The Industrial Packaging Market is estimated to be valued at US$ 72400.24 Mn or in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Industrial packaging refers to rigid and flexible containers used for storing, protecting, handling, transporting and delivering industrial goods and raw materials. It includes pallets, crates, drums, IBCs, bags, boxes and others. Industries such as automotive, electronics, healthcare, construction and chemicals utilize industrial packaging solutions for safe transportation of goods during manufacturing, warehousing and distribution. They provide effective protection against damage, moisture, dust and ensure maximum shelf life of products. Growing industrialization and global trade has fueled the demand for reliable and sustainable industrial packaging worldwide.
Market Dynamics:
The industrial packaging market is primarily driven by rapid growth of e-commerce industry globally. Expanding online retail sector has increased the demand for safe delivery of goods to customers. This has accelerated the usage of protective packaging solutions such as boxes, cushioning and containers. Secondly, stringent government regulations regarding usage of environment friendly packaging materials is also propelling market revenue. Regulatory agencies across regions have implemented policies to ban usage of harmful chemicals and single-use plastics in industrial packaging. This has surged the adoption of sustainable alternatives like recycled paper, bio-plastics and green chemicals in manufacturing processes.
Segment Analysis
The industrial packaging market is dominated by the metal segment as metals such as steel and aluminum are extensively used for manufacturing drums, barrels, pails, and bulk containers. Metal packaging provides excellent barrier properties, durability, lightweight, and resistance to moisture, thereby finding widespread application in the packaging of industrial goods such as chemicals, oil & lubricants, food & beverages, and others. The metal segment accounted for over 30% of the overall industrial packaging market share in 2022.
PEST Analysis
Political: Stringent regulations regarding the use of plastics in industrial packaging is driving the adoption of recyclable and reusable packaging materials. Many governments have imposed bans on single-use plastic packaging to curb pollution.
Economic: The growth of end-use industries such as chemicals, pharmaceuticals, industrial machinery, automotive is fueling the demand for secure industrial packaging solutions.
Social: Rising awareness about sustainable packaging is influencing consumers and brand owners to use eco-friendly packaging made from recycled materials.
Technological: Advancements in material science and manufacturing technologies have led to the development of lightweight and high-strength packaging, reducing supply chain costs. Various companies are investing in automation and robotics to improve production efficiency.
Key Takeaways
The Global Industrial Packaging Market Size is expected to witness high growth, exhibiting CAGR of 5.4% over the forecast period, due to increasing demand from the chemicals industry.
The Asia Pacific dominated the industrial packaging market in 2022 with over 35% share, owing to the presence of large manufacturing bases in China, India, and Southeast Asian countries. The growth of the automotive and electronics industries in the region is catalyzing market expansion.
Key players operating in the industrial packaging market are Smurfit Kappa Group, Cascades Inc., Mauser Group B.V., Grief Inc., International Paper, Nefab Group, Schutz, Sonoco, AmeriGlobe, and B.A.G. Corp. Smurfit Kappa Group specializes in paper-based packaging solutions and holds a leading market position globally. Cascades Inc. offers sustainable reusable packaging through its asset-light business model.
The global industrial packaging market size for 2023 is estimated to be US$ 72400.24 Mn. Rising e-commerce activities are also augmenting the demand for secure industrial packaging from the logistics industry. Adoption of Industry 4.0 trends such as IoT, 3D printing, and robotics could open new growth avenues for market players.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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