Future directions in packaging services sustainability, design and automation

The global packaging services market size is projected to grow from USD 48.37-billion in 2023 to USD 116.25-billion by 2033. This growth represents an annual CAGR of 9.34% over the decade from 2023 to 2033. A report by Towards Packaging.

18 Jun 2024 | By Abhay Avadhani

The food and beverage industry accounts for a substantial share of the packaging services market, driven by the demand for convenient, hygienic, and sustainable packaging solutions

The increase in focus on sustainable packaging coupled with the use of biodegradable and recyclable materials is expected to contribute to the growth of the market during the forecast period. The growing adoption of automation and digital technologies as well as the surge in smart packaging options is also anticipated to contribute to the growth of the market in the years to come.

It is anticipated that customers are going to continue demand for a more convenient and time-efficient consuming experience. Consumers are frequently refusing to make a trade-off for other benefits, like sustainability, leading to high and rising packaging requirements.

Reusable packaging, such as totes, is gaining popularity among consumers as subscription orders rise.

New features and traits for the Omni channel environment will give rise to new kinds of packaging, such as handling in the supply chain, customer-focused unboxing, easy-to-pack and individual packages that can survive a certain amount of the harsh managing of shipping crates and outers.

Ecommerce companies are recognising the role of high-quality packaging in reducing operational costs and enhancing customer satisfaction.

Despite the growth opportunities, the packaging industry faces several challenges, primarily related to supply chain vulnerabilities. Raw material sourcing poses a hurdle, with fluctuations in supply impacting production timelines and costs. The surge in demand for recyclable and sustainable packaging materials has exacerbated these challenges, leading to supply shortages and price volatility.

For instance, materials like polyethylene and cardboard witness frequent price hikes due to supply-demand imbalances, further compounded by the specifications required for packaging customisation. These complexities in the supply chain underscore the need for robust inventory management and strategic sourcing practices within the packaging services sector.

The advent of digital technologies like the Internet of Things (IoT), presents opportunities for the packaging industry. IoT-enabled packaging solutions enhance operational efficiency by enabling real-time monitoring of products throughout the supply chain. Integrated sensors and data analytics empower companies to optimise inventory management, mitigate risks, and streamline logistics operations.

The food and beverage industry accounts for a substantial share of the packaging services market, driven by the demand for convenient, hygienic, and sustainable packaging solutions. Rapid urbanisation and evolving consumption patterns are accelerating the adoption of innovative packaging formats within this segment.
Asia Pacific leads the global packaging services industry, fueled by robust consumer spending and the rapid expansion of eCommerce platforms.

Latest Poll

Which is the sustainable packaging product among MSMEs that is most popular?

Results

Which is the sustainable packaging product among MSMEs that is most popular?

Bagasse and biodegradable boxes

 

20.69%

Corrugated boxes

 

48.28%

Paper bags

 

27.59%

Recyclable plastic (bubble wraps, bio-plastic)

 

3.45%

Total Votes : 29

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