Global Flexible Food Packaging Market - 2023-2030

Overview

Global Flexible Food Packaging Market reached US$ 147.5 billion in 2022 and is expected to reach US$ 216.4 billion by 2030, growing with a CAGR of 4.9% during the forecast period 2023-2030.

This is especially important in the Asia-Pacific, which has one of the world's highest rates of foodborne illness, making food safety a key concern for regional food production companies. As one of the world's fastest-changing food markets, the Asian continent places a premium on food innovation, particularly in terms of packaging and safety. With fast-changing consumer demands, climate change issues and an ever-expanding population base, the region's food business, including packaging, is always evolving.

The food industry in the Asia-Pacific dominates the flexible packaging market, capturing the largest market share of over 1/4th. The region's rapid growing population and growing popularity of the ready-to-eat meals drives the flexible food packaging market. China remains the largest producer and consumer of food and flexible packaging globally, accounting for nearly 60% of total plastic production.

Dynamics

Developing Innovative and Distinct Packaging Options for On-the-Go Consumption

Japan is also noted for its ingenuity and unconventional products, not just in terms of cuisine but also in terms of packaging. Japanese packaging best practices emphasize not only presenting the country's cultural features but also promoting customer ease. In recent years, Japanese consumers have increased their need for distinguishing, healthier and high-quality beverage options packaged in single-serve packets for more convenient on-the-go consumption.

For instance, In October 2021, DNP, SIG and Cosmo Foods have paved the road for bringing popular beverages to market in practical, sustainable and modern packaging solutions developed exclusively for busy consumers looking for on-the-go options. The DNP-SIG Combibloc Co., Ltd. joint venture, along with co-packer Cosmo Foods, delivered value-added filling technology and packaging innovation to Japan.

Flexible Packaging as Popular Packaging Option

Flexible packaging is rapidly expanding over the world. Flexible packaging, which accounts for 39% of the global packaging market, is predicted to continue its upward trend, according to PMMI, The Association for Packaging and Processing Technologies' 2019 Flexible Packaging Assessment report. As per PMMI report, the fast growth in flexible packaging is attributed to customer need for convenience and sustainability, the advent of e-commerce and an industry push for retail-ready packaging.

Because of the popularity of ready-to-eat foods and snacks for on-the-go consumers, the food industry was an early adopter of flexible packaging. The customers are driving flexible packaging growth in this market, as they are more likely to purchase products in convenient packaging that offers single-serve amounts and is resealable, lightweight and portable - regardless of price.

Environmental Concerns and Sustainability Challenges

Because of their complicated composition, flexible food packaging materials, particularly multi-layered polymers, are frequently difficult to recycle. The absence of adequate recycling infrastructure and techniques for flexible packaging materials exacerbates environmental concerns about plastic pollution.

To improve their corporate social responsibility image, many firms and brands are connecting their operations with sustainability aims. Adopting sustainable packaging choices and minimizing the use of nonrenewable resources, can reduce demand for traditional flexible food packaging.

Emergence of Sustainable Packaging

The rise of sustainable packaging has also fueled the expansion of flexible packaging. More firms are transitioning to flexible packaging as customers and regulatory bodies put greater pressure on them to reduce waste. Flexible packaging enables manufacturers to employ fewer materials and biodegradable, recyclable or compostable films without sacrificing barrier qualities. Flexible packaging is also ideal for small-batch production and lends itself to cutting-edge technologies like 3-D printing, which allows producers to reuse remaining film and other materials.

For instance, on March 6, 2023, Charter Next Generation (CNG) and Revolution Sustainable Solutions, LLC are collaborating together to promote the use of commercially available post-consumer recycled, linear low-density polyethylene (PCR-LLDPE) for food and flexible packaging applications. It is an enormous leap forward for manufacturers looking for ways to include post-consumer recycled content in food contact packaging.

Segment Analysis

The global flexible food packaging market is segmented based on material, packaging type, application and region.

Plastic Packaging: A Lightweight, Sustainable Option That Drives Market Dominance

Because plastic packaging is lightweight, it lowers transportation costs and energy usage during delivery. It weights advantage is especially important for products with high transportation volumes, resulting in cost savings and lower carbon emissions.

Plastic packaging provides an effective barrier against moisture, oxygen, light and pollutants, assisting in the extension of food product shelf life. It contributes to a favorable consumer experience by preserving the freshness, flavor and quality of the food. Plastic packaging's demanding adoption by customers and companies globally has positioned it as a leading material in the flexible food packaging sector. As a result, the global flexible food packaging product market is dominated by the plastic material segment with more than 50% of the total global segmental share.

