Anticipated Surge in the Industrial Packaging Industry for 2024
As we stand on the precipice of a new era, the global packaging market is gearing up for substantial growth over the next five years. According to Smithers’ latest market report, ‘The Future of Global Packaging to 2024,‘ we can expect the packaging market’s value to soar from $917 billion in 2019 to an impressive $1.05 trillion by 2024, reflecting a compound annual growth rate (CAGR) of 2.8%.
In this global packaging odyssey, Asia emerges as the vanguard of world packaging consumption, closely followed by North America and Western Europe. The Asian market’s prominence underscores the region’s pivotal role in shaping the trajectory of the packaging industry on a global scale.
Smithers’ insightful analysis highlights several key trends that will propel the global packaging market forward in the next five years:
The world is increasingly focused on sustainability and environmental concerns, particularly in Western Europe. The push for sustainability is steering the industry away from non-recyclable plastics towards more environmentally friendly materials. Expect a surge in demand for easily recyclable and sustainable options such as paper and board, recycled PET (rPET), and bioplastics. This shift will also bring about a reduction in excessive secondary packaging.
With rising real incomes in Asia and other developing regions, there’s a predicted uptick in spending on packaged products. This includes increased consumption of food, luxury items, and cosmetics, as consumers with higher incomes seek convenience and quality in their purchases.
Flexible packaging is set to dominate, gradually replacing traditional packaging formats. High-barrier films and retort stand-up pouches are expected to challenge rigid pack formats like metal tins and glass jars, particularly in the realm of food products.
Consumer concerns for health and wellness will significantly impact the packaging market. The healthcare packaging sector is expected to outpace pharmaceutical consumption as the demand for convenient and secure packaging, including child-resistant closures and tamper-evident features, continues to rise.
The modern consumer’s quest for convenience will reshape packaging consumption. This shift is anticipated to manifest in increased consumption of microwavable ready meals, more portable packaging, on-the-go consumption packaging, and the incorporation of convenience features such as easy-open and reseal components.
Smithers’ comprehensive report, ‘The Future of Global Packaging to 2024,’ serves as a compass for navigating the evolving trends in the packaging market. With a data set covering 2014–2019 and forecasts spanning 2020–2024, the report delves into the nuances of packaging material, end-use application, and geographic market segments. Boasting over 700 data tables and figures, the report paints a vivid picture of the current and future demand in the global packaging market.
The industrial packaging industry is set to embark on a transformative journey, driven by sustainability, rising incomes, flexibility, health consciousness, and the unwavering demand for convenience. As we navigate this exciting terrain, the anticipated growth figures for 2024 underscore the industry’s adaptability and resilience in the face of evolving global dynamics. The future of industrial packaging is not just a projection; it’s a promising reality waiting to be unwrapped.