In terms of revenue, the Global Green Packaging Market is probable to reach USD 353.2 Billion by 2028, growing at a Compound Annual Growth Rate (CAGR) of 4.9% from 2022 to 2028.
The industry is projected to grow at a constant rate due to the rising food and beverage industry that is frequently adopting packaging created from recyclable and degradable materials during the forecast period. In addition, the initiatives of regulatory bodies recommending the adoption of eco-friendly alternatives by the manufacturers are further expected to boost the growth of the Green Packaging Market in the years to come.
Key Highlights from the Report:
- The food and beverage sub-segment are anticipated to grow at a substantial Compound Annual Growth Rate (CAGR). The growth of the segment is attributed to increasing preference and awareness among the consumers of manufacturers to increase the shelf-life of their products. Moreover, the rise in the efficiency of reverse logistics operation of recycled products, decrease in landfill sites, and eco-friendly legislations for the government are driving the Green Packaging Market growth during the forecast period.
- The recycled content packaging sub-segment holds a substantial market share in 2021. The recycled content packaging segment is anticipated to grow at the highest rate during the forecast period. The recycled content packaging provides better use of eco-friendly resources and techniques which is driving the growth of the segment during the forecast period. Recycled content packaging makes use of plastic, metal, paper, and glass which are further reused by the manufacturers as a raw material to make new packaging products.
- Asia Pacific is the fastest regional segment. The Asia Pacific is witnessing a rise in government regulations and initiatives that are encouraging manufacturers to opt for green packaging. Moreover, China, the biggest manufacturing hub globally and is changing its packaging habits and materials to make them more environmentally friendly. Due to the sheer volume of the products transported out of China, this has a positive impact on the market growth in the Asia Pacific region.
The food service industry is replacing single-use plastic straws, cups, lids, closures, cups, and food trays with the products manufactured from compostable and paper alternatives which are fueling the growth of the Green Packaging Market during the forecast period. Furthermore, the product demand in the foodservice industry is expected to grow continuously owing to the changing consumer preferences towards convenience and packaged foods which are projected to drive the Green Packaging Market growth in the coming years. The Green Packaging Market is developing and is anticipated to witness significant growth in the coming years fueled by environmental concerns on sustainable growth, the arrival of bioplastic, and the implementation of strict rules and policies provided by regulatory authorities.
Increasing awareness among consumers for luxury goods towards Green Packaging techniques that utilize bioplastics as a raw material in various sectors involving pharmaceuticals, Fast Moving Consumer Goods (FMCG), and personal care are driving the Green Packaging Market growth during the forecast period. In addition, factors like extensive spread alertness among consumers about environmental safety and the benefits of Green Packaging are the key factors propelling growth in the Green Packaging Market.
Asia Pacific is the largest market. Factors like high population growth and increasing disposable incomes in the developing economies like China, and India, united with the large occurrence of several manufacturers functioning in the food and beverage industry in the Asia Pacific region will upsurge growth in the Green Packaging Market during the forecast period.