USD 60-billion repackaging services market is reshaping global packaging

The repackaging services market is growing at a compound annual growth rate of 6.55%, driven by the demand for customised, compliant, and sustainable packaging in industries such as pharmaceuticals, food and beverages, cosmetics, chemicals, and eCommerce.

Repackaging is the process of changing the original packaging of a product into a new form that is suitable for marketing, shipping, branding, or regulatory requirements. This may include modifying the size of packaging bottles, adding a new label in a different language, or constructing tamper-proof packaging for pharmaceuticals.

Industries employ repackaging services to suit consumer expectations, comply with new regulations and safety standards, and remain competitive in global marketplaces.  

The Asia Pacific region is anticipated to grow the fastest, led by industrialisation, exports, and online sales in India and China.

The growth of the repackaging industry includes several factors such as a push for sustainability, with brands switching to biodegradable materials to reduce plastic waste and comply with environmental regulations, as well as smart packaging including quick response (QR) codes, radio-frequency identification (RFID) tags, and freshness sensors.

In addition, personalised products enabled by digital printing, automation with the use of artificial intelligence (AI), and eCommerce growth are driving the growth of the repackaging industry.

Industries are employing AI to detect faults, optimise packaging design, and assess repackaging based on sales and inventory data. Additionally, online retailers are providing a positive unboxing experience with flexible, protective, and brand-oriented packaging, while lowering delivery costs.

Contract packaging has a large market share since manufacturers prefer to delegate repackaging to specialists. In addition, contract packagers often provide services such as barcode printing, tamper-proof seals, and label modifications near manufacturing or export hubs, making the process faster and cost-effective.

Private label packaging — which refers to retailer selling their own branded products, such as supermarket brands or online-only lines — relies on repackaging services to provide personalised branding, sustainable materials, and quick turnaround times, particularly for online purchases.

Plastic remains a widely used packaging material. However, biodegradable and compostable packaging materials are growing in use — mushroom packaging, seaweed-based films, and polylactic acid (PLA) plastics are sustainable alternatives that meet consumer and regulatory needs.

Additionally, bottles and jars are popular packaging options since they are long-lasting, easy to label, reusable, recyclable, and suitable for liquid products such as sauces, lotions, and syrups. Sachets and pouches are also gaining popularity due to their lightweight and portable nature. Furthermore, they are affordable and ideal for travel-size and single-use items.

According to the Towards Packaging report, in 2024, pharmaceuticals were leading in the repackaging market, as repackaging is useful for unit-dose formats and patient-specific kits.

In addition, the healthcare and life sciences industries continue to dominate because of their reliance on regulatory compliance, sterile packaging, and supply chain visibility.   The food and beverage industry is expanding due to rising demand for ready-to-eat meals, snacks, and sustainable packaging. 

The retail and eCommerce industries are the fastest-growing end-use sectors for repackaging services. Personalised designs, sustainable materials, and real-time tracking features are making repackaging a digital-first experience. 

The global repackaging service market is increasingly becoming significant and is transforming how products are prepared for the global marketspace. New regulations, increased consumer expectations, sustainability, customisation, and eCommerce expansion, repackaging is set to become important and imaginative.

This article is based on a report by Towards Packaging.