023 |
Forecast Year |
2024-2036 |
CAGR |
4.79% |
Base Year Market Size (2023) |
USD 77.3 Billion |
Forecast Year Market Size (2036) |
USD 140.34 Billion |
Regional Scope |
|
Material (Plastic, Aluminum Foil, Paperboard, and Others)
Flexible industrial packaging market size from the plastic segment is estimated to cross USD 91.7 billion in the year 2036 by witnessing growth at a CAGR of 4.42% over the forecast period. The market revenue of the plastic segment in 2023 was USD 53 billion. The growth of the segment can be attributed to the rising use of flexible plastic in all industries. For instance, flexible plastic packaging effectively protects pharmaceutical and medical supplies. It helps to keep sensitive pharmaceuticals and medical equipment safe from light, moisture, and other contaminants. Moreover, the heavy usage of plastic and the growing need to switch from traditional plastic to flexible plastic is boosting the segment’s growth. Global plastics consumption has increased dramatically in recent decades, reaching an estimated 460 million metric tonnes in recent years. Packaging accounted for nearly 31% of this total, making it by far the greatest consumer of plastics.
End User (Chemical, Construction, Food & Beverage, Pharmaceutical)
The food & beverage segment in the flexible industrial packaging market is expected to grow at a CAGR of 5.53% during the forecast time frame and garner market revenue of USD 95.7 billion in the year 2036. The growth of the segment is expected on the back of the rising use of flexible packaging in the food and beverage industry since it has allowed for the expansion of the packaging into new products. Food and beverages account for around two-thirds of all packaging, and these products account for roughly 90% of today's flexible packaging. This demand for flexible packaging is mainly owing to several benefits such as reduced food wastage, resealable, extended shelf life, and cook-and-serve packaging.
Our in-depth analysis of the global flexible industrial packaging market includes the following segments:
Type |
|
Pouch Size |
|
Filling Process |
|
Application |
|
Layer |
|
Material |
|
End User |
|
APAC Market Forecast
The flexible industrial packaging market in Asia Pacific is projected to surpass USD 68 billion by the end of 2036 by growing at a CAGR of 5.7% during the forecast period. Moreover, the revenue of the market in the region is USD 33.5 billion in 2023. The growth of the market can be attributed majorly to the deployment of flexible packaging in the construction and pharmaceutical industries. Therefore, the expansion of these industries will boost the demand. As per the data of the National Bureau of Statistics of China, China's building production in 2021 was worth around USD 4.2 trillion. At the end of 2021, China had 2.26 million construction businesses. In 2021, China's top-tier, first-class construction businesses numbered 16,000, an increase of 84.3 percent from 2012.
European Market Statistics
The Europe flexible industrial packaging market is estimated to be the second largest, by expanding at a CAGR of 4.12% during the forecast period and registering a market revenue of USD 31.5 billion by the end of 2036. The growth of the market can be attributed majorly to the rising demand for cosmetics and skin care products. In Europe, skin care products are the main force in the cosmetic business, accounting for more than 27% of the cosmetic market. Germany used the most cosmetics in the European cosmetic market in 2021, valued at around USD 15,000 million. France and Italy were close behind, with around USD 13,000 million and USD 11,000 million, respectively.
Author Credits: Sadaf Naaz, Mohd Shadab
Copyright © 2024 Research Nester. All Rights Reserved
FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.
Have questions before ordering this report?