The global flexible packaging market is estimated to experience immense growth in the forecast period. Flexible packaging can be defined as a packaging system without any fixed shape. Flexible packaging is designed to hold the products in any form, like solid, liquid, cream, or paste. More recent developments and technological advancements are added to the flexible packaging to give better value to the customers. Flexible packaging provides more economical value to customers. Flexible packaging is the most cost-effective option for manufacturers. It is considered a relatively new method of packaging and is becoming popular because of its efficiency and effectiveness in packaging. Manufacturers are investing more in flexible packaging because it provides the best service to consumers. The industries are engaged in extensive research and development to develop innovative products to improve the quality and increase the shelf life of the products. The rising demand and growth of the e-commerce industry have boosted the consumption of flexible packaging throughout the world. The growing need to increase pharmaceutical products is among the prominent factors driving the flexible packaging market growth. Improved knowledge of manufacturers and increased promotion of flexible packaging are expected to fuel the demand for flexible packaging solutions in the world. The COVID-19 pandemic also impacted the flexible packaging market. At the time of a pandemic, trade activities are restricted because of the lockdown. The market is affected very badly. Firstly, the production of flexible packaging is decreasing, but on the other hand, the demand for flexible packaging solutions has increased.
People are rushing towards panic buying, so the demand for food products and other necessary goods has increased in the market, and they all need flexible packaging solutions for their products.
According to the report title, "Global Flexible Packaging Solutions Market Outlook, 2027", published by Bonafide research, the market was valued at around USD 242.09 billion in 2021 and it is anticipated to grow with a CAGR of more than 4% during 2022 to 2027. The global flexible packaging solutions market is segmented into five major regions: North America, Europe, South America, Asia Pacific, and Middle East & Africa. Asia Pacific is the dominant market for global flexible packaging solutions, with rapid developments in the food processing sector and rapidly rising economic growth. to witness the highest growth over the forecast period. Countries like India, China, and Japan are the leading economies for the growth of the flexible packaging market in the Asia-Pacific region. The rise in organized stores and the development of the e-commerce sector throughout the region are the main factors for the immense growth of the flexible packaging market in the forecast period. The surge in demand for processed food, packaged food, ready-to-eat meals and beverages will further supplement the flexible packaging market growth in the Asia-Pacific region. Rising environmental concerns and the emergence of supply chains for shelf-life enhancement are expected to increase the overall flexible packaging market share in the region.
According to the report, based on material type, the market is segmented into plastic, paper, aluminum foil, and other materials. The plastic packaging segment covers the highest share of the market in the global flexible packaging market. The plastic packaging segment is estimated to account for more than 65% of the market share in the forecasted period in the global flexible packaging market. Flexible plastic packaging is expected to grow significantly in the future as demand rises in end-use industries such as food, beverage, cosmetics & personal care, and pharmaceuticals. Growing concerns towards the use of bio-degradable plastics for flexible packaging and its impact on the environment have also driven manufacturers to develop sustainable packaging options that are safe and secure for the environment. Based on the application, the market is segmented into food, beverage, pharmaceuticals, personal care, and others. The food industry has been witnessing immense growth in the flexible packaging market. Flexible packaging helps protect food from the external environment. The busy lifestyles of people, changes in consumer preferences, growing demand for packaged food, ready-to-eat meals, and rising demand for dairy products are the factors for the growth of the flexible packaging market in the world. The growth rate of the food industry in the flexible packaging market is estimated to be more than 5% for the forecast period. Based on the packaging type, the market is segmented into bags, wraps, pouches, sachets, blisters, roll stock, etc. Innovation in the packaging of food products will lead to a rise in demand for the pouch packaging segment in the region as it is also witnessing high growth in the forecast period.
The North America region is also a growing region for the flexible packaging market. Technological advancement, product innovations, and growth of the e-commerce sector are the main reasons for the growth of the flexible packaging market in North America. The usa is known for the research and development activities for various products, so there is a potential demand for flexible packaging solutions in the country. In the North America region USA is the leading country in flexible packaging market followed by Canada and Mexico. The growing market demand for customer-friendly packages will lead to the increasing demand for the flexible packaging market in the North America region. In European countries there are more focuses on recyclable packaging. Governments are also supporting in the activities of the recyclable packaging. Driving the demand for packaged food, such as frozen meat, fish, etc., this increased the need for flexible packaging in the region. Germany covers the highest portion of the flexible packaging market in the Europe region. Consumers in Germany prefer to shop online rather than in stores and this will lead to the growth of the flexible packaging market in Germany. The South American flexible packaging market is segmented into two main countries; Brazil and Argentina. Brazil is top leading country in the South America’s flexible packaging market. Economic growth is the main driving factor for the growth of the flexible packaging market in Brazil. Argentina also shows steady growth in the flexible packaging market. The Middle East and Africa region is witnessing the growth of the flexible packaging market because of the increase in import and export activities in the region. Saudi Arabia is the growing country in the flexible packaging market.
Walmart (based out of the United States) is not only the largest global retailer, but also the largest of its kind in the world. Of the top 10 largest retail companies, globally, five of them are based out of the United States, making the country the foremost in the retail industry. As per the Flexible Packaging Association of the United States, flexible packaging is the second-largest packaging segment in the country, with almost 20% share in the market.
Major players in the global flexible packaging market and some of the recent developments of the companies are as follows:
• In May 2020, Berry Global Group, Inc. announced its collaboration with the longtime customer, Mondelez International, to supply packaging containing recycled plastic for Philadelphia, the world’s most popular cream cheese. The package contains plastic material recovered using advanced recycling technology from Berry’s partnership with SABIC, announced earlier this year.
• In March 2020, Berry Global Group, Inc. announced the investment of USD 30 million to increase its production capacity of ultra-high performance stretch films. The investment is allocated for new lines and upgrades to existing assets in nine of the company’s North American locations that currently manufacture stretch films.
• In February 2020, Amcor joined the Healthcare Plastics Recycling Council (HPRC), a coalition of industry peers across healthcare, recycling, and waste management. The company will support the coalition with its expertise in packaging design for medical devices and applications in hospitals and other treatment settings. The industry group aims to address all dimensions of the packaging value chain, from packaging design to collection systems and end markets.
• June 2021 -Coveris, with its technical capabilities, developed a new cereal liner solution. The Cereal+ liner has been created to deliver packer performance, improved shelf life. Coveris Cereal+ liner is made from fully recyclable polyethylene and provides product protection, freshness, and shelf life for cereals and dry foods packed in bag-in-box films.
• Aug-2021: Huhtamaki took over Elif, a global leader in supplying flexible packaging to FMCG brands. Through this acquisition, the company aimed to strengthen its foothold as a leading flexible packaging company in emerging markets as well as enhance its flexible packaging business in elegant consumer product categories
• May-2021: Coveris Group took over Four 04 Packaging, UK-based trading, and flexible packaging manufacturing business. Through this acquisition, the company aimed to continue its strategic expansion as well as strengthen its packaging solution, offerings and customer base.
• In April 2021, Constantia Flexibles signed an agreement to acquire the packaging producer Propak, prominent player in the European packaging industry. This strategy supports Constantia Flexibles to elevate as one of the main players in the European snacks market.
