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The global beverage packaging market size was valued at USD 138.72 billion in 2022 and is projected to grow from USD 144.40 billion in 2023 to USD 199.15 billion by 2030, exhibiting a CAGR of 4.70% during the forecast period.
Packaging is generally done to protect the product from damage and attract customers by enhancing its visuals through the utilization of advanced decorative techniques, which also helps the product stand out among competitors. Beverage packaging plays a crucial role in protecting liquids as they are prone to leakages and contamination. Packaging companies provide a wide range of products, such as cans, bottles, jars, pouches, and cartons to increase the shelf life and sales of beverages. The high strength, lightness, and protection from the external environment offered by the packaging solutions may accelerate the beverage packaging market growth.
Stringent Government Regulations Led to Decline in Beverage Packaging Sales During COVID-19 Pandemic
The COVID outbreak harmed almost all industries and caused a 30 to 40% decline in the growth of businesses. Due to stringent government regulations, labor shortage, and high prices of raw materials, production was hampered, resulting in the contraction of demand for beverage packaging products. The drinking preferences of people changed significantly from consuming unhealthy beverages to soft drinks and other non-alcoholic beverages during the pandemic. Bars, restaurants, and hotels witnessed a downfall in their profits. But on the other side, online businesses saw a surge in demand, thereby increasing the sale of beverages and enhancing the market progress. Moreover, rise in the number of online food & beverage outlets in the ever-growing e-commerce industry is anticipated to propel the beverage packaging market share in the post-pandemic era.
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Surge in Usage of Sustainable Materials to Emerge as a Key Trend
The growing environmental concerns among manufacturers and consumers have surged the demand for sustainable packaging. The use of recyclable materials and invention of bioplastic will become a significant trend in the market. Governments and organizations in several emerging and developed nations have increased their focus on using sustainable materials and recycling & reusing packaging products to save the environment from the hazardous effects of non-recyclable plastic and other packaging materials. For instance, the EU Waste Framework Directive set a target for 50% of waste to be recycled by 2020. The regulation placed a legal obligation on companies over a particular size, make, or use of packaging to make sure that a particular percentage of the packaging released in the market is recycled and recovered. The U.K. parliament set targets for plastic and paper recycling provided by the EU Waste Directive, and the targets for 2020 were 69.5% and 51%, respectively.
Rising Consumption of Non-Alcoholic Drinks to Contribute to Market Growth
The growing demand for non-alcoholic drinks, such as bottled water, milk, soft drinks, energy drinks, and carbonated drinks is driving the market’s growth. The change in people’s preferences and increase in the consumption of healthy drinks after the COVID-19 outbreak has accelerated the demand for non-alcoholic beverages. These beverages have high health benefits, such as improving digestion, providing instant energy, and enhancing heart health. Owing to this, people are more inclined toward these beverages, thereby increasing the demand for their packaging. Moreover, rising inclination toward the consumption of ready-to-drink and packed beverages has enhanced the growth of this market. Furthermore, the launch of flavored milk and juices, along with carbonated drinks having attractive packaging, has increased the product’s consumption among children and the elderly population. In addition, the surging e-commerce industry is enhancing the demand for non-alcoholic beverages, such as soft drinks, juices, and packaged milk.
Significant Benefits Offered by Beverage Packaging to Drive Market Growth
This market is experiencing significant growth as it safeguards the product from contamination and harmful rays, and increases product shelf life. Packaging provides an isolated environment during storage and transportation, and prevents the product from coming in contact with micro-organisms. Moreover, the decorative designs attract a large customer base and provide as much information to the consumer, helping the market grow. Beverages are prone to leakages, and tough packaging materials, such as metal cans and plastic bottles keep liquids safe. In addition, rising use of tetra packs to pack drinks is anticipated to aid the market growth as they are sustainable and increase the shelf life of liquids.
Strict Rules Against Use of Non-Recyclable Materials to Restrict Market Growth
Governments of developed and emerging nations have imposed stringent rules and regulations to ban single-use plastic and curb the usage of non-recyclable plastic. Plastic and glass are widely used in beverage packaging as they protect the liquids from leakage and contamination. But they are not easy to recycle and can thus hamper the growth of this market. Moreover, the lack of manufacturing units and machinery in developing nations for recycling this material will impede the growth of this industry. Manufacturers are shifting from plastic and glass to metal and paper as the latter are sustainable. However, it is expected to increase the manufacturing cost and price of the end product, thereby affecting the consumers’ buying behavior.
