PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1603827
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1603827
Contract Packaging Market Forecasts to 2030 - Global Analysis By Material Type, Packaging Type, End User and By Geography
According to Stratistics MRC, the Global Contract Packaging Market is accounted for $75.037 billion in 2024 and is expected to reach $120.403 billion by 2030 growing at a CAGR of 8.2% during the forecast period. Contract packaging, also known as co-packing, is a business arrangement where a company outsources the packaging of its products to a third-party specialist, known as a contract packager. This service allows businesses to focus on their core competencies, such as product development, marketing, and sales, while leaving the packaging process to experts who have the necessary facilities, equipment, and labor. Contract packagers handle various tasks, including product filling, labeling, assembly, and even distribution, depending on the agreement. This approach offers flexibility, cost savings, and scalability for companies of all sizes, enabling them to meet changing demands without the need for heavy investment in packaging infrastructure.
Market Dynamics:
Driver:
Rising demand for convenience packaging
As consumer preferences shift toward convenience, portability, and ease of use, manufacturers are increasingly outsourcing packaging to specialized contract packaging companies. These companies offer expertise in designing and producing packaging solutions that cater to modern needs, such as single-serve, resealable, and compact formats. Convenience packaging often requires advanced technology and materials that ensure product freshness, protection, and ease of use, which contract packagers are well-equipped to handle. Additionally, the demand for eco-friendly and sustainable packaging options further fuels this trend, as many contract packaging firms are investing in innovative environmentally responsible solutions.
Restraint:
Fluctuations in the price of raw materials
Fluctuations in the price of raw materials are significantly impacting the contract packaging industry, causing challenges for both packaging companies and their clients. Raw materials such as plastics, metals, paper, and chemicals are essential for manufacturing packaging products, and their prices can be volatile due to factors like supply chain disruptions, geopolitical tensions, and global demand shifts. When raw material costs rise unexpectedly, packaging companies often face increased production expenses, which can erode their profit margins. This unpredictability also affects long-term contracts, as companies may find it difficult to lock in fixed pricing with clients.
Opportunity:
Growing popularity of innovative packaging solutions
The growing popularity of innovative packaging solutions is substantially enhancing contract packaging by offering businesses more versatile, cost-effective and sustainable options. As consumer demands for convenience, sustainability, and unique product experiences increase, contract packaging providers are adapting to meet these expectations. Innovations like eco-friendly materials, smart packaging with integrated RFID and QR codes, and customizable designs are allowing brands to stand out on the shelf while reducing environmental impact. Furthermore, the rise of e-commerce and direct-to-consumer models has pushed for packaging that not only protects products during shipping but also enhances the unboxing experience. Contract packagers are also leveraging automation and advanced technology, such as robotics and AI, to improve efficiency, reduce labor costs, and increase throughput.
Threat:
Labor shortages and skill gaps
The contract packaging industry is currently facing significant challenges due to labor shortages and skill gaps, which are hampering productivity and efficiency. As demand for outsourced packaging services increases, companies struggle to find skilled workers to meet the growing needs of the market. Many packaging operations require specialized knowledge in areas such as machinery operation, quality control, and supply chain management, but the workforce is increasingly underqualified or insufficient in number. The rise of automation technologies, while offering potential solutions, requires employees with advanced technical skills to operate and maintain these systems. The result is slower production cycles, higher operational costs, and missed opportunities for scaling up.
Covid-19 Impact:
The COVID-19 pandemic significantly impacted the contract packaging industry, creating both challenges and opportunities. Disruptions in global supply chains led to shortages of raw materials, packaging components, and labor, which affected production timelines and costs. Lockdowns, social distancing measures, and workforce health concerns also slowed operations and reduced manufacturing capacity. Fluctuating demand, particularly in consumer goods and healthcare products, created unpredictability, requiring companies to adapt quickly to shifting market needs. The pandemic also accelerated trends toward e-commerce and direct-to-consumer packaging solutions, prompting contract packagers to invest in flexible, scalable packaging systems.
The Paper & Paperboard segment is expected to be the largest during the forecast period
Paper & Paperboard segment is expected to dominate the largest share over the estimated period, driven by rising consumer demand for sustainable and eco-friendly packaging solutions. As businesses seek to align with sustainability goals, paper and paperboard are becoming preferred materials due to their recyclability, biodegradability, and reduced environmental impact compared to traditional plastic packaging. Furthermore, the transition to paper and paperboard not only reduces dependency on plastics but also enhances brand appeal, as consumers are becoming more environmentally conscious.
