Global Insulated Packaging Market - 2024-2031

Overview

Global Insulated Packaging Market reached US$ 16.6 billion in 2023 and is expected to reach US$ 26.3 billion by 2031, growing with a CAGR of 6.1% during the forecast period 2024-2031.

The demand for insulated packaging has grown significantly as a result of the e-commerce industry's explosive expansion. There is an increasing demand for packaging solutions that can safeguard perishable products during transportation as more people purchase online for groceries, meal packages, prescription drugs and other necessities. The industry is growing because insulated packaging makes sure that temperature-sensitive items stay secure and fresh until they reach the customer's door.

Rising demand for perishable commodities including fresh vegetables, dairy products, meats and ready-to-eat meals can be attributed to shifting customer tastes and lifestyles. The quality and freshness of these goods are crucially preserved during storage and transit when they are packaged with insulation. The need for insulated packaging is rising as consumers seek quality and convenience and consequently need more efficient temperature-controlled packaging solutions.

Asia-Pacific is among the growing regions in the global insulated packaging market covering more than 1/3rd of the market. The Asia-Pacific expanding e-commerce industry is driving more demand for insulated packaging. The increased use of cell phones, better internet access and the ease of doorstep delivery are all contributing to the region's current e-commerce boom.

Dynamics

Expansion of E-Commerce and Rising Demand in the Industrial Sector

Insulated packaging is in high demand due to the spread of e-commerce platforms and consumers' increasing inclination towards purchasing goods online. In addition to e-commerce, insulated packaging is growing more and more popular in a variety of industrial industries, including electronics, food and beverage, chemicals and medicines. Insulated packaging is essential to these sectors' supply chains for the safe transportation and storage of temperature-sensitive products.

For Instance, in 2023, Ranpak Holdings Corp., a leader in sustainable packaging solutions, unveiled the RecyCold climaliner. The innovative thermal liner is designed to meet Cold Chain shipping needs across various industries, showcasing Ranpak's commitment to sustainability and providing cost-effective and efficient shipping solutions globally.

Growing Insulated Packaging Demand in Food Industry

The global market for insulated packaging is expanding due in large part to the expanding demand for insulated packaging in the food sector. The demand for efficient temperature-controlled packaging solutions to preserve the quality, freshness and safety of perishable and fresh foods across the supply chain has increased as customers focus on convenience and seek out such products.

For instance, in 2023, Novolex, known for its leadership in packaging innovation and sustainability, is launching Power Prep wrap, designed for grab-and-go hot sandwiches and other freshly prepared foods. Produced by Novolex's Bagcraft brand, this new wrap is laminated and insulated, ensuring the freshness of food during freezing, thawing, reheating and display. With Power Prep wrap, customers can savor delicious hot sandwiches that retain their quality even when prepared off-site, providing a convenient and satisfying dining experience.

Production and Material Costs

The price of materials and manufacturing is a major barrier for the insulated packaging industry. The expense of getting premium insulation materials, such as expanded polystyrene, polyurethane foam and vacuum-insulated panels (VIPs), can increase the total cost of manufacture. To further increase production costs, the insulated packaging manufacturing process frequently calls for specific tools and methods.

In addition to these high expenses, producers could find it difficult to maintain competitive pricing while still guaranteeing the quality of their products and their compliance with legal requirements. Consequently, the adoption of insulated packaging solutions may be limited by financial restrictions, especially for enterprises operating on a tight budget or in price-sensitive sectors.

Sustainability and Environmental Concerns

The increasing focus on sustainable development is a major barrier to the insulated packaging business. Environmental pollution and plastic waste can be caused by insulated packaging solutions, especially those derived from conventional materials like expanded polystyrene or polyurethane foam. There is a growing demand for sustainable packaging options that reduce the environmental impact as both customers and governments grow more ecologically concerned.

The demand for manufacturers to provide sustainable insulated packaging solutions with recyclable or biodegradable materials may result in increased expenses for research and development as well as changes to current production procedures. Furthermore, producers trying to satisfy market and environmental requirements face a problem in guaranteeing the recyclable or biodegradable nature of insulated packaging materials without sacrificing efficacy or affordability.

Segment Analysis

The global insulated packaging market is segmented based on product, type, packaging form, material, application and region.

Rising Demand for Insulated Packaging in the Pharmaceutical Industry

The Pharmaceutical segment is among the growing regions in the global insulated packaging market covering more than 1/3rd of the market. The global market for insulated packaging is being primarily influenced by the expansion of the pharmaceutical industry. The need for pharmaceutical items is rising as a result of global population aging and healthcare improvements. When it comes to keeping temperature-sensitive medications effective and intact during storage and transportation, insulated packaging is essential.

The demand for insulated packaging solutions in the pharmaceutical industry is expanding internationally, driven by factors including the rise in chronic illnesses, improvements in healthcare accessibility in emerging economies and the growth of biopharmaceuticals and customized medicine.

Geographical Penetration

Growing Demand for Packaging in the Pharmaceuticals Industry in Asia-Pacific

Asia-Pacific has been a dominant force in the global Insulated Packaging Market. The fast growth of the food and beverage sector in nations like China, India, Japan and South Korea is one major driver. Convenience foods, fresh produce and ready-to-eat meals are in high demand due to increased urbanization, rising disposable incomes and shifting consumer lifestyles.

The region is seeing a rise in the use of insulated packaging solutions since it is essential for maintaining the perishable items' freshness and quality throughout storage and transportation. Additionally, temperature-sensitive packaging solutions are becoming more and more essential as consumers shift more and more to online shopping sites to guarantee the fresh and safe delivery of food, pharmaceuticals and other perishable goods. The demand for insulated packaging items in this region is predicted to increase as a result of this trend.

The Indian packaging sector is projected to increase from its current CHF 75 billion in 2020 to CHF 205 billion by 2025, according to the Momentum In India Swiss SMEs Programme (MISSP). The Sea-Circular Organization projects that the packaging sector in China will grow at a Compound Annual Growth Rate (CAGR) of 13.5 percent between 2020 and 2025.

For Instance, in 2023, Sonoco ThermoSafe's Pegasus ULD container is boosting pharmaceutical shipments in Asia-Pacific, reflecting the region's expanding life sciences sector. With major markets like China, Japan, South Korea and India sourcing pharmaceutical ingredients and conducting clinical trials, there's a growing demand for specialized temperature-controlled logistics solutions. The trend underscores the necessity for innovative thermal packaging technologies to ensure the safe transport of temperature-sensitive pharmaceutical products in the region.

COVID-19 Impact Analysis

The COVID-19 pandemic has affected the insulated packaging sector globally in a variety of ways. However the other together, the growing requirement for temperature-sensitive packaging to preserve the quality and safety of perishable commodities during transit and storage has led to a spike in demand for insulated packaging, especially in the food and pharmaceutical industries.

Due to lockdowns and social distancing measures, more people are turning to home delivery services and online shopping. The has increased the demand for insulated packaging to protect the integrity of goods, particularly those that require cold chain logistics, like fresh produce and vaccines. Due to the increase in demand, producers of insulated packaging have had to increase output to keep up with the expanding demands of the healthcare and e-commerce sectors.

The market for insulated packaging has also faced difficulties as a result of the pandemic The production and distribution of insulated packaging solutions have been disrupted by interruptions in global supply chains, including labor disruptions, logistical bottlenecks and raw material shortages.

Additionally, the demand for non-essential items has fluctuated due to economic concerns and decreased consumer spending in some countries. The has an impact on market segments for insulated packaging that are associated with sectors like luxury goods and specialty foods. Despite these difficulties, COVID-19 has generally had a beneficial effect on the market for insulated packaging.

Russia-Ukraine War Impact Analysis

The war between Russia and Ukraine has a big effect on regional trade dynamics and raw material supply chains, which affects the globally insulated packaging industry. Materials including polymers, resins and foams that are utilized in the manufacturing of insulated packaging are substantial products from both Russia and Ukraine.

Furthermore, Price volatility and shortages of essential raw materials might be experienced by insulated packaging producers globally if trade restrictions, transportation issues or geopolitical concerns cause disruptions in these supply chains. Moreover, the intensification of the war can lead to wider economic instability, impacting consumer assurance and manufacturing productivity in many areas and potentially decreasing the need for insulated packaging in multiple sectors.

By Product

• Boxes
• Containers
• Flexible Blanket
• Bags
• Wraps & Films
• Others

By Type

• Corrugated Cardboards
• Metal
• Glass
• Plastic
• Others

By Packaging Form

• Rigid
• Flexible
• Semi-Rigi

By Material

• Expanded Polystyrene Foam (EPS)
• Polyurethane Foam (PU)
• Polyethylene (PE)
• Polypropylene (PP)
• Others

By Application

• Cosmetics
• Pharmaceutical
• Food and Beverages
• Industrial
• Chemicals
• Electronics
• 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

• On September 18, 2023, Pluss Advanced Technologies launched two new temperature-controlled packaging solutions for the pharmaceutical industry: the Celsure XL Pallet Shipper series and the Celsure VIP Multi-Use Parcel Shipper series. The innovative solutions, manufactured in India, provide a superior alternative to traditional gel pack solutions and expensive leased containers. Utilizing Pluss's patented PCM technology, they ensure the safe and efficient transportation of temperature-sensitive pharmaceuticals in a sustainable manner.
• On September 02, 2021, Lifoam Industries, LLC, a division of LifeMade Products LLC, introduced the Envirocooler insulated shipper featuring Bioffex technology. The innovative technology merges a unique manufacturing process with plant-derived materials to produce a novel foam insulation entirely composed of renewable components.

Competitive Landscape

The major global players in the market include Sonoco Products Company, Sealed Air Corporation, DS Smith Plc, Cold Ice Inc., Cryopak, Marko Foam Products Inc., Thermal Packaging Solutions, The Wool Packaging Company Limited, Cold Chain Technologies and Sofrigam Group.

Why Purchase the Report?

• To visualize the global insulated packaging market segmentation based on product, type, packaging form, material, 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 insulated 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 insulated packaging market report would provide approximately 78 tables, 83 figures and 213 Pages.

Target Audience 2024

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