Tobacco Packaging Market

Global Tobacco Packaging Market: Overview

Tobacco packaging products are used to package and transport various types of tobacco products, such as cigars, chewing tobacco, and cigarettes. The solutions offered by the manufacturers and players working in the global tobacco packaging market offer effective protection against the external environment and safeguard the products from moisture. These products also protect the tobacco products from transmission of bacteria and aroma, and prevent deterioration.

Players in the global tobacco packaging market use various types of materials to manufacture packaging solutions. These include plastics, paperboard, and paper, among others. Paperboard is the most commonly used material for manufacture of solutions in the global tobacco packaging market. This trend can be attributed to the material’s various advantageous qualities, including high printability, excellent rigidity as well as foldability, and light-weight. Furthermore, paperboard products also help in protecting packaged tobacco products from deterioration as well as moisture. Apart from paperboard, second most common material used for packaging of tobacco products is paper.

Global Tobacco Packaging Market: Major Trends and Drivers

The increasing shift in consumer behavior to opt for smokeless tobacco from smoking tobacco has triggered an increased demand for innovative products in the global tobacco packaging market. This trend is also bolstered by the increasing awareness among the customers about health risks associated with smoking tobacco products. The rising shift of customers from cigarettes and cigars to smokeless tobacco products, such as gum, chewing tobacco, snuff, and gutka, is creating demand for low-cost and effective new packaging solutions in the global tobacco packaging market. However, increasing guidelines in economies such as Canada, China, the United States, and India, about plain packaging and health warning display, may hamper the growth within the global tobacco packaging market.

Furthermore, increasing utilization of these packaging solutions as the only medium for promotion is boosting growth of the global tobacco packaging market. Governments across the world restrict tobacco product manufacturers from creating brand awareness, and promoting their products through advertisements or media campaigns. As a result, the packaging for actual products is by and large used as an important marketing tool by tobacco producers. Players in the tobacco industry are heavily investing in developing and opting for new types of packaging solutions that can effectively work as promotional mediums for their products. This trend is also supplementing the development of the global tobacco packaging market.

Global Tobacco Packaging Market: Key Players and Manufacturers

A few of the most prominent and leading manufacturers and participants operational in the landscape of the global tobacco packaging market include WestRock, Smurfit Kappa, Sonoco, Schweitzer-Mauduit International, Inc., ITC Limited, Amcor Limited, International Paper, Mondi Group, Siegwerk Druckfarben AG & Co.KGaA, and Innovia Films, among others. Players in the global tobacco packaging market are focusing on undertaking extensive research and development in order to develop novel technologies for tobacco packaging. Some of the key strategies employed by the players in the global tobacco packaging market include development of new products, geographical expansion, and mergers and acquisitions, among others.

Global Tobacco Packaging Market: Regional Assessment

Asia Pacific accounts for a key share of the global tobacco packaging market. The same region is also expected to display considerable growth in the market in coming years. Growing manufacturing of tobacco products in economies such as Japan, India, and China, and increasing demand for cigarettes from various economies, is creating attractive growth opportunities in the Asia Pacific tobacco packaging market. Rising demand from economies such as the United Kingdom, Germany, and Russia is also favoring the growth of the Europe tobacco packaging market. However, rising adoption of e-cigarettes by consumers may hamper the growth within this regional market. Increasing demand for chewing tobacco and cigarettes in economies such as Egypt, South Africa, and Turkey is unlocking new revenue grab opportunities in Middle East and Africa region.