The Food & Beverages segment is expected to have the highest CAGR during the forecast period
Food & Beverages segment is estimated to grow at a rapid pace during the forecast period. Contract packaging, wherein third-party companies handle the packaging process for food and beverage brands, offers several advantages. These include cost efficiency, scalability, and access to specialized expertise in packaging technology and regulatory compliance. As consumer preferences shift toward convenience, sustainability, and innovation, food and beverage companies are seeking advanced packaging solutions that align with these trends. This includes the use of eco-friendly materials, tamper-proof designs, and packaging that extends shelf life while maintaining product integrity. Additionally, contract packagers offer flexibility in terms of packaging formats, ranging from single-serve options to bulk packaging, to cater to diverse customer needs.
Region with largest share:
North America region is poised to hold the largest share of the market throughout the extrapolated period. As consumer preferences evolve towards more personalized and sustainable products, companies are seeking packaging solutions that can easily adapt to fluctuating market conditions and production volumes. Contract packaging providers are responding by offering scalable services that allow businesses to quickly adjust packaging operations to meet seasonal demand, product innovations, or changing regulatory requirements. Moreover, the rise in e-commerce and direct-to-consumer (DTC) sales has further fueled the need for packaging solutions that are both efficient and customizable, reducing waste while ensuring faster turnaround times.
Region with highest CAGR:
Europe region is estimated to witness the highest CAGR during the projected time frame. As consumer demand for personalized and premium beauty products rises, brands seek efficient and cost-effective solutions to package their skincare and haircare items. Contract packaging providers in Europe are increasingly capitalizing on this trend by offering specialized services such as sustainable packaging, custom labeling, and eco-friendly materials. The rise of e-commerce and direct-to-consumer models also drives the need for innovative and attractive packaging solutions that enhance the product's appeal while ensuring functionality and convenience.
Key players in the market
Some of the key players in Contract Packaging market include Berry Global Inc, Clondalkin Group, Export Corporation, Hanchett Paper Company, Hoffmann Neopac AG, Jonco Industries, Mondi Group, Peoria Production Solutions, Sealed Air Corporation, Smurfit Kappa Group, Sonoco Products Company, Stamar Packaging, TPC Packaging Solutions and WestRock Company.
Key Developments:
In March 2024, PoppyPac, a UK-based, flexible packaging contract manufacturer, invested 675,000 USD in a new facility to add filling lines and boost production following a new contract win with an existing customer. This investment allowed them to increase supply to the market and expand their business. The company recruited additional operators, team leaders, and engineers to support the project and meet the growing demand across various product lines.
In February 2024, American Packaging Corporation (APC), a frontrunner in flexible packaging solutions, launched its latest RE Design for Recycle technology. This innovative packaging is specifically designed for frozen food items, including fruits and vegetables. With this addition, APC's RE sustainable packaging portfolio now boasts a diverse range of technologies, encompassing not only the new Design for Recycle but also the Design for Compost, Circular Content, Renewable Content, and various other Design for Recycle options.
In September 2023, Kinaxia Logistics Ltd., significantly expanded its contract packing operations by increasing the size of its cleanroom facilities at its site in Trafford Park, Manchester, UK. This expansion includes the creation of two additional cleanrooms, bringing the total to three cleanrooms spanning 5,000 sq ft.
Material Types Covered:
