The "Flexible Packaging Market - Global Outlook & Forecast 2024-2029" report has been added to ResearchAndMarkets.com's offering.

The Flexible Packaging Market was valued at USD 210.62 billion in 2023, and is projected to reach USD 238.91 billion by 2029, rising at a CAGR of 2.12%.

The global flexible packaging market is highly fragmented, with numerous leading vendors actively competing. While the market is slowly consolidating, the pace of mergers and acquisitions remains moderate. Key players in the global flexible packaging market include Amcor, Berry Global, Mondi, Sealed Air, TC Transcontinental, Sonoco, Huhtamaki, Constantia Flexibles, Ahlstrom, Greif, WestRock, and Aptar Group. Further, in recent years, the market has seen the entry of several external players adopting inorganic growth strategies to expand their presence across various regions. The larger, established companies possess technological advantages and high-volume production capabilities that allow them to mitigate cost fluctuations. Meanwhile, smaller firms tend to focus on customization, as competition in the market is primarily driven by product features and pricing. Niche segments with lower volume demands often rely on smaller packaging companies to meet their specific needs.

The rise of e-commerce, particularly in the APAC region, has spurred the emergence of new companies specializing in protective packaging solutions. Further, many international players are expected to invest in infrastructure that supports the recycling and reuse of packaging materials. By 2025, leading vendors anticipate a significant shift towards green packaging materials. This transition will likely pose challenges for small and medium-sized packaging companies, as they must invest in new machinery to remain competitive. Additionally, the penetration of bio-based plastics across various end-use categories is expected to continue increasing, further shaping the competitive dynamics of the flexible packaging market.

MARKET TRENDS & OPPORTUNITIES

Leveraging AI and Robotics for Flexible Packaging Solutions

Rapid industrial robotics and AI advancements have transformed the packaging industry, particularly in areas such as automated material selection, real-time damage detection, and enhanced recycling capabilities. As robots become more sophisticated and integrated into packaging lines, they offer unprecedented precision, consistency, and adaptability, which are crucial for meeting the growing demands of modern supply chains. Moreover, AI can help in the predictive maintenance of packaging machinery, minimizing downtime and ensuring continuous production. In the context of flexible packaging, these technologies support the production of lighter, more efficient packaging that aligns with sustainability initiatives. As the flexible packaging market grows, AI and robotics in flexible packaging are expected to expand, providing companies with the tools to meet operational and environmental targets.

Increase in Consumer Awareness

There has been a noticeable shift in consumer behavior in recent years, driven by a growing awareness of environmental issues. This increased awareness significantly impacts various industries, including the flexible packaging market. Flexible packaging, which includes materials like plastic films, pouches, and bags, has seen a considerable change in consumer preferences, largely influenced by environmental considerations. One of the most significant changes observed is the rising demand for recyclable and compostable materials in flexible packaging. Consumers are increasingly seeking packaging that can be easily recycled or composted, thereby reducing waste and supporting circular economy principles. This trend is reflected in developing and adopting materials such as biodegradable films and recyclable laminates. These materials offer a more sustainable alternative to traditional plastics and align with the consumer demand for environmentally responsible options.

Usage of High-Barrier Plastic Packaging Materials

The barrier properties of films used in plastic packaging are important as they ensure that the food is not spoilt and that shelf life is increased. The advent of thinner packaging materials is leading to a requirement for high-barrier properties. The polymers used in these plastic films are the actual differentiating factor for the efficacy of such barrier films in maintaining the quality of packaged or processed foods. The flexible packaging market widely uses high-barrier films for premium food protection. The lightweight nature and flexibility of flexible packaging using these high-barrier films replace traditional packaging materials such as metal, rigid plastic, and glass. Also, with the growing demand for high-barrier packaging, especially in the vacuum packaging industry due to its cost-effectiveness and efficiency, recyclable, high-barrier plastics such as stand-up pouches are preferred. Moreover, rising awareness of eco-friendly and convenient packaging in the food industry is also expected to increase the demand for high-barrier vacuum packaging.

INDUSTRY RESTRAINTS

Recycling Challenges With Flexible Packaging Products

Recycling flexible packaging products, such as pouches, remains complex and economically challenging due to the intricate nature of separating multi-layered materials. These materials often comprise combinations of paper, foil, and various plastics, necessitating advanced machinery and technological investment for efficient recycling. Furthermore, unlike rigid plastics, recycled flexible packaging is not approved for food and pharmaceutical applications under FDA regulations. Despite technological advancements, the supply of high-quality recycled plastics is still inconsistent, with significant regional and facility-based disparities. The demand for recycled plastics is substantial; however, the supply has yet to align with this demand, resulting in a significant gap. This discrepancy contributes to the low adoption rates of recycled flexible packaging, as fluctuations in the quality and availability of recycled materials directly impact the economic viability and pricing of final products, posing a significant barrier for manufacturers.

