Global Feed Packaging Market - 2023-20230

Overview

Global Feed Packaging Market reached US$ 13.20 billion in 2022 and is expected to reach US$ 20.72 billion by 2030, growing with a CAGR of 5.8% during the forecast period 2023-2030.

The rising animal feed globally acts as a key trend for feed packaging market growth. Bulk packaging, including bulk bags and totes, is becoming popular due to its efficiency in handling large quantities of feed, reducing packaging waste, and facilitating transportation and storage.

In October 2023, Promac launched patent-pending PRO-EVO Recyclable packaging ideal for dry pet food. The recyclable packaging product is a multi-wall, self-opening sack (SOS) bag made of paper that is approved for recycling at the curb. The company's ProActive Recyclable product line includes PRO-EVO Recyclable.

Flexible materials hold a significant share of the feed packaging due to their lightweight and cost-effectiveness. Asia-Pacific held a significant share of the feed packaging market due to their large-scale livestock production. In January 2022, Indorama Ventures Public Company Limited (IVL), a global sustainable chemical company, announced the acquisition of Ngoc Nghia Industry - Service - Trading Joint Stock Company (NN), a provider of PET packaging products to strengthen its market position in Asia-Pacific.

Dynamics

Increasing Demand for Animal Feed

The increased consumption of animal-based products due to higher income levels creates a higher demand for animal feed to support livestock production. According to the American Feed Industry Association, In the United States, there are about 5,800 animal food production facilities that produce over 284 billion tonnes of pet food and finished feed annually. With higher production volumes, there's a greater need for bulk packaging options such as bulk bags, totes, and silo storage systems. These bulk packaging solutions facilitate the storage and transportation of large quantities of feed efficiently.

The quality of animal feed is crucial for the health and productivity of livestock. Proper nutrition is essential to ensure the animals grow and produce efficiently. High-quality packaging helps preserve the feed's nutritional value and prevents contamination. The increasing popularity of e-commerce and direct-to-consumer sales has led to the need for smaller, consumer-sized feed packaging. This trend also contributes to the growth of the feed packaging market.

Growing Demand for Eco-Friendly Packaging

Rising environmental awareness, spurred by concerns over issues like plastic pollution and climate change, is driving a heightened demand for eco-friendly feed packaging. Consumers and governments are all actively looking for sustainable solutions to mitigate the environmental effects of packaging materials. This increased demand is pushing for more environmentally responsible feed packaging options.

Companies are investing in sustainable feed packaging which can differentiate their products in the market. In January 2022, PakTech, a supplier of sustainable packaging, made its debut in the pet and pet food businesses with the introduction of its new subsidiary brand, PetPak, For individuals in the pet sector, the brand will provide sleek and environmentally friendly-packing handles

Stringent Regulations

In the United States, animal feed bags must meet the United States Department of Agriculture (USDA) and the Food and Drug Administration (FDA) standards to guarantee the safety and quality of the feed. Manufacturing facilities producing these bags must uphold strict quality control systems to comply with these regulations effectively. These measures are essential to ensure that the animal feed remains safe and of high quality. Similar to food packaging for human consumption, commercial animal feed packaging must display detailed labeling information.

Meeting stringent regulations often requires feed packaging companies to invest in new technologies, materials, and processes to ensure compliance. These investments can be costly and may strain the financial resources of some companies, especially smaller businesses. Regulations often require testing and certification of packaging materials and processes. The time and resources required for these activities can slow down product development and time-to-market.

Segment Analysis

The global feed packaging market is segmented based on type, material, feed, animal and region.

Cost-Effectiveness and Light-weight of Flexible Packaging Materials

Flexible packaging materials, such as plastic films and bags, are often more cost-effective than rigid packaging options like metal or glass containers. This cost advantage can make them a preferred choice for many feed manufacturers. Manufacturers can easily customize flexible packaging with various sizes, shapes, and printing options. This allows for branding and labeling to meet specific marketing and product differentiation needs.

Flexible packaging materials are lightweight, reducing transportation costs and environmental impact. This is especially important in the feed industry, where bulk shipments are common. In September 2020, Nestle Purina introduced the first recyclable flexible pouch for its Felix wet pet food. Because of the Polypropylene (PP) packaging, the pet food pouches can withstand high temperatures, have the right product barrier qualities, and are lightweight and recyclable.

Geographical Penetration

Asia-Pacific's Growing Animal Feed Industry

The Asia-Pacific region has experienced substantial growth in its animal feed industry due to population growth and rising incomes. According to Alltech's Agri-Food Outlook 2023 research. Asia-Pacific countries accounted for 466 billion tonnes (36.8%) of the world's compound feed output in 2022, which totaled 1.266 billion tonnes. This growth has led to an increased demand for efficient and effective packaging solutions and drives the feed packaging market in that region.

Rapid urbanization in many Asian countries has led to changes in the structure of agriculture. This shift often involves the consolidation of smaller farms, creating a need for efficient and effective feed packaging for larger-scale operations. The Asia-Pacific region has seen an increasing focus on sustainability and eco-friendly packaging. As consumer awareness grows, the demand for sustainable feed packaging solutions has risen in this region as well.

Source: DataM Intelligence Analysis (2023)

Competitive Landscape

The major global players include LC Packaging, Mondi, Amcor plc, ProAmpac, Huhtamaki, Transcontinental Inc., Coveris, PDM, Codefine and Knack Packaging Pvt. Ltd.

COVID-19 Impact Analysis

COVID Impact

With increased emphasis on health and hygiene, there was a greater need for safe and secure packaging to protect feed products from contamination and ensure their quality. This led to a higher demand for packaging solutions with features such as tamper-evident seals and barrier films. As e-commerce and online shopping for pet and livestock products grew, there was a shift in packaging preferences. More feed products were being ordered online, necessitating packaging that is not only protective but also aesthetically appealing for e-commerce presentation.

However, the pandemic disrupted global supply chains, affecting the availability of packaging materials and components. This led to delays in manufacturing and packaging operations in the feed industry.

Russia- Ukraine War Impact

The war has led to disruptions in supply chains. The conflict has at times disrupted the flow of raw materials for packaging, such as plastics and other packaging components. This can lead to supply chain challenges for feed packaging manufacturers.

The geopolitical instability in the region has created economic uncertainty. Businesses in Ukraine and nearby regions faced challenges in terms of access to capital, investment, and stable business environments. This can influence the demand for packaging materials and equipment.

By Type

• Flexible
• Rigid

By Material

• Plastic
  • Polyethylene (PE)
  • Polypropylene (PP)
• Paper
• Jute
• Metal
• Glass
• Others

By Feed

• Dry
• Wet
• Pet Treats
• Chilled and Frozen

By AAnimal

• Pet
  • Dogs
  • Cats
  • Birds
  • Fish
  • Others
• Livestock
  • Poultry
  • Ruminants
  • Swine
  • 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 March 2023, Kite Packaging, a packaging supplier, launched an innovative ventilated pallet wrap that is perfect for product packaging that needs ventilation. It is also meant for horticulture, animal feed, and chemical and medicinal applications.
• In September 2021, ProAmpac introduced a recyclable pouch for pet and human food. This is made from high-performance mono-polyethylene which is a recyclable replacement for conventional pouches.
• In February 2021, Agri firm Avana Industries declared the launch of high-tech bag storage of cattle feed. The bag is sold under the brand name "Kapila Murghas".

Why Purchase the Report?

• To visualize the global feed packaging market segmentation based on type, material, feed, animal 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 feed 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 feed packaging market report would provide approximately 69 tables, 69 figures and 181 pages.

Target Audience 2023

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