- Glass
- Metal
- Paper & Paperboard
- Plastic
- Other Material Types
Packaging Types Covered:
- Secondary Packaging
- Tertiary Packaging
- Primary Packaging
End Users Covered:
- E-commerce
- Food & Beverages
- Personal Care & Cosmetics
- Pharmaceutical
- Other End Users
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 2022, 2023, 2024, 2026, and 2030
- 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
Table of Contents
1 Executive Summary
2 Preface
- 2.1 Abstract
- 2.2 Stake Holders
- 2.3 Research Scope
- 2.4 Research Methodology
- 2.4.1 Data Mining
- 2.4.2 Data Analysis
- 2.4.3 Data Validation
- 2.4.4 Research Approach
- 2.5 Research Sources
- 2.5.1 Primary Research Sources
- 2.5.2 Secondary Research Sources
- 2.5.3 Assumptions
3 Market Trend Analysis
- 3.1 Introduction
- 3.2 Drivers
- 3.3 Restraints
- 3.4 Opportunities
- 3.5 Threats
- 3.6 End User Analysis
- 3.7 Emerging Markets
- 3.8 Impact of Covid-19
4 Porters Five Force Analysis
- 4.1 Bargaining power of suppliers
- 4.2 Bargaining power of buyers
- 4.3 Threat of substitutes
- 4.4 Threat of new entrants
- 4.5 Competitive rivalry
5 Global Contract Packaging Market, By Material Type
- 5.1 Introduction
- 5.2 Glass
- 5.3 Metal
- 5.4 Paper & Paperboard
- 5.5 Plastic
- 5.6 Other Material Types
6 Global Contract Packaging Market, By Packaging Type
- 6.1 Introduction
- 6.2 Secondary Packaging
- 6.3 Tertiary Packaging
- 6.4 Primary Packaging
7 Global Contract Packaging Market, By End User
- 7.1 Introduction
- 7.2 E-commerce
- 7.3 Food & Beverages
- 7.4 Personal Care & Cosmetics
- 7.5 Pharmaceutical
- 7.6 Other End Users
8 Global Contract Packaging Market, By Geography
- 8.1 Introduction
- 8.2 North America
- 8.2.1 US
- 8.2.2 Canada
- 8.2.3 Mexico
- 8.3 Europe
- 8.3.1 Germany
- 8.3.2 UK
- 8.3.3 Italy
- 8.3.4 France
- 8.3.5 Spain
- 8.3.6 Rest of Europe
- 8.4 Asia Pacific
- 8.4.1 Japan
- 8.4.2 China
- 8.4.3 India
- 8.4.4 Australia
- 8.4.5 New Zealand
- 8.4.6 South Korea
- 8.4.7 Rest of Asia Pacific
- 8.5 South America
- 8.5.1 Argentina
- 8.5.2 Brazil
- 8.5.3 Chile
- 8.5.4 Rest of South America
- 8.6 Middle East & Africa
- 8.6.1 Saudi Arabia
- 8.6.2 UAE
- 8.6.3 Qatar
- 8.6.4 South Africa
- 8.6.5 Rest of Middle East & Africa
9 Key Developments
- 9.1 Agreements, Partnerships, Collaborations and Joint Ventures
- 9.2 Acquisitions & Mergers
- 9.3 New Product Launch
- 9.4 Expansions
- 9.5 Other Key Strategies
10 Company Profiling
- 10.1 Berry Global Inc
- 10.2 Clondalkin Group
- 10.3 Export Corporation
- 10.4 Hanchett Paper Company
- 10.5 Hoffmann Neopac AG
- 10.6 Jonco Industries
- 10.7 Mondi Group
- 10.8 Peoria Production Solutions
- 10.9 Sealed Air Corporation
- 10.10 Smurfit Kappa Group
- 10.11 Sonoco Products Company
- 10.12 Stamar Packaging
- 10.13 TPC Packaging Solutions
- 10.14 WestRock Company
List of Tables
- Table 1 Global Contract Packaging Market Outlook, By Region (2022-2030) ($MN)
- Table 2 Global Contract Packaging Market Outlook, By Material Type (2022-2030) ($MN)
- Table 3 Global Contract Packaging Market Outlook, By Glass (2022-2030) ($MN)
- Table 4 Global Contract Packaging Market Outlook, By Metal (2022-2030) ($MN)
- Table 5 Global Contract Packaging Market Outlook, By Paper & Paperboard (2022-2030) ($MN)
- Table 6 Global Contract Packaging Market Outlook, By Plastic (2022-2030) ($MN)
- Table 7 Global Contract Packaging Market Outlook, By Other Material Types (2022-2030) ($MN)
- Table 8 Global Contract Packaging Market Outlook, By Packaging Type (2022-2030) ($MN)
- Table 9 Global Contract Packaging Market Outlook, By Secondary Packaging (2022-2030) ($MN)
- Table 10 Global Contract Packaging Market Outlook, By Tertiary Packaging (2022-2030) ($MN)
- Table 11 Global Contract Packaging Market Outlook, By Primary Packaging (2022-2030) ($MN)
- Table 12 Global Contract Packaging Market Outlook, By End User (2022-2030) ($MN)
- Table 13 Global Contract Packaging Market Outlook, By E-commerce (2022-2030) ($MN)
- Table 14 Global Contract Packaging Market Outlook, By Food & Beverages (2022-2030) ($MN)
- Table 15 Global Contract Packaging Market Outlook, By Personal Care & Cosmetics (2022-2030) ($MN)