Geographical Penetration

Owing to the Powerhouse of Flexible Food Packaging Innovation and Production Propels the Regional Growth in Asia-Pacific

The expanding middle class and urbanization in countries like as China and India have resulted in increased demand for packaged food and beverages, bolstering the flexible food packaging industry's growth. Due to cheaper labor and operational costs, countries such as Vietnam, Malaysia and Thailand have become key package production hubs, encouraging global corporations to build up production facilities for flexible food packaging.

Companies in the Asia-Pacific are focusing on the development of the variety of flexible packaging options for the food industry packaging. For instance, In July 2023, Indian flexible packaging customers that purchased MDO film stretching units with blown film lines for manufacturing monopolymer PE frameworks have had difficulty marketing the concept in the Indian market. Monopolymer PE-MDO packaging is produced by the company for rice exports. Therefore, Asia-Pacific captures more than half of the global shares in the product market.

COVID-19 Impact Analysis

The COVID-19 pandemic affected global supply networks, reducing the availability of raw materials for the creation of flexible packaging. Lockdowns, transit limitations and a decreased staff in production plants resulted in material shortages and delays. Consumer behavior changed significantly throughout the pandemic. With eateries shuttered or limited, the demand for packaged and processed goods soared. It spikes in demand necessitated the development of more adaptable food packaging to satisfy changing consumer tastes, bolstering the flexible food packaging industry's growth.

Due to cheaper labor and operational costs, countries such as Vietnam, Malaysia and Thailand have become key package production hubs, encouraging global corporations to build up production facilities for flexible food packaging. Due to lockdowns and social distancing measures, more consumers are turning to online buying, resulting in an increase in e-commerce packaging demand. Flexible food packaging had to adapt to e-commerce-specific criteria like durability and tamper-evident features.

Russia-Ukraine War Impact Analysis

Commodity prices, especially those of plastics and other raw materials used in flexible packaging, might fluctuate due to geopolitical instability. It has the potential to affect production costs as well as overall pricing strategies in the flexible food packaging sector.

To avoid the risks connected with geopolitical conflicts, companies may consider diversifying their sourcing and manufacturing areas. It could result in a reevaluation of manufacturing sites and a shift in the regional dominance of flexible food packaging manufacturing. Due to the uncertainties and potential hazards involved with the war, investments, expansions and mergers in the flexible food packaging business may be postponed or reconsidered.

By Material

• Plastic
• Paper
• Others

By Packaging Type

• Pouches
• Bags
• Wraps
• Films
• Others

By Application

• Bags
• Dairy Products
• Meat, Poultry and Seafood
• Snacks and Cereals
• Fruits and Vegetables
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In April 2023, Amcor, a global pioneer in creating and manufacturing responsible packaging solutions, has announced a new collaboration with Tyson Foods, one of the world's largest food corporations and a recognized global protein leader, to introduce a more sustainable package for consumer products. Amcor and Tyson Foods' collaboration brings together two industry experts in sustainability to provide a first-to-market solution that offers a more sustainable package without sacrificing performance.
• On February 24, 2023, SABIC, based in Riyadh, Saudi Arabia, has collaborated with the Malaysian packaging company Scientex to develop material for what the two companies claim is the world's first flexible food packaging based on advanced recycled ocean-bound plastics or OBP, using SABIC-certified circular polypropylene (PP). The material is utilized in the packaging of a premium brand of noodles sold in Malaysia.
• In December 2022, BASF and StePac have reportedly developed a contact-sensitive packaging solution for the preservation of fresh food, utilizing BASF's ChemCycling technology to simplify the manufacturing of Ultramid Ccyled polyamide 6 for StePac's Xgo Circular series.

Competitive Landscape

major global players in the market include: Amcor plc, Sealed Air Corporation, Berry Global Group, Inc., Huhtamaki Oyj, Sonoco Products Company, Bemis Company, Inc., Constantia Flexibles Group GmbH, Mondi Group, ProAmpac Holdings, Inc. and TC Transcontinental Inc.

Why Purchase the Report?

• To visualize the global flexible food packaging market segmentation based on material, packaging type, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of flexible food packaging market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global flexible food packaging market report would provide approximately 61 tables, 61 figures and 190 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies