Global Green Packaging Market: Snapshot
The global green packaging market is expected to witness stable growth during the forecast period of 2015 and 2021. Green packaging, also known as sustainable packaging, is classified on the basis of packaging type, application, and geography. The market is expected to grow exponentially owing to growing environmental concerns across the globe. As a result of this, efforts are being undertaken by governments and non-government organizations to reduce the emissions of toxic wastes. Using green package leads to considerably less toxic emissions and thus causes less population in the form of landfills. Therefore, there is an extensive demand for green packaging in order to keep the environment pollution free and clean. Furthermore, rising initiatives by governments across the globe for clean environment and stringent regulations formulated by them are also likely to bolster the growth of the market in the coming years.
As a result of the strict regulations, producers are now striving to introduce eco-friendly packaging materials and adopt techniques that will have less impact on the environment. Several industries have to also follow green packaging as a part of the Extended Producers Responsibility (EPR). This aspect is also expected to propel the demand for green packaging. Nevertheless, decrease in profit margins owing to a rise in production costs is a factor that is expected to negatively influence the growth of the market. Additionally, limited demand from consumers owing to low level of awareness among them regarding green packaging. However, governments are taking steps to educate people about the benefits associated with green packaging.
The global market for green packaging is likely to exhibit a 6.20% CAGR from 2015 to 2021. The market was valued at US$132.4 bn in 2014 and is likely to be worth US$203.1 bn by the end of 2021.
Food and Beverage to Be Leading Segment in terms of Adoption of Green Packaging
Based on application, the global green packaging market can be segmented into healthcare packaging, personal care packaging, and food and beverage packaging. Among these, the segment of food and beverage packaging is likely to emerge dominant rising at a CAGR of 6.4% between 2015 and 2021. This growth can be attributed to the growing consumer awareness regarding eco-friendly packaging and the harmful impacts of plastic and non-biodegradable packaging. Regulations imposed by governments to minimize the risk of food contamination is also expected to accelerate the use of green packaging in the food and beverages industry.
Asia Pacific to Offer Promising Growth Opportunities
Some of the key companies involved in the manufacturing and selling of green packaging are Amcor, Be Green Packaging, DS Smith, DuPont, Evergreen Packaging, Mondi, Nampak, Rexam, and Sealed Air.
The green packaging market across the globe is expected to experience a stable growth from 2015 to 2021. Green packaging alternatively known as sustainable packaging market is segmented on the basis of application, packaging type and geography. The packaging type is further bifurcated into recycled content packaging, reusable packaging and degradable packaging. The various categories of recycled content packaging are paper packaging, plastic packaging, metal packaging and glass packaging among others. The reusable packaging is divided into drums, plastic container and others. On the basis of application the green packaging market has been segmented into food and beverage packaging, personal care packaging, health care packaging and others. By geography, the green packaging market has been segmented into North America, Europe, Asia-Pacific and Rest of the World (RoW).
Increasing environmental concern is one of the major factors fuelling the demand for green packaging globally. Owing to this factor, considerable efforts are being made for reduction of toxic waste emissions. Green package results in very less toxic emission and causes less pollution in form of landfills. Consequently, there is an increasing demand for green packaging to keep the environment clean and pollution free. Moreover, Owing to increase in government’s initiative to clean the environment, strict regulations are formulated by government globally. Manufacturers are now under pressure to use eco friendly material in packaging and adopt methods that have less adverse impact on environment. Consequently, many industries have to adhere to green packaging as a part of their Extended Producers Responsibility (EPR). This factor is also boosting the market to a great extent. In addition, the use of green packaging gives competitive advantage to industry over other market players since consumers prefer products having sustainable packaging over others. Owing to this factor, the demand for green packaging is increasing and expected to grow rapidly during the forecast period.
However, reduction in profit margin due to increase in production cost is one of the factors restraining the growth of green packaging market. In addition, limited consumers demand due to lack of awareness regarding green packaging among consumers also limits the industries to switch to green packaging. However, government is taking initiative to make people aware of the importance and benefits of green packaging. In spite of these restraining factors the green packaging market will stand firm during the forecasted period.
The study highlights current market trends and provides the forecast from 2015 to 2021. We have also covered the current market scenario for green packaging market and highlighted future trends that will have an impact on demand for the same. The present market size and forecast until 2021 has been provided in the report. The macro and micro economic factors affecting the demand and growth of the market also has been provided in the report.
In the green packaging market, among application segment the food and beverage packaging held the largest market share. Food and beverage industries are the largest consumer of green packaging. As the demand for eco friendly packaging increases among consumers the manufacturers of food and beverage products have started adopting green packaging for their products.
The U.S. is the largest market for green packaging because of the extensive use of eco friendly packaged products. Asia-Pacific region especially India and China offers the fastest growing market for green packaging. The population of the Asia Pacific region is large and growing considerably. The increasing population accounts for a better consumer base in this region. Food and beverage industry which constitutes the basic necessities of the growing population has better opportunity in this area and is emerging as the largest market for food and beverage in the near future. These food and beverage industries use green packaging to a great extent for packaging their products.
Thus, developing economies of Asia Pacific are expected to experience a decent growth in the demand for green packaging products during the forecast period. North America and Europe are the matured markets for green packaging and is expected to have a healthy growth in recent years.
The conclusive analysis of the global green packaging market and the forecasted market growth for the period 2015 to 2021 is provided in this report. The report provides in dept study of different market segments and detailed analysis of the green packaging market in all possible way across different segments based on application, product type and by geography.
Overall, the report takes into account a complete analysis of the global green packaging market and provides a predicted growth for the period 2015 to 2021, taking into account the various macro and micro economic factors affecting the market.
The report segments the green packaging market as:
- Food and Beverage Packaging
- Personal Care Packaging
- Healthcare Packaging
- Other Packaging
By Packaging Type
- Recycled Content Packaging
- Reusable Packaging
- Plastic Containers
- Other Reusable Packaging
- Degradable Packaging
- North America
- Rest of the World (RoW)