- Table 16 Global Contract Packaging Market Outlook, By Pharmaceutical (2022-2030) ($MN)
- Table 17 Global Contract Packaging Market Outlook, By Other End Users (2022-2030) ($MN)
- Table 18 North America Contract Packaging Market Outlook, By Country (2022-2030) ($MN)
- Table 19 North America Contract Packaging Market Outlook, By Material Type (2022-2030) ($MN)
- Table 20 North America Contract Packaging Market Outlook, By Glass (2022-2030) ($MN)
- Table 21 North America Contract Packaging Market Outlook, By Metal (2022-2030) ($MN)
- Table 22 North America Contract Packaging Market Outlook, By Paper & Paperboard (2022-2030) ($MN)
- Table 23 North America Contract Packaging Market Outlook, By Plastic (2022-2030) ($MN)
- Table 24 North America Contract Packaging Market Outlook, By Other Material Types (2022-2030) ($MN)
- Table 25 North America Contract Packaging Market Outlook, By Packaging Type (2022-2030) ($MN)
- Table 26 North America Contract Packaging Market Outlook, By Secondary Packaging (2022-2030) ($MN)
- Table 27 North America Contract Packaging Market Outlook, By Tertiary Packaging (2022-2030) ($MN)
- Table 28 North America Contract Packaging Market Outlook, By Primary Packaging (2022-2030) ($MN)
- Table 29 North America Contract Packaging Market Outlook, By End User (2022-2030) ($MN)
- Table 30 North America Contract Packaging Market Outlook, By E-commerce (2022-2030) ($MN)
- Table 31 North America Contract Packaging Market Outlook, By Food & Beverages (2022-2030) ($MN)
- Table 32 North America Contract Packaging Market Outlook, By Personal Care & Cosmetics (2022-2030) ($MN)
- Table 33 North America Contract Packaging Market Outlook, By Pharmaceutical (2022-2030) ($MN)
- Table 34 North America Contract Packaging Market Outlook, By Other End Users (2022-2030) ($MN)
- Table 35 Europe Contract Packaging Market Outlook, By Country (2022-2030) ($MN)
- Table 36 Europe Contract Packaging Market Outlook, By Material Type (2022-2030) ($MN)
- Table 37 Europe Contract Packaging Market Outlook, By Glass (2022-2030) ($MN)
- Table 38 Europe Contract Packaging Market Outlook, By Metal (2022-2030) ($MN)
- Table 39 Europe Contract Packaging Market Outlook, By Paper & Paperboard (2022-2030) ($MN)
- Table 40 Europe Contract Packaging Market Outlook, By Plastic (2022-2030) ($MN)
- Table 41 Europe Contract Packaging Market Outlook, By Other Material Types (2022-2030) ($MN)
- Table 42 Europe Contract Packaging Market Outlook, By Packaging Type (2022-2030) ($MN)
- Table 43 Europe Contract Packaging Market Outlook, By Secondary Packaging (2022-2030) ($MN)
- Table 44 Europe Contract Packaging Market Outlook, By Tertiary Packaging (2022-2030) ($MN)
- Table 45 Europe Contract Packaging Market Outlook, By Primary Packaging (2022-2030) ($MN)
- Table 46 Europe Contract Packaging Market Outlook, By End User (2022-2030) ($MN)
- Table 47 Europe Contract Packaging Market Outlook, By E-commerce (2022-2030) ($MN)
- Table 48 Europe Contract Packaging Market Outlook, By Food & Beverages (2022-2030) ($MN)
- Table 49 Europe Contract Packaging Market Outlook, By Personal Care & Cosmetics (2022-2030) ($MN)
- Table 50 Europe Contract Packaging Market Outlook, By Pharmaceutical (2022-2030) ($MN)
- Table 51 Europe Contract Packaging Market Outlook, By Other End Users (2022-2030) ($MN)
- Table 52 Asia Pacific Contract Packaging Market Outlook, By Country (2022-2030) ($MN)
- Table 53 Asia Pacific Contract Packaging Market Outlook, By Material Type (2022-2030) ($MN)
- Table 54 Asia Pacific Contract Packaging Market Outlook, By Glass (2022-2030) ($MN)
- Table 55 Asia Pacific Contract Packaging Market Outlook, By Metal (2022-2030) ($MN)
- Table 56 Asia Pacific Contract Packaging Market Outlook, By Paper & Paperboard (2022-2030) ($MN)
- Table 57 Asia Pacific Contract Packaging Market Outlook, By Plastic (2022-2030) ($MN)
- Table 58 Asia Pacific Contract Packaging Market Outlook, By Other Material Types (2022-2030) ($MN)
- Table 59 Asia Pacific Contract Packaging Market Outlook, By Packaging Type (2022-2030) ($MN)
- Table 60 Asia Pacific Contract Packaging Market Outlook, By Secondary Packaging (2022-2030) ($MN)
