Molded Pulp Packaging Market Size & Share, by Molded Type (Thickwall, Transfer Molded, Thermoformed Fiber, Processed Pulp); Source (Wood Pulp, Non-Wood Pulp); Product Type (Trays, Clamshells, Cups, Plates, Bowls); End-user (Food Packaging, Manufacturing, Electronics, Healthcare) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2023-2035

Global Molded Pulp Packaging Market Definition

Molded pulp packaging is formed from fibrous material that is extracted from natural fibers, such as sugarcane, corn, wheat straw, bamboo, and others. These natural fibers are responsible for the strength, surface roughness, and even color of the packaging. Besides the packaging material, molded pulp is also used in making cardboard and recycled paper. The world is hastily moving towards sustainable packaging, and they are taking a big leap from plastic packaging to eco-friendly packaging. In this transformation, molded pulp packaging is one of the best solutions. Technical advancements have given the molded pulp goods a better look, feel, and smoother surface. It is now widely used as a result of these technical advancements. There is very interesting way of manufacturing the molded pulp packaging, instead of starting with a flat sheet of paper, the packaging is created from the very first step of the production process. Moreover, it has designed features with intricate 3d details and rounded corners.

There are various advantages of molded pulp packaging, such as it is long-lasting and environmentally friendly. Owing to the recycling material used in its making, the production method does not generate a heavy amount of carbon dioxide. It is biodegradable, and hence, gets decomposed after dumping, giving it edge over the plastic alternative. Moreover, after the use of molded pulp in packaging it can be recycled to create more environmentally friendly goods, that can be used further applied in different industries.

Global Molded Pulp Packaging Market: Key Insights

Global Molded Pulp Packaging Market Size, Forecast, and Trend Highlights Over 2023 - 2035

The global molded pulp packaging market is estimated to garner a revenue of around USD 6 Billion by the end of 2035 by growing at a CAGR of ~8% over the forecast period, i.e., 2023 – 2035. Further, the market generated a revenue of nearly USD 3 Billion in the year 2022. The growth of the market can be attributed to the proactive effort by the government to reduce plastic in all sort of applications including packaging. This step is likely to open more opportunities for molded pulp packaging. The Indian government proposed the Plastic Waste Management Amendment Regulations in 2021 to forbid some single-use plastic products by 2022.

 In addition to these, factors that are believed to fuel the market growth of molded pulp packaging include the rise in harmful packaging waste from the healthcare industry. On the other hand, the harmful material can be replaced by molded pulp as they are toxic-free and becomes convenient for manufacturing safe medical packaging.  Around 20% to 25% of the 14 000 tons of garbage produced daily in US healthcare facilities is plastic yet, around 91% of plastics, including those used in healthcare, are not recycled and either end up in landfills or have gotten into the environment. Besides this, the rising use of packaged food, water, and beverages is also expected to boost market growth.

Global Molded Pulp Packaging Market: Growth Drivers and Challenges

Growth Drivers

• Growing Packaging Waste – After the life of molded pulp packaging expires, it can be recycled again to use in different industries. Moreover, it is lightweight and reduces excess space. Thus, curbing the packaging waste. Nowadays, 91% of packaging trash of the world is dumped in landfills or the environment.

• Rising Need for Sustainable Packaging– the production of molded pulp does not emit as much carbon dioxide as produced in other packaging material. Moreover, they are easily decomposed thus driving the packaging industry towards sustainability. In the United Kingdom, around 77% of consumers demand sustainable packaging from businesses. Moreover, nearly 50% of people agreed to pay more for the product if it is sustainably packed.

• Increasing Trends of Online Shopping –Online shopping or E-commerce is expected to boost the demand for packaging and is likely to create more opportunities for molded pulp packaging. In 2020, more than 1 billion people worldwide shopped online. Furthermore, this number jumped to more than 2 billion in 2021.

• Growing Consumption of Packaged Food – Molded pulp packaging is a safer option than toxic aluminum and petroleum packaging which is highly used in the food industry. The consumption value of packaged organic foods in India totaled USD 15 million in 2021. When compared to the prior year, the consumption value was around USD 14 million.

• Rising Efforts to Reduce Plastic – With the growing concern about the use of single-use plastics, molded pulp packaging is becoming more popular worldwide. According to the World Economic Forum, 170 countries made a commitment in 2019 to reduce their use of plastic by 2030.  Furthermore, many have already begun by suggesting or enacting regulations for specific single-use plastics.

