by The Next Generation Packaging Market is estimated to be valued at US$ 54.84 Bn in 2023 and is expected to exhibit a CAGR of 7.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The next generation packaging market comprises packaging solutions that employ innovative materials and technologies to enhance product safety, shelf life and minimize environmental impact. These include active and intelligent packaging, sustainable packaging made from bio-based materials as well as smart and connected packaging integrated with Internet of Things (IoT) technologies. Products in the food & beverage, pharmaceutical and personal care industries widely use next generation packaging solutions to improve product quality, safety and traceability throughout the supply chain.
Market Dynamics:
Two major drivers contributing to the growth of the next generation packaging market are rising demand for sustainable packaging from consumers and regulations mandating use of eco-friendly materials. There is increasing consumer awareness about health and environmental impact of packaging waste. This has propelled brands to shift focus towards sustainable solutions made from recycled, bio-based and recyclable materials. Moreover, stringent regulations such as EU Single-Use Plastics Directive are compelling packaging manufacturers to reduce dependency on single-use plastics and adopt renewable and recyclable alternatives. Active and intelligent packaging with features like oxygen scavenging, moisture control and freshness indicators also drive the market as they help extend product shelf life without using preservatives and additives. Higher cost of next generation materials and technologies compared to traditional packaging poses a challenge for widespread adoption.
Segment Analysis
The next generation packaging market can be segmented into active packaging, intelligent packaging, and modified atmospheric packaging. The modified atmospheric packaging segment currently dominates the market and is expected to continue its dominance over the forecast period. Modified atmospheric packaging helps extend the shelf life of products by controlling the type of gases surrounding the product, thereby reducing spoilage and wastage.
PEST Analysis
Political: Stringent government regulations regarding the use of materials and production processes are driving growth in innovations for more sustainable packaging solutions.
Economic: The rising disposable incomes and spending capabilities are increasing the demand for convenient, longer shelf-life products propelling the next generation packaging market growth.
Social: Growing health awareness and changing consumer preferences toward eco-friendly packages are favoring the use of active and intelligent packaging technologies.
Technological: Advances in materials, printing, and detection technologies are facilitating the development and commercialization of active and intelligent packaging with improved functionality.
Key Takeaways
Global Next Generation Packaging Market Demand is expected to witness high growth, exhibiting CAGR of 7.1% over the forecast period, due to increasing demand for sustainable and long shelf-life packaging from food and beverage industries.
The Asia Pacific region is expected to dominate the market and register the highest CAGR during the forecast period. This can be attributed to the growing populations, rising incomes, and increasing health consciousness in emerging countries such as China and India.
Key players operating in the next generation packaging market include Amcor Limited, WestRock Company, Sonoco Products Company, Sealed Air Corporation, Stora Enso Oyj, Bemis Company, Inc., MULTIVAC, WS Packaging Group, Inc., Active Packaging Ltd., and ULMA Packaging, S.Coop. These players are focusing on new product launches and strategic collaborations to strengthen their market position.
For instance, in January 2023, Sonoco Products Company partnered with Ultraminder to develop next-generation blister packaging integrated with sensors. The packaging will provide real-time medicine information to patients and physicians for improving compliance. Similarly, Amcor launched light-blocking aseptic packaging for liquid dairy in 2021.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