- Table 61 Asia Pacific Contract Packaging Market Outlook, By Tertiary Packaging (2022-2030) ($MN)
- Table 62 Asia Pacific Contract Packaging Market Outlook, By Primary Packaging (2022-2030) ($MN)
- Table 63 Asia Pacific Contract Packaging Market Outlook, By End User (2022-2030) ($MN)
- Table 64 Asia Pacific Contract Packaging Market Outlook, By E-commerce (2022-2030) ($MN)
- Table 65 Asia Pacific Contract Packaging Market Outlook, By Food & Beverages (2022-2030) ($MN)
- Table 66 Asia Pacific Contract Packaging Market Outlook, By Personal Care & Cosmetics (2022-2030) ($MN)
- Table 67 Asia Pacific Contract Packaging Market Outlook, By Pharmaceutical (2022-2030) ($MN)
- Table 68 Asia Pacific Contract Packaging Market Outlook, By Other End Users (2022-2030) ($MN)
- Table 69 South America Contract Packaging Market Outlook, By Country (2022-2030) ($MN)
- Table 70 South America Contract Packaging Market Outlook, By Material Type (2022-2030) ($MN)
- Table 71 South America Contract Packaging Market Outlook, By Glass (2022-2030) ($MN)
- Table 72 South America Contract Packaging Market Outlook, By Metal (2022-2030) ($MN)
- Table 73 South America Contract Packaging Market Outlook, By Paper & Paperboard (2022-2030) ($MN)
- Table 74 South America Contract Packaging Market Outlook, By Plastic (2022-2030) ($MN)
- Table 75 South America Contract Packaging Market Outlook, By Other Material Types (2022-2030) ($MN)
- Table 76 South America Contract Packaging Market Outlook, By Packaging Type (2022-2030) ($MN)
- Table 77 South America Contract Packaging Market Outlook, By Secondary Packaging (2022-2030) ($MN)
- Table 78 South America Contract Packaging Market Outlook, By Tertiary Packaging (2022-2030) ($MN)
- Table 79 South America Contract Packaging Market Outlook, By Primary Packaging (2022-2030) ($MN)
- Table 80 South America Contract Packaging Market Outlook, By End User (2022-2030) ($MN)
- Table 81 South America Contract Packaging Market Outlook, By E-commerce (2022-2030) ($MN)
- Table 82 South America Contract Packaging Market Outlook, By Food & Beverages (2022-2030) ($MN)
- Table 83 South America Contract Packaging Market Outlook, By Personal Care & Cosmetics (2022-2030) ($MN)
- Table 84 South America Contract Packaging Market Outlook, By Pharmaceutical (2022-2030) ($MN)
- Table 85 South America Contract Packaging Market Outlook, By Other End Users (2022-2030) ($MN)
- Table 86 Middle East & Africa Contract Packaging Market Outlook, By Country (2022-2030) ($MN)
- Table 87 Middle East & Africa Contract Packaging Market Outlook, By Material Type (2022-2030) ($MN)
- Table 88 Middle East & Africa Contract Packaging Market Outlook, By Glass (2022-2030) ($MN)
- Table 89 Middle East & Africa Contract Packaging Market Outlook, By Metal (2022-2030) ($MN)
- Table 90 Middle East & Africa Contract Packaging Market Outlook, By Paper & Paperboard (2022-2030) ($MN)
- Table 91 Middle East & Africa Contract Packaging Market Outlook, By Plastic (2022-2030) ($MN)
- Table 92 Middle East & Africa Contract Packaging Market Outlook, By Other Material Types (2022-2030) ($MN)
- Table 93 Middle East & Africa Contract Packaging Market Outlook, By Packaging Type (2022-2030) ($MN)
- Table 94 Middle East & Africa Contract Packaging Market Outlook, By Secondary Packaging (2022-2030) ($MN)
- Table 95 Middle East & Africa Contract Packaging Market Outlook, By Tertiary Packaging (2022-2030) ($MN)
- Table 96 Middle East & Africa Contract Packaging Market Outlook, By Primary Packaging (2022-2030) ($MN)
- Table 97 Middle East & Africa Contract Packaging Market Outlook, By End User (2022-2030) ($MN)
- Table 98 Middle East & Africa Contract Packaging Market Outlook, By E-commerce (2022-2030) ($MN)
- Table 99 Middle East & Africa Contract Packaging Market Outlook, By Food & Beverages (2022-2030) ($MN)
- Table 100 Middle East & Africa Contract Packaging Market Outlook, By Personal Care & Cosmetics (2022-2030) ($MN)
- Table 101 Middle East & Africa Contract Packaging Market Outlook, By Pharmaceutical (2022-2030) ($MN)
- Table 102 Middle East & Africa Contract Packaging Market Outlook, By Other End Users (2022-2030) ($MN)
