The Global Sustainable Packaging Market is estimated to be valued at US$ 262.7 Bn in 2023 and is expected to exhibit a CAGR of 7.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Sustainable packaging involves developing and using environmentally friendly packaging solutions that reduce waste and use of finite natural resources. Sustainable packaging includes raw materials and processes that are safer for the environment and help conserve energy and natural resources over the long run.
Market key trends:
One of the key drivers boosting the growth of sustainable packaging market is the implementation of stringent government regulations regarding the usage of plastics. Governments across various countries are enforcing bans and restrictions on single-use plastic packaging to curb pollution. For instance, the European Union has enacted regulations to make all plastic packaging recyclable or reusable by 2030. This is compelling packaging manufacturers to increasingly invest in sustainable packaging solutions made from renewably sourced materials to comply with the new standards.
Strength: Sustainable packaging solutions help companies meet sustainability goals and appeal to environmentally conscious consumers. They are made from recycled or renewable materials that reduce waste.
Weakness: Sustainable packaging options tend to be more expensive than traditional packaging materials. Customers may not be willing to pay higher prices for eco-friendly options.
Opportunity: Governments worldwide are implementing stricter regulations to curb plastic pollution and promote circular economy. This creates an opportunity for sustainable packaging companies to penetrate new markets.
Threats: Alternative packaging styles like no-packaging or packaging-free delivery models pose a threat. Economic recession can reduce spending on sustainable options due to their higher costs compared to traditional materials.
The Global Sustainable Packaging Market is expected to witness high growth, exhibiting CAGR of 7.5% over the forecast period, due to increasing consumer awareness about environmental issues and stringent government regulations on plastic waste. Major brands and retailers are committed to sourcing sustainable packaging solutions to appeal to conscious consumers and meet their recycling targets.
Regional analysis: North America dominates the global sustainable packaging market currently due to stringent regulations and presence of major brands committed to sustainability goals. Asia Pacific is expected to grow at the fastest pace during the forecast period driven by developing economies like India and China implementing plastic waste management rules.
Key players operating in the sustainable packaging market are Amcor Limited, Westrock Company, TetraPak International S.A., Sonoco Products Company, Smurfit Kappa Group PLC, Sealed Air Corporation, Mondi PLC, Huhtamaki OYJ, BASF SE, Ardagh Group S.A, Ball Corporation, Crown Holdings, Inc., DS Smith Plc, Genpak LLC, and International Paper Company. These players are focused on developing innovative materials and solutions through collaborations and acquisitions.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it