Eco-Friendly Food Packaging - Global Market Outlook (2021-2028)

Eco-Friendly Food Packaging - Global Market Outlook (2021-2028)

According to Stratistics MRC, the Global Eco-Friendly Food Packaging Market is accounted for $191.12 billion in 2021 and is expected to reach $358.45 billion by 2028 growing at a CAGR of 9.4% during the forecast period. Eco-Friendly Food Packaging market is implemented to have a little footprint on the atmosphere, moreover throughout developed or use. In terms of food packaging, the term eco-friendly means that helping vessels can either be again used or recycled. In addition, with the expansion of equipment, it can also suggest that packaging is completely recyclable, compostable or even edible. There is a boundless array of eco-friendly food packaging presented, and the sheer imagination of these goods is both amazing and inspirational.

Market Dynamics:

Driver:

Increase in Inclination of Customers In the direction of Eco-Friendly Food Packaging

There is a rising inclination among consumers towards ecological food packaging products owing to rising awareness about reducing impact of non-biodegradable materials on environment. Consumers are also opting for recyclable spoons (wooden spoons) and straws (paper straws) which come with food packaging. Single-use plastic straws, lids, closures, caps, cups, and food trays are being replaced by goods made of paper or biodegradable alternatives in the foodservice sector. The demand for market will continue to rise because of increasing customer preferences for convenience and packaged meals.

Restraint:

Absence of Appropriate Infrastructure for Recycling

Lack of proper infrastructure for recycling is expected to hinder market growth. Recycling a plastic bottle is far costlier than producing a new one. Even if local governments fund recyclers with cash subsidies in addition to selling recycled materials, they would still be unable to compete with new-made goods. The manufacturer also needs to invest in the recycling infrastructure. Recycling will only happen in industries where some part of the production process becomes expensive enough to make it worth the effort.

Opportunity:

Technological Advancement

Technological advancement is an achieving popularity in the market. Foremost market players of the market are concentrating their efforts on creating innovative technologies for migrating to biologically friendly food wrapping solutions to decrease environmental impact and keep plastic out of landfills and seas. For example, in July 2019, Nestle, a Switzerland-based food company introduced a new recyclable paper wrapper for its YES! snack bars by using high-speed flow wrap technology. The possibility for recyclable paper packaging to be widely employed in the confectionery sector has been unlocked as a result of this launch. Paper can now be utilized in huge quantities while maintaining product quality and freshness throughout the shelf life.

Threat:

Alternatives

The availability of cheap alternatives is hindering the market growth. For example, Sugarcane / bagasse is a plant-based, tree-free, renewable material made from the waste of sugarcane plants leftover after the sugar has been extracted. This fibrous, pulpy material is used to create durable containers that appeal to environmentally conscious consumers and requires much less energy to produce than plastic products.

Paper & Paperboard segment is expected to be the largest during the forecast period

Paper & paperboards are the most preferred packaging in the food & beverage industry owing to their degradable nature and recyclable property. Ready-to-eat, on-the-go, and frozen & fresh foods are nowadays served and transported in the paperboard packaging, which is due to the rise in environmental hazards. Rigid boxes are preferred for transportation. However, fresh products are served inflexible and molded paper & paperboards.

The Food segment is expected to have the highest CAGR during the forecast period

Due to the increase in the customers who look for ease food solutions owing to short of time. The prospect of food quality, cleanliness, and increasing health alertness are pouring the market in the food segment. Food commodities are able to be served in biodegradable packaging, which includes paper & paperboards; this is fuelling the increase of the food segment. Customers search for handiness food solutions due to lack of time. The expectations of food quality, hygiene, and growing health awareness are driving the market in the food sector. Beverages are usually served in reusable or recyclable products; also, food products can be served in biodegradable packaging, which includes paper & paperboards; this is fuelling the growth of the food segment.

Region with highest share:

The Asia Pacific is projected to hold the highest market share, owing to the growing command for convenience foods due to the demanding lifestyles of customers in the APAC region. There is rising spending of on-the-go and ready-to-eat breakfast meals, as a significance of suburbanization, enthusiastic lifestyles, and high disposable profits in this province. The eco-friendly food packaging industry has been growing as a result of the stringent laws and regulations levied by governments and governing bodies, as well as a shift in consumer preferences toward recyclable and eco-friendly packaging materials. Apart from these factors, the downsizing of packaging and breakthrough in new technologies are also driving the market globally.

Region with highest CAGR:

North America is projected to have the highest CAGR. The growing working population in the province is increasingly demanding the convenience food, which in turn has increased the market demand for the product. Additionally, the growing environmental degradation has resulted into the ban of the single-use plastic in many countries. This has resulted into adoption of eco-friendly packaging for food and beverages in the province.

Key players in the market:

Some of the key players profiled in the Eco-Friendly Food Packaging Market include Amcor, Ball Corporation, BASF, Berry Global, Crown Holdings Inc, Elopak, Evergreen Packaging, Huhtamaki Oyj, Mondi Group, Sealed Air Corporation, Smurfit Kappa Group, Sonoco Products Company, Tetra Pak, Westrock Company, Winpak Ltd.

Key developments:

In May 2021: Amcor launched first designed to be recycled packaging for powdered chocolate in Latin America. Amcor has taken another step towards its goal to provide more sustainable packaging solutions by producing the first designed to be recycled plastic packaging for powdered chocolate in Latin America.

In October 2019: Ball Corporation announced to set-up the new aluminum cups manufacturing plant in Georgia. The company established the plant to serve the growing demand for innovative, eco-friendly beverage packaging for US customers and other consumers.

In September 2021: BASF and Fabbri Group launched certified compostable cling film for fresh-food packaging. Based on BASF’s certified compostable ecovio®, Fabbri Group produces the highly transparent stretch film Nature Fresh.

Types Covered:
Degradable Packaging
Recycled Content Packaging
Reusable Packaging

Techniques Covered:
Active Packaging
Alternate Fiber Packaging
Molded Packaging
Multipurpose Packaging

Materials Covered:
Paper & Paperboard
Plastic
Metal
Glass
Other Materials

Applications Covered:
Food
Beverages

Regions Covered:
North America
US
Canada
Mexico
Europe
Germany
UK
Italy
France
Spain
Rest of Europe
Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
South America
Argentina
Brazil
Chile
Rest of South America
Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025 and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
Company Profiling
Comprehensive profiling of additional market players (up to 3)
SWOT Analysis of key players (up to 3)
Regional Segmentation
Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances