Active and Intelligent Packaging Market Size

Global Active and Intelligent Packaging Market Overview

According to the MRFR analysis, Active and Intelligent Packaging Market Size was valued at USD 14.81 Billion in 2023. The Active and Intelligent Packaging industry is projected to grow from USD 15.69 Billion in 2024 to USD 25.99 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.50% during the forecast period (2024 - 2032).

Active packaging is the inclusion of certain additives into the packaging systems with the objective of maintaining the product quality and shelf life of any product. Intelligent packaging systems monitor the condition of packaged food items, providing information about the quality of packaged food during transport and storage. Thus, the use of active & intelligent packaging helps extend shelf life, monitor freshness, display information on quality, and improve safety and convenience. Active & intelligent packaging is used in food, pharmaceutical, and several other types of products. The growth is driven by factors such as the growth of the packaged food industry and the increasing use of active and intelligent packaging in convenience stores. However, stringent government norms against plastic packaging are expected to hinder the market growth in the coming years.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Active and Intelligent Packaging Market Dynamics

Drivers

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  Growth of the packaged food industry

  
  


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  Increasing use of active and intelligent packaging in convenience stores

  
  

The rapidly increasing population, rising standard of living, and growing urbanization have created a high demand for packaged and ready-to-eat food products. The increase in per capita disposable income has increased discretionary spending in developing countries. Globally, the number of convenience stores is growing continuously due to the rising population density, convenient purchasing, personalized services, availability of both branded and non-branded products, and close tie-ups with nearby communities. Thus, the adoption of wireless and connected technologies offering enhanced consumer experience and increased shelf-life drives the demand for active and intelligent packaging in convenience stores. The increasing consumption of fresh foods and the growing need for product monitoring leads to the increasing adoption of active and intelligent packaging for products in convenience stores, which is driving the growth of the market during the forecast period.

Restraints

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  Government norms against plastic packaging

  
  

The rising percentage of plastics in solid waste streams creates several environmental challenges. Thus, the US FDA (Food and Drug Administration), the EU, and other government regulatory organizations are imposing stringent regulations regarding the use of plastic and other food contact materials to enhance food safety and inform consumers about the contents. Stringent government regulations regarding VCIs and other harmful packaging components used for packaging edibles items are expected to limit the use of active packaging. Thus, the government norms against plastic packaging are expected to restrain the growth of the global active and intelligent packaging market during the forecast period.

Opportunities

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  Advancements in printed electronics

  
  

Lithium Printed electronics are used to manufacture intelligent packaging to directly communicate with the customer and build a connection with the brand offering the food or beverage. Many companies are promoting the adoption of printed electronics for producing intelligent packaging. For instance, in January 2016, Jones Packaging Incorporated with Thin Film Electronics ASA (ThinFilm), a printed electronics company, to develop printed electronic solutions for pharmaceutical products. Through this partnership, ThinFilm’s NFC OpenSense technology was integrated into paperboard pharma packaging. Such advancements in printed electronics help lower packaging costs and are expected to create an opportunity for the players operating in the global active and intelligent packaging market during the forecast period.

Supply Chain Analysis

The raw material suppliers in the active and intelligent packaging market are the suppliers of various types of polyesters and other packaging materials, required for the manufacturing of packaging components. The raw material suppliers in the market are Nexeo Plastics, Chroma Color Corporation, LTL Colour Compounders, Inc., Anchor Down Enterprise LLC, Asuka-Platech and AAA Plastics, Inc. and others. The packaging solutions providers in the market use raw materials to design and develop their own unique packaging solutions to cater to a range of packaging scenarios. The solution providers or the manufacturers use raw materials to develop packaging solutions that enhance the shelf life of products in application areas such as food, beverages, cosmetics, and personal care materials.

The resellers and distributors help the active and intelligent packaging solution manufacturers in promotion, marketing, and sales of packaging products. Resellers are an essential and viable component of any sales strategy that helps organizations sell their products over a wide territorial range. Packaging solutions are used across various industry verticals such as food and beverage, pharmaceuticals, chemical, retail & e-commerce, semiconductors, and electronics. In the food and beverage industry vertical, packaging solutions such as PET (Polyethylene Terephthalate) containers and other shelf life enhancing additives are used to keep the commodities fresh. In the pharmaceutical industry, various stabilizers and antioxidants are used to maintain the quality of medicines and prevent their contamination. Apart from these, the packaging solutions are also used in the retail & e-commerce industry vertical on a wide scale to efficiently pack different items such as clothes, electronics, food items, and cosmetics.

