by Market Overview:
Next generation packaging refers to innovative packaging solutions that provide enhanced product safety, shelf life and convenience. These include active, intelligent and sustainable packaging materials made from bio-based and recyclable substances. Key applications of next generation packaging include food, beverages, pharmaceuticals and consumer goods. Sustainable and active packaging helps extend shelf life, monitor freshness, and reduce food wastage.
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 Dynamics:
Two key drivers are influencing the next generation packaging market growth. Firstly, the growing focus towards eco-friendly and sustainable packaging amid rising environmental concerns is driving the demand for bio-based and recyclable solutions. Secondly, increasing demand for frozen, chilled and perishable foods has augmented the need for intelligent/smart packaging techniques that utilizes indicators, sensors and integrated electronic agents to monitor freshness and track distribution networks. The need for convenience and longer shelf-life across industries has boosted innovations in active and intelligent packaging domains.
Segment Analysis
The global next generation packaging market is segmented into active, intelligent, and modified atmosphere packaging. The modified atmosphere packaging segment dominated the global market in 2019 due to rising demand for meat, fish, and other perishable food products. It utilizes a combination of gases such as oxygen, carbon dioxide, and nitrogen to extend the shelf life of products by slowing or stopping the growth of spoilage microorganisms and inhibiting oxidization.
PEST Analysis
Political: Stringent regulations regarding food safety and reduction of food wastages have boosted demand. The FDA actively monitors food quality and packaging standards.
Economic: Emerging economies like India and China offer high growth potential due to rising disposable incomes. Meanwhile, high R&D costs pose challenges.
Social: Increasing health consciousness has popularized packaged foods with enhanced preservation. However, environmental concerns regarding material disposal persist.
Technological: Adoption of technologies like active and intelligent packaging enables real-time monitoring. Blockchain assists traceability. However, technical challenges in developing smart indicators remain.
Key Takeaways
The Global Next Generation Packaging Market Size was valued at US$ 54.84 Bn in 2023 and is expected to reach US$ 94.16 Bn by 2030, expanding at a CAGR of 7.1% during the forecast period. Factors such as increasing innovations to reduce food wastage and longer product shelf life are fueling the market.
Regional analysis: Asia Pacific dominated the market in 2019 led by India and China. This region is projected to continue its dominance, expanding at the fastest CAGR over the forecast period. Availability of raw materials and low-cost manufacturing have boosted next generation packaging adoption.
Key players: Key players operating in the next generation packaging market are 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 focus on new product launches and facility expansion to enhance their market share. For instance, Amcor upgraded its aluminum processing facility in Canada to broaden capabilities for recycling programs in 2021.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
