Several market aspects shape the Produce Packaging Market. Sustainable packaging is driven by consumer demand. Environmental awareness is driving demand for recyclable, biodegradable, and low-impact packaging. Produce packaging material and design advancements have been needed.
Additionally, government regulations geared towards reducing plastic consumption and promoting sustainability seriously affect the Produce Packaging Market. Strict rules concerning single-use plastics and waste from packaging prompts manufacturers to come up with substitutions as well as more environmentally friendly packages. Thus, compliance to the regulations has driven the development of sustainable packing options in the agricultural sector.
Another important market factor lies on convenience and functionality. Consumers require packaging that enhances the shelf life of produce, minimizes food waste, and provides easy handling and storage. The use of modified atmosphere packaging (MAP) or vacuum packing can address these concerns by extending the shelf life of fruits and vegetables while meeting consumer expectations through producing fresh products which drives growth in this market.
Moreover, technological developments have greatly impacted on automation in Produce Packaging Market. Automated packaging systems improve productivity during production process while also reducing labor costs thus ensuring consistent quality output. Smart Packaging Technologies like RFID tags among others are being integrated to signal real-time information about produce condition hence improving inventory performance as well as quality control measures.
In addition, competition landscape shapes dynamics of Produce Packaging Market significantly. Competitors continuously innovate and make launches of novel packaging designs, materials or technologies thereby keeping ahead of rivals.Mergers & acquisitions are common strategies used by companies for portfolio expansion & bolstering their market presence.
Produce packaging market size was valued at USD 36.79 Billion in 2023. The Produce packaging industry is projected to grow from USD 38.08 Billion in 2024 to USD 52.56 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.10% during the forecast period (2024 - 2032).
In the last few years, the global produce packaging Market has seen a moderate growth and expansion. Various factors would affect the development of the market, including an increase in the production of fresh products and increasing awareness among the population of all the countries across the globe towards healthy lifestyles. People have started becoming aware of the benefits of consuming fruits and fresh vegetables, which is another factor that drives the growth of the produce packaging Industry.
Additionally, the reason that has been encouraging people to opt for such a lifestyle is the busy and stressful life. With less time to have meals, people have been getting inclined to consume semi-prepared and fruits and salads that are cute. The produce packaging makes sure that these stay fresh for a longer duration. But looking at the other side of the coin suggests that strict laws from the regulatory bodies on waste and recycling are the factors that have been acting as the restraints in the produce packaging Market Growth.
In April 2024, American Packaging Corporation (APC), a leader in flexible packaging solutions, has announced the commercial launch of another RE™ Design for Recycle flexible packaging technology targeted at pet food products ranging from small pouches for pet treats to large bags (up to 38#) for pet kibble. This new technology joins a portfolio of packaging technologies in APC's RE™ sustainable packaging portfolio, that also includes Design for Compost, Circular Content, and Renewable Content, as well as several additional Design for Recycle film and paper options. The breadth of products as well as the focus on quality and premiumization geared toward the pet market were definite considerations for this development. Conventional offerings tended to include multi-material laminates that could not be reused or recycled, and the goal was to develop packaging that was compliant with industry guidelines for recyclability and could be recycled where proper collection and sorting facilities exist.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Smurfit Kappa (Ireland), Amcor plc (Australia), International Paper (US), COVERS (US), Sealed Air (US), DS Smith (UK), WestRock Company (US), Mondi (Austria), Berry Pack, Inc. (the US), Sonoco Products Company (US), Packaging Corporation of America (US), Pactiv LLC (US), Ultimate Group (UK), Stora Enso (Finland) and INFIA Srl (Italy), among others.
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The market dynamics for the global produce packaging Market Outlook is going strong due to factors like an increase in the demand for fresh produce. Ready to eat and dry cut food items provide an extra step towards produce packaging industry Growth. People have started to understand what is best for their health and what packaging would ensure that the food items' nutrients stay intact. This has caused even more growth in the produce packaging Market Value.