Challenges

• Presence of Other Options for Biodegradable Packaging- The other alternatives to molded pulp packaging are corrugated cardboard and mushroom foam. Mushroom foam resembles ordinary paper molded pulp in appearance and operation. On the other hand, corrugated cardboard can offer just as much security as polystyrene as a structural support system. Moreover, it is more affordable, eco-friendly, and highly recyclable.
• Pulp Packaging Cannot Support Heavy Items
• High Cost of Pulp Packaging- Molded pulp packaging is a viable solution for eco-friendly packaging, and switching to eco-friendly packaging can be expensive and especially for small enterprises. The cost of production of pulp packaging is expensive, moreover, it is further burdened by fluctuating prices of the raw material. However, the practice of using molded pulp packaging can be cost-effective in long run but it is hard to predict the specific time. Therefore, it becomes expensive to deploy the pulp packaging and is expected to hamper the market growth.

Global Molded Pulp Packaging Market Segmentation

The global molded pulp packaging market is segmented and analyzed for demand and supply by end user into food packaging, manufacturing, electronics, and healthcare. Out of the four end users of molded pulp packaging, the food packaging segment is estimated to gain the largest market share in the year 2035. The growth of the segment can be attributed to a rise in the number of people using online food services. By 2027, it is anticipated that almost 2,600 million people would order food online around the world. Besides this, the high non-renewable waste generation from the food packaging industry is also anticipated to augment the segment growth. In the United States, food packaging materials account for around 63% of the millions of tons of solid trash that are produced there. Moreover, in 2018 the United States manufactured close to 2 million tons of aluminum packaging which is a non-renewable packaging material. It can be seen all over the grocery stores from chips bags to soda cans.

The global molded pulp packaging market is also segmented and analyzed for demand and supply by product type into trays, clamshells, cups, plates, and bowls. Amongst these five segments, the cups segment is expected to garner a significant share in the year 2035. The growth of the segment is majorly attributed to the rising use of coffee cups which majorly contributes to pollution. In the UK, almost 3 billion coffee cups are used each year and thrown away, besides this just one in every 400 of these cups is recycled. On the other hand, a rising effort by the government to ban single-use plastic for cups is also expected to boost segment growth. The European Commission decided to ban single-use plastics in 2022, including bags, cotton buds, cutlery, food containers, drinking cups, wet wipes, and others.

Our in-depth analysis of the global molded pulp packaging market includes the following segments:

Global Molded Pulp Packaging Market Regional Synopsis

The Asia Pacific molded pulp packaging market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2035. The growth of the market can be attributed majorly to the rising demand for sustainable packaging in the region. Young people between the ages of 20 and 29 show the most excitement and awareness for sustainable consumption, and Chinese consumers between the ages of 30 and 49 have the highest sustainable consumption abilities. Moreover, before purchasing a product, about 24% of Gen Z and millennial consumers in China check the packaging for sustainability. Furthermore, the rising consumption of eggs, for which generally molded paper tray packaging is used, is also expected to drive market growth in the region. In India, millions of people depend on eggs, and the annual consumption of eggs per person climbed from around 86 in 2019–20 to nearly 91 in 2020–21.

The North American molded pulp packaging market, amongst the market in all the other regions, is projected to hold the second largest share during the forecast period. The growth of the market can be attributed majorly to the rising waste from the packaging industry. According to the United States Environmental Protection Agency, in 2018, 82.2 million tons of municipal solid waste (MSW) were generated, with a large majority of around 28.1% of the total waste being made up of containers and packaging. Moreover, EPA states that containers and packaging goods are presumptively thrown away the same year as the goods in them are purchased.

Further, the market in Europe, amongst the market in all the other regions, is projected to hold a significant share by the end of 2035. The growth of the market can be attributed majorly to the rising efforts put in by the government to reduce the waste generated from packaging. According to the European Commission, packaging waste in the EU is expected to rise by 19% by 2030, and by 46% in the case of plastic packaging. Moreover, around 180 kg of packaging waste is produced annually in Europe. While 40% of the plastic and 50% of the paper used in the EU are intended for packaging. European Commission proposed regulations to manage packaging waste, these proposals include that all packaging sold in the EU must be recyclable in a way that is profitable by 2030 in order to promote high-quality recycling.

Top Featured Companies Dominating the Global Molded Pulp Packaging Market

• Sabert Corporation
  • Company Overview
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  • Key Product Offerings
  • Financial Performance
  • Key Performance Indicators
  • Risk Analysis
  • Recent Development
  • Regional Presence
  • SWOT Analysis

• Molpack Corporation Ltd.
• YFY Jupiter, Inc.
• Pacific Pulp Molding, Inc.
• Best Plus Pulp Co.
• Hartmann
• Smurfit Kappa
• Western Pulp Products Company
• Huhtamaki
• SABIC