GEOGRAPHICAL ANALYSIS

The global flexible packaging market is primarily dominated by the APAC, Europe, and North America regions, with APAC holding the largest market share. The APAC market's dominance is largely volume-driven, propelled by a rapidly expanding retail landscape and the growth of organized packaging sectors. The demand for advanced packaging techniques in APAC is driven by the need to deliver quality products with extended shelf life, catering to a diverse and growing consumer base.

In contrast, North America and Europe are characterized by higher awareness and early adoption of advanced packaging technologies. These regions are often at the forefront of implementing new packaging trends driven by consumer demands for greater convenience, variety, and sustainability. Flexible packaging offers a solution that aligns with modern lifestyle needs, providing ease of use and adaptability across various formats.

Furthermore, the flexible packaging market in Europe is expected to grow at a CAGR of 4.53% annually during the forecast period, mainly due to faster economic growth. In Europe, all the market segments are experiencing notable growth in flexible packaging. Smaller households need more single-serve options, and consumers constantly demand more product varieties. This supports the general trend from rigid to flexible packaging, which provides greater convenience and fits in better with the current lifestyle needs.

COMPETITIVE LANDSCAPE

Key Market Development in the Global Flexible Packaging Market:

• Companies are investing in a restructuring program to improve productivity and reduce overhead costs.
• Berry Global is expanding its manufacturing capabilities, exemplified by the 2023 expansion of its film facility in Lewisburg, Tennessee.
• In 2024, Amcor collaborated with Stonyfield Organic and Cheer Pack North America to launch the first all-PE spouted pouch.

Key Company Profiles

• Amcor plc
• Berry Global Inc.
• Mondi
• Sealed Air
• TC Transcontinental
• Sonoco
• Huhtamaki
• Constantia Flexibles
• Ahlstrom
• Greif
• Smurfit WestRock
• Aptar

Other Prominent Vendors

• All4Labels
• Aluberg
• American Packaging Corporation
• Aran Group
• Bioplast
• Bischof+Klein
• Buhler
• Carcano
• CCL Industries
• Cellografica Gerosa
• CLONDALKIN GROUP
• Cosmo First
• Coveris
• Danaflex
• DazPak
• DI MAURO
• Eco Flexibles
• ePac Holdings
• Etapak
• EUROFOIL
• Flexpack
• Gascogne Flexible
• Glenroy
• Global-Pak
• Goglio
• Grupo Lantero
• Guala Pack S.p.a.
• Innovia Films
• International Paper
• ITP
• KLEINER FLEXIBLE PACKAGING
• Korozo Group
• Krajcar Pack
• LEEB FLEXIBLES
• Notpla
• Novolex
• Perlen Packaging
• Plastic Suppliers
• Plastixx FFS Technologies
• Polypak Packaging
• Printpack
• ProAmpac
• Pro-Pac Packaging
• Reynolds Packaging
• Ringmetall
• RKW
• Rockwell Solutions
• Saica
• SCHMID FOLIEN
• Schur
• SIG GROUP
• Sigma Plastics
• Stora Enso
• SUDPACK
• Symetal
• The Reflex Group
• UFlex
• Walki
• Winpak
• WIPF

Key Attributes:

Key Topics Covered:

Market Opportunities & Trends

• Increased Focus on Sustainable Flexible Packaging
• Leveraging AI and Robotics for Flexible Packaging Solutions
• Usage of High-Barrier Plastic Packaging Materials
• Growing E-Commerce Industry
• Impact of Digital Printing in Flexible Packaging

Market Growth Enablers

• Increasing Demand from Healthcare
• Demand for Lightweight Products
• Increase in Consumer Awareness
• Increasing Consumption of Processed and Packaged Food
• Increase in Shelf Life due to Flexible Packaging

Market Restraints

• Rise in Costs of Raw Materials
• Perishability of Packaging Material
• Fragmented Marketplace
• Recycling Challenges with Flexible Packaging Products

Segmentation by Material

• Flexible Plastic
  • PE (Polyethylene)
  • BOPP (Biaxially Oriented Polypropylene)
  • CPP (Cast Polypropylene)
  • BOPET (Biaxially-oriented Polyethylene Terephthalate)
  • PA (Polyamide)
  • PET (Polyethylene Terephthalate)
  • PVC (Polyvinyl Chloride)
  • EVOH (Ethylene-Vinyl Alcohol)
  • Others
• Flexible Paper
• Foil

Segmentation by Application

• Consumer Packaging
• Industrial Packaging

Segmentation by Product

• Bags & Sacks
• Pouches
• Others

For more information about this report visit https://www.researchandmarkets.com/r/i9f0za

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