The global flexible packaging market has witnessed a quick growth in the past few years and is expected to grow at an even faster pace during the next five years. The market was valued at $156.5 billion in 2017 and is projected to reach $206.6 billion by 2022, growing at a CAGR of 5.5%. The food and beverage industry is driving the growth of the market, which is witnessing huge demand from Asia-Pacific region; India and China in particular, where there is a rising demand for processed food.
The Global Flexible Packaging Market was worth $156.5 billion in 2017 and estimated to be growing at a CAGR of 5.5%, to reach $206.6 billion by 2022
Flexible packaging is a type of packaging that is used for food and non-food products. It is made up of a variety of materials, such as paper, plastic, and aluminum. Flexible packaging does not have rigid sides like other forms of packaging such as glass bottles or metal cans. There are about nine types of flexible packaging categories:
Stand Up Pouches (SUS)
Plastic Bottles (PET/HDPE)
Paperboard Containers (PBC)
The flexible packaging market was worth $156.5 billion in 2017 and estimated to be growing at a CAGR of 5.5%, to reach $206.6 billion by 2022
Rising demand from the food and beverage industry is driving the growth of the market.
The food and beverage industry is the largest end-user segment for flexible packaging. The growth in the global food and beverage industry is driven by increasing disposable income, changing lifestyles, new product launches, and a rise in demand for convenience foods. Factors such as rising disposable income; growing awareness about nutrition and health; increased urbanization; changing lifestyles; rising population across regions such as Asia Pacific, North America, Europe & MEA (Middle East & Africa), Latin America & Caribbean (LAC), and Indian subcontinent are also driving the demand for flexible packaging products.
Flexible packaging manufacturers are focusing on developing innovative products with superior quality to meet the demands of food manufacturers across various geographies. The market players have introduced new technologies that provide options like paperboard lamination (PBL) or coextrusion film technology to increase performance efficiency along with providing more flexibility in terms of design customization capabilities such as printing on both sides or adding colors based on customer needs. Arista Packaging has the capabilities to produce food and beverage packaging!
The biggest challenges for flexible packaging are the competition from rigid packaging companies, as well as resistance from consumers because of the loss of transparency in some cases, with flexible packaging.
Competing against rigid packaging companies is the biggest challenge for flexible packaging manufacturers. Since the demand for flexible packaging has been increasing in recent years, some rigid package manufacturers have started making a shift towards flexible packages.
Another challenge faced by flexible packaging manufacturers is resistance from consumers due to the loss of transparency in some cases, with flexible packaging. Consumers prefer to see what they're buying and how much it costs, which isn't possible with some types of flexible packages like bags or wraps; however, if they can't see what's inside they may feel like they're losing out on quality control or value-added services such as freshness indicators (e.g., plump tomatoes).
Asia-Pacific is the fastest growing market due to increasing demand for processed food and its growing popularity in developing economies like India and China.
In the last few years, the demand for processed food has increased significantly. This trend is expected to continue as more people move towards industrialized agriculture and prefer ready-to-eat foods. Asia-Pacific is the fastest growing market due to increasing demand for processed food and its growing popularity in developing economies like India and China.
The global flexible packaging market is growing at a fast pace
The global flexible packaging market is growing at a fast pace and is projected to reach USD 4.20 billion by 2021 from USD 3.10 billion in 2017, at a CAGR of 5.2%.
Flexible packaging is gaining momentum as compared to rigid packaging due to its ability to reduce food spoilage, which allows for increased shelf life and better freshness of foods & beverages. Additionally, it also offers other advantages such as easy transportation and handling; product protection; eco-friendliness; lower production costs; higher productivity etc., making them more appealing than conventional materials such as glass or metallic cans used in rigid packaging applications.
We have presented the global flexible packaging market to you in this article. We hope it helps you understand the industry better and make informed decisions. To order flexible packaging or learn more feel free to contact us.