Active and Intelligent Packaging Market Segmentation

Based on technology:

On the basis of technology type, the global market has been segmented as oxygen scavenger, moisture absorber, shelf life sensing, time-temperature indicator, and others. Oxygen Scavengers accounted for the largest market share and it is expected to dominate the market again during the forecast period. The purpose of oxygen scavenger is to limit the amount of oxygen that could lead to deteriorative reactions and reduced functionality of various types of products, such as food, metals, and pharmaceuticals.

Based on application:

On the basis of application, the global market has been segmented into food & beverages, healthcare, pharmaceutical, personal care, and others. Food & beverage is one of the largest markets for active and intelligent packaging. Food & Beverages accounted for the largest market share and the segment is expected to dominate during the forecast period. The increased use of smart and intelligent devices such as sensors and RFIDs in the healthcare industry is expected to drive the growth of active and intelligent packaging in healthcare applications.

Regional Analysis

The regions are classified as North America, Europe, Asia-Pacific and Rest of the World. North America holds for the largest share in the global active and intelligent packaging market. North America accounted for the largest market share and the segment is expected to dominate further during the forecast period. Europe is the second-largest region in the active and intelligent packaging market owing to the increasing demand for sustainable packaging solutions and stringent government regulations regarding the packaging of food and beverage and pharmaceutical products.  The rest of the world has been bifurcated into the Middle East & Africa and South America. The growing demand for interactive and intelligent packaging technologies, increasing adoption of advanced technologies such as IoT and AI, and the growing demand for maintaining the product quality of food and beverage, pharmaceutical, and personal care products are the major factors driving the growth.

Competitive Landscape

The global active and intelligent packaging market is characterized by players that operate at global and regional levels. The players adopt strategies such as expansions, mergers & acquisitions, and product development to improve their position in the global market. High competition, rapid changes in technology, and availability of integrated solutions by industry participants are the key factors that restrict the market growth.

List of the Key Companies covered in the Active and Intelligent Packaging Market report are:

• Ball Corporation (USA)


• Amcor PLC (Australia)


• Suttons Group (UK)


• Crown Holdings, Inc. (USA)


• Constar International Inc (USA)


• Graham Packaging Company (USA)


• Ampacet Corporation (USA)


• R. Grace & Company (USA)


• Klockner Pentaplast (UK)


• Landec Corporation (USA)


• Mitsubishi Gas Chemical Co. (Japan)


• Among others.

Recent Developments:

• In Jan 2020, Amcor PLC announced its partnership with Moda vacuum packaging systems in North America and Latin America. The partnership is aimed at offering innovative packaging solutions and enhancing operational capabilities of the packaging systems to strengthen its ability to deliver valuable products and services to our customers.


• In Feb 2019, Crown Holdings, Inc. partnered with Danone Waters Brazil to launch its newest brand, 4U by Danone. The 4U line features two carbonated juices and two flavoured teas, all made with 100% natural ingredients.


• In April 2017, Ball Corporation and Unilever partnered to bring a more sustainable aluminium aerosol can to the market. Ball's partnership with Unilever to lightweight their can using Real technology brings significant environmental benefits while ensuring the same performance.

Report Overview:

The global active and intelligent packaging market is segmented based on technology and application type in this report. The report is focused on various analytical aspects such as market dynamics, Supply chain analysis, Porter’s five forces, competitive landscape, recent developments, and company profiles. The insights in this report, comprise, discuss views and predict the emerging and fast-growing segments, regions, and countries with potential of development in the Global Active and Intelligent Packaging Market.

Active and Intelligent Packaging Market Segmentation Overview:

By Technology:

• Oxygen Scavenger


• Shelf life sensing


• Time Temperature Indicator


• Moisture Absorber


• Others

By Application type:

• Food and Beverage


• Healthcare


• Pharmaceutical


• Personal Care


• Others

By Regions:

• North America


• Europe


• Asia-Pacific


• Rest of the World

Objectives of the Study

• To get a comprehensive overview of the Global Active and Intelligent Packaging Market.


• To get wide-ranging information about the key factors driving the market and market opportunities


• To gain information regarding the key players in the industry, technology advancements and key developments


• To gain insights about the key country/region in which the market is growing

Intended Audience

• Supply Chain and Logistics industry


• Food and beverage industry


• Healthcare industry


• Pharmaceutical industry