The factors that have anticipated the assistance of the produce packaging Market Trends advancements include the factors like the introduction of new products in the market regularly. The demand for overwrap trays has grown many folds and is expected to expand even more in the forecast period. Even after strict regulations, plastic bags are still used in huge quantities, leaving an effect on the produce packaging Market Revenue to a great extent.
The laws that are being implemented on the produce packaging industry tend to play a significant role in the produce packaging Market Size. The regulations are not just about the containment of the food articles they carry. There is much more to it. The laws by various administrative bodies have forwarded such regulations that range from giving physical protection to the slow deterioration of the food article. They are also checked for any chemical reactions with the good or the procedures to extend the shelf life. The produce packaging industry Value has evolved towards the regulations governed by the administrative bodies and have included many Chang's from time to time.
The produce packaging can be classified into three subcategories:
This can further be categorized into the following:
The segment that holds the highest share and dominates the market is the corrugated box segment. And the segment is also expected to expand at the highest CAGR.
The produce packaging Market Outlook can be classified into the following subcategories:
The segment that dominates the produce packaging Industry is the vegetable segment and would probably have the highest CAGR in the forecast period.
Based on the end-user, the market has the following subtypes:
The growers/shippers market is the one that dominates the market in this segment. Also, this segment is expected to have the highest CAGR in the years to come.
Based on region, the market has the following subdivisions
The Asia Pacific dominates the produce packaging industry Size with the largest share. It is then followed by North America and then Europe bags third place. The Asia Pacific is expected to keep its first rank till the year 2025. The significant reasons for the region's dominance are the high rate of production of fresh fruits and vegetables in the area. Countries like India and China are the ones that contribute the most towards fresh produce. It is also expected that the demand would further increase in the forecast period.
North America has experienced high rates due to the increased investments in the research and development areas for innovation of new products in the product package market. On the other side, few factors that have been restraining the growth of the produce packaging Market Share in the developed countries like the US and Canada are the strict laws laid down by the regulatory bodies for the safety of the food items.
In December 2023, Novolex®, a leader in packaging choice, innovation and sustainability, is introducing food packaging containers that are both recyclable and made with a minimum 10% post-consumer recycled (PCR) content. Manufactured by Novolex brand Waddington® North America (WNA), the new products include various sizes of dessert cups, tamper-evident containers, cake containers and bakery clamshells. Novolex develops and manufactures diverse packaging and food service products that touch nearly every aspect of daily life for multiple industries ranging from grocery, food packaging, restaurant and retail to medical applications and building supplies.
In June 2022, fruit importer IG International entered into a joint venture with Esquire Corrugation to manufacture sustainable fresh produce carton packaging. The companies through their joint venture Esquire IG aim to produce between 500 and 1000 tonnes of fresh produce packaging for the demands of the local and international markets.
In July 2022, Mondi Group launched Grow&Go, which is a series of purpose-built corrugated packing solutions for preserving and shipping vegetables and fruits. The assemblage of all the packages is designed in such a way that after filling, they can be easily stacked on top of one another without breaking or being damaged, thus preventing waste. These include options like bulky, heavy goods in large quantities, light assortments of fruits and vegetables for shelf displays, etc. All products within the entire range comply with food contact regulations and are completely paper based.
With a rough estimate of a CAGR of 4.1% in the forecast period, the global produce packaging market is one such market that is on the rise because of the type of lifestyles the majority of the population has. With no time to even eat, they prefer the semi cooled and freshly packed food, which is the major force in producing packaging Market Revenue generation. The reports that are provided to the business owners include all the small and big details that they would need regarding the market. The current situation of the market, the historical background, and the qualitative and quantitative value are discussed in the report. Moreover, the strategies that are being followed by the top players of the market that have helped them reach the level they are have also been discussed to make the business analyse themselves and work accordingly. The other things used in the report are the segmentation of the market-based in various subtypes, which included the produce packaging Market Analysis according to different regions across the globe.
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