Green Packaging Market Size, Share Global Analysis Report, 2023 – 2030

Industry Insights

[208+ Pages Report] According to Facts and Factors, the global green packaging market size was valued at USD 280.48 billion in 2022 and is predicted to surpass USD 430.70 billion by the end of 2030. The green packaging industry is expected to grow by a CAGR of 5.51%.

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Market Overview

Green packaging solution refers to the adoption of environmentally friendly materials and practices in the packaging of the products. The major aim of green packaging is to lower the environmental impact of the packaging. The various issues associated with the traditional practices are waste generation pollution and resource depletion.

Key Insights

• As per the analysis shared by our research analyst, the global green packaging market size is estimated to grow annually at a CbiogrAGR of around 5.51% over the forecast period (2023-2030).
• In terms of revenue, the global green packaging market size was valued at around USD 280.48 billion in 2022 and is projected to reach USD 430.70 billion by 2030.
• Rising environmental concerns are driving the growth of the global green packaging market.
• Based on the material, the plastic segment is growing at a high rate and is projected to dominate the global market.
• Based on the packaging type, the recycled content segment is projected to swipe the largest market share.
• Based on the application, the food and beverage segment is expected to dominate the global market.
• Based on region, North America is expected to dominate the global market during the forecast period.

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Growth Drivers

• Rising environmental concerns are likely to drive the growth of the global market.

The increasing awareness regarding environmental issues like resource depletion, climate change, and plastic pollution has significantly led to the increased demand for eco-friendly packaging solutions in the market. Brands are also searching for better alternatives that reduce their environmental impact.

Also, the shifting consumer attitude towards packaging is revolutionizing the global green packaging market. Consumers' purchase decisions are increasingly being influenced by environmental considerations. People are now favouring products with eco-friendly packaging. Therefore, such a landscape is expected to boost the growth of the global market in the forthcoming years.

For instance, Amcor came up with an innovative eco-friendly chocolate pack in June 2021 in South America. The company manufactures plastic packaging that is able to lower the carbon footprint by 53% compared to previous packaging solutions.

Restraints

• Cost considerations are likely to hamper the growth of the global market.

Green packaging materials like compostable plastics, biodegradable material, recycled content, and sustainable alternatives are sometimes more expensive than other available options. This cost difference is likely to limit the scope of the global green packaging market. It prevents several companies and consumers from adopting green packaging solutions.

Opportunities

• Regulatory initiatives are likely to foster development in the global market.

Regulatory bodies and governments all across the globe are implementing practices to lower the environmental impact of packaging. They are taking several initiatives like incentivizing sustainability practicing organizations, banning single-use plastics, and several others.

Also, companies are incorporating sustainability goals into their business strategies. Green packaging practices are assisting companies to lower their environmental footprints and improve brand imaging. Therefore, the emerging market landscape is expected to widen the scope of the green packaging industry during the anticipated period.

For instance, Sealed Air revealed its expansion strategy by unveiling its new product range of protective packaging solutions in September 2022. The solution is unique to the company as it contains 50% of the recycled plastic under its ‘BUBBLE WRAP’ brand.

Challenges

• Technological limitation is a big challenge in the global market.

Green packaging materials have limitations in terms of shelf life, durability and performance when compared to traditional packaging materials. Technological advancement is vital to address the limitations and come up with innovative green packaging solutions.

Segmentation Analysis

The global green packaging market can be segmented into material, packaging type, application, and region.

On the basis of material, the market can be segmented into metal, plastic, paper, and others. The plastic segment accounts for the largest share of the green packaging industry. Plastic packaging offers versatility in terms of design, size and shape, thereby making it ideal for a large number of product applications. Also, it offers barrier properties that help brands protect their items from the harsh impact of environmental conditions like contaminants, light, and moisture, thereby helping extend the shelf life of the products.

Also, it is a more cost-effective option when compared to other available alternatives in the market. These are lightweight, which further leads to reduced transportation costs. Plastic packaging is chosen for its better functionality, ease of use, and convenience. It also offers features like portability, flexibility, and reseal ability. Therefore, such a landscape is expected to foster growth opportunities in this segment in the forthcoming years.

