Industrial Packaging Market Analysis by End User (Automotive, Food & Beverages, Building & Construction, Pharmaceuticals, Chemical, Oil & Gas,); Material (Wood, Plastic, Paperboard, Metal, and Others) product Type (Crates, Snacks, Corrugated Box, Drums, Pails, Intermediate Bulk Containers (IBC)) – Global Supply & Demand Analysis & Opportunity Outlook 2023-2035
Buy Now Report ID: 4865 | Published Date: Apr 30, 2023
Industrial Packaging Market size is estimated to reach ~USD 151.37 Billion by the end of 2035 by growing at a CAGR of ~7.30% over the forecast period, i.e., 2023 – 2035. In addition to this, in the year 2022, the market size of industrial packaging was ~USD 64.99 Billion. The growth of the market can be attributed to the rising use of packaging in the food and beverage industries. Moreover, it is widely used for beverages packaging, so that it can be transported to various places. As per the reports, the total alcoholic beverage sales have increased to more than 200 Billion in the United States in the year 2021.
Industrial packaging aims to safeguard a product while it is being transported from one location to another. It may take place between companies or suppliers from the same sector. Additionally, it can be transported by truck, ship, plane, or train, among other modes. The industrial packaging must therefore be resistant to vibration and travel. Industrial packaging also contains materials in addition to this protection. It includes many instances of a product with the same final destination. And because it is made specifically for so many different things, it is unique and made of various materials. Large containers are available in wood, plastic, and corrugated cardboard. Even packaging that incorporates these and other materials, as well as the inclusion of additional materials to wrap the interior to safeguard the parts, is available.
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Base Year |
2022 |
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Forecast Year |
2023-2035 |
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CAGR |
~7.30% |
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Base Year Market Size (2022) |
~ USD 64.99 Billion |
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Forecast Year Market Size (2035) |
~ USD 151.37 Billion |
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Regional Scope |
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Growth Drivers
Challenges
The market is segmented and analyzed for demand and supply by end user into automotive, food & beverages, building & construction, pharmaceuticals, chemical, oil & gas, and others. Out of these sub-segments, the food & beverages segment is estimated to gain the largest market share by the end of the year 2035. The growth of the segment can be attributed to the increasing number of people ordering food and beverages through e-commerce platforms, which increases the need for corrugated packaging. In addition, the packaging meets the need for the food safety requirements set by the regulatory bodies. Moreover, the industrial packaging is used for the preservation of food and beverage products while they are delivered from the manufacturers to the retailers. Therefore, all these attributes are predicted to increase the growth of the segment in the market. According to the survey, it is anticipated that the food and beverages. More than 80 percent of the people in India use food through delivery apps owing to the convenience.
The global industrial packaging market is also segmented and analyzed for demand and supply by product type into crates, snacks, corrugated box, drums, pails, intermediate bulk containers (IBC), and others. Amongst these three segments, the corrugated box segment is expected to garner a significant share of around ~46% in the year 2035. This can be attributed to the benefits attached to the corrugated box such as its high structural strength, and cushioning properties, which make it a better option for packing fragile products. Moreover, they are able to pack different varieties of products that are of different shapes and sizes. Moreover, they are able to transport goods and products that are delicate in nature. This, as a result, is anticipated to create numerous opportunities for the growth of the segment in the coming years.
Our in-depth analysis of the global industrial packaging market includes the following segments:
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By End User |
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By Material |
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By Product Type |
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Industrial packaging market share in Asia Pacific, amongst the market in all the other regions, is projected to be the largest with a share of about ~32% by the end of 2035. The growth of the market can be attributed majorly to the rapid growth of e-commerce in the country such as China, India, followed by the rising population. In addition, the increasing demand for industrial packaging from various industries, such as electronics, automotive, and others, is further anticipated to boost the growth of the market in the region. Furthermore, the surge in the number of working people, which increases the demand for ready to eat food products, is also expected to expand the market’s growth in the Asia Pacific region. In addition, there have been rising manufacturing activities in the emerging nations, for meet the demands of customers. All these, factors are expected to surge the growth of the industrial packaging market by the end of 2035. According to the recent reports, the e-commerce penetration has reached to nearly 29 percent of the retail sales in China, as of 2022.
The North America industrial packaging market is estimated to be the second largest, registering a share of about ~29% by the end of 2035. The growth of the market can be attributed majorly to the growing demand for convenient packaging options, that have become popular in the region. Furthermore, the surging investment by the market players for the development of the packaging sector is further projected to drive the growth of the industrial packaging market over the forecast period. Moreover, the increasing demand for packed and processed food and beverages in the region is another factor that is anticipated to expand the market’s growth in the region in the upcoming years.
Further, the industrial packaging market in the Europe, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2035. The growth of the market can be attributed majorly to the increasing consumer awareness related to the importance of sustainability, along with the growing strictness of the stringent regulations for banning the use of plastic products. In addition, the rapid industrialization, and improving standard of living among the population in the European region is further anticipated to surge the market’s growth in the region.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Author Credits: Sadaf Naaz, Mohd Shadab
Ans: Growing manufacturing and development of medicines, rising e-commerce industry, and increasing sale in automotive industry are the major factors driving the market growth.
Ans: The market size of industrial packaging is anticipated to attain a CAGR of ~7.30% over the forecast period, i.e., 2023 – 2035.
Ans: Fluctuations in the prices of the raw materials, and high cost of the industrial packaging are estimated to be the growth hindering factors for the market expansion.
Ans: The market in the Asia Pacific region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.
Ans: The major players in the market are Greif, Inc., Mondi plc, Global-Pak, MAUSER Corporate GmbH, International Paper, Orora Packaging Australia Pty Ltd, Sigma Plastics Group, Amcor plc, Berry Global, Inc.
Ans: The company profiles are selected based on the revenues generated from the product segment, the geographical presence of the company which determines the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by end user, material, product type, and by region
Ans: The food & beverages segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.
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