Next generation packaging refers to innovative packaging technologies and materials that enhance product safety, increase shelf life and provide key consumer and supply chain benefits through integration of smart and active features. Smart packaging is gaining high traction as it enables incorporation of indicators to monitor freshness, tampering and traces of contamination. RFID tags and time-temperature indicators are widely used in food and pharmaceutical packaging. The packaging is augmented with printed electronics, sensors and communication systems to track real-time logistics conditions and product vitals. Technologies like edible films, antimicrobial agents and controlled atmosphere packaging help extend shelf life naturally.
The Global Next Generation Packaging Market Size is estimated to be valued at US$ 135 billion in 2023 and is expected to exhibit a CAGR of 11% over the forecast period 2023-2033, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
As highlighted in the heading, advancements in smart packaging technologies is a major driver propelling the next generation packaging market growth. Technologies like RFID tags, sensors, printed electronics and interactive labels are enabling packaging to become intelligent and interactive. They allow monitoring of products post-production and help optimize supply chain operations. Another key driver is the increasing focus on sustainable packaging solutions. Next generation materials like bioplastics and edible films provide eco-friendly alternatives to conventional plastics and help reduce carbon footprint of packaging industry. Their ability to retain quality for longer durations also minimizes food wastage. These developments are well-aligned with the global sustainability initiatives to promote circular economy.
Segment Analysis
Next Generation Packaging is dominated by active and intelligent packaging sub-segment. This is because active and intelligent packaging helps in increasing the shelf life of products by continuously monitoring spoilage and releasing preservatives when needed. It also alerts customers about any damage or contamination through indicators printed on the package.
PEST Analysis
Political: Governments across countries are increasingly supporting innovations in packaging to reduce wastage and promote sustainability. They provide funding and relax regulations for companies developing green packaging solutions.
Economic: Rising disposable incomes are fueling demand for high quality and longer lasting packaged goods. This is driving companies to invest in next generation packaging technologies to meet consumer needs. At the same time, sustainable packaging helps reduce costs throughout the supply chain.
Social: There is growing consumer awareness about environmental protection. People prefer products packaged in materials that generate less waste and have lower carbon footprint. Next generation solutions address these changing social preferences.
Technological: Advanced technologies like active and intelligent indicators, radiofrequency identification (RFID) and smart labels are enabling real-time tracking and monitoring of packages across the supply chain. Digital printing, nanotechnology and bio-based materials are further expanding technological opportunities.
Key Takeaways
The global Next Generation Packaging market is expected to witness high growth over the forecast period.
Regional analysis: North America accounts for around 40% market share currently led by the US and Canada. Stringent laws restricting use of plastics and promoting recycling/reusability are driving manufacturers to invest in eco-friendly packaging technologies here.
Key players operating in the Next Generation Packaging market are Amcor PLC, Tetra Pak, WestRock Company, Sonoco Products Company, Bemis Company Inc.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it