On the basis of packaging type, the market can be segmented into biodegradable packaging, reusable packaging, recycled content, packaging and others. Recycled content packaging is likely to swipe a large share of the global green packaging market in the forthcoming years. There is a significant shift in people's perception towards sustainable and environmentally friendly practices across the world. Consumers are becoming aware of the impact of packaging on the environment.

Also, companies are fulfilling their responsibility by adopting a more sustainable packaging solution and trying to emerge as a distinctive brand in the market. Various regulatory bodies and governments are implementing policies and regulations that aim to lower plastic waste and promote recycling.

Advancements in recycling technology are also likely to revolutionize the market landscape. The improved quality of recycled material for packaging is making it more feasible for companies to incorporate recycled content into their operations without compromising on quality and preferences. Therefore, the segment is expected to foresee significant improvements in the coming years.

On the basis of application, the market can be segmented into food and beverage, healthcare, personal care, and others. The food and beverage segment is poised to witness significant growth during the anticipated period. The global population is increasing continuously along with surging urbanization rates. The emerging market scenario is leading to a higher demand for packaged food and beverages. The convenience-oriented lifestyle is boosting the need for packaged and processed food, which is expected to play an important role in the high growth rate of the segment.

The busy lifestyle of people with a surge in dual-income households is boosting the demand for ready-to-eat food and beverages in the market. These trends are driving the high demand for packaging solutions that can help companies with longer shelf life, portability, and convenience. Therefore, such a landscape is likely to boost the growth rate of the segment during the anticipated period.

Report Scope

Report Attribute	Details
Market Size in 2022	USD 280.48 Billion
Projected Market Size in 2030	USD 430.70 Billion
CAGR Growth Rate	5.51% CAGR
Base Year	2022
Forecast Years	2023-2030
Key Market Players	Tetra Laval, Nampak Ltd., Evergreen Packaging LLC, DuPont, DS Smith Plc, Be Green Packaging, Amcor plc, and Others.
Key Segment	By Material, By Packaging Type, By Application, and Region
Major Regions Covered	North America, Europe, Asia Pacific, Latin America, and the Middle East &, Africa
Purchase Options	Request customized purchase options to meet your research needs. Explore purchase options

Regional Analysis

• North America to dominate the global market.

North America is expected to experience a heavy growth rate driven by sustainability initiatives, increasing environmental awareness, and regulatory measures promoting eco-friendly practices. The rising trend of green packaging has been a significant traction, particularly amid the rising concerns against plastic pollution, resource depletion, and climate change.

Consumers in the region are becoming more conscious of environmental issues, leading to a high demand for green packaging. This particular shift in people's preferences has encouraged companies to come up with environmentally friendly packaging solutions, which is a major reason behind the high growth rate of the regional market.

Asia Pacific is expected to witness heavy growth during the forecast period because of the increasing demand for green packaging solutions in applications such as healthcare and food & beverage. Governments have also implemented policies to address the environmental issues related to packaging.

For instance, The Government of Canada said to invest in three sustainable packaging manufacturers, namely Unified Flex Packaging Technologies, Omnia Packaging Inc., and Friendlier, in March 2023 to align with the initiatives of zero plastic waste.

Competitive Analysis

The key players in the global green packaging market include:

• Tetra Laval
• Nampak Ltd.
• Evergreen Packaging LLC
• DuPont
• DS Smith Plc
• Be Green Packaging
• Amcor plc

For instance, Sealed Air is said to have acquired Liquibox in February 2023. The latter is a sustainable liquid packaging manufacturer. The major aim of the acquisition is to expand its product portfolio in the food & beverage sector to align with the growing demand for sustainable packaging solutions in the market.

The global green packaging market is segmented as follows:

By Material Segment Analysis

• Metal
• Plastic
• Paper
• Others

By Packaging Type Segment Analysis

• Biodegradable Packaging
• Reusable Packaging
• Recycled Content
• Packaging
• Others

By Application Segment Analysis

• Food And Beverage
• Healthcare
• Personal Care
• Others

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America