Plastic to Dominate Market Due to its Various Properties
Based on material, the market is segmented into plastic, glass, metal, and others. Plastic materials hold the largest market share. Plastic materials have several benefits, such as high strength and stability, and are leak-proof. These materials can survive extreme temperatures, which protects beverages during transportation. Moreover, the surging use of bioplastic and other plastic types, which are easy to recycle, is expected to drive the growth of this segment.
Bottles & Jars to Gain Traction Among End-Users to Pack Large Volumes of Drinks
Based on product type, the market is segmented into cans, bottles & jars, pouches, cartons, and others. The bottles & jars segment is dominating the market. These products are widely used in the packaging of beverages as they provide better safety to liquids, are easy to handle, and can be used to pack large amounts of liquids. In addition, glass bottles maintain the freshness of beverages and enhance the appearance of the packaging. Furthermore, the transparency of glass bottles attracts customers and will contribute to the growth of this segment.
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Non-Alcoholic Beverages to Dominate Market Due To Their Widespread Benefits
Based on application, the market is segmented into alcoholic and non-alcoholic. Non–alcoholic beverages are the leading application of the global beverage packaging industry. A large amount of packaging material is used to pack fruit juices, soft drinks, carbonated drinks, milk, smoothies, purees, and various other liquids. The rising demand for energy drinks and changing lifestyles are contributing to the growth of this segment. After the pandemic, people are more concerned for their health and inclined toward products that help them increase the nutrition of their diet. This has led to rise in the consumption of non-alcoholic beverages.
Asia Pacific Beverage Packaging Market Size, 2022 (USD Billion)
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The market is analyzed across North America, Europe, Asia Pacific, Latin America, the Middle East, and Africa. Asia Pacific is the dominating region in the market. Rapid changes in the consumer lifestyle and shifting preference for non-alcoholic drinks are expected to enhance the growth of the market in this region. Emerging economies, such as China and India and their increasing population will boost product consumption, thus propelling the growth of the market in the Asia Pacific region. Europe is the second largest dominating region in the beverage packaging industry. High alcohol consumption in this region due to its climatic conditions and presence of major market players will drive the growth of this region. The North American region is expected to record a moderate growth rate due to the increasing demand for carbonated drinks, energy drinks, and soft drinks among the younger generation. Latin America is expected to witness steady growth due to increasing number of online food & beverage outlets and rising disposable income. The Middle Eastern & African market will witness moderate growth due to rapid urbanization and influence of western trends on the younger generation.
Key Market Participants to Witness Significant Growth Opportunities
The global market is highly fragmented and competitive. In terms of market share, a few major players are dominating the market by offering innovative packaging solutions. These major players in the market are constantly focusing on expanding their customer base across the regions and innovating their existing products.
Major players in the market include Amcor Plc, Glasswork International, Ball Corporation, Crown Holdings, and others. Numerous other players operating in the industry are focused on delivering advanced packaging solutions.
The customized design container is 22% lighter than competitive bottles in the Market.
An Infographic Representation of Beverage Packaging Market
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The market research report provides a detailed analysis of the market and focuses on key aspects, such as leading companies, competitive landscape, product/service types, porters five forces analysis, and leading applications of the product. Besides, the report offers insights into the latest market trends and highlights key industry developments. In addition to the above factors, the report encompasses several factors that contributed to the market's growth in recent years.
ATTRIBUTE | DETAILS |
Study Period | 2019-2030 |
Base Year | 2022 |
Estimated Year | 2023 |
Forecast Period | 2023-2030 |
Historical Period | 2019-2021 |
Growth Rate | CAGR of 4.70% from 2023 to 2030 |
Unit | Value (USD Billion) |
Segmentation | By Material
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By Product Type
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By Application
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By Region
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The Fortune Business Insights study shows that the global market was USD 138.72 billion in 2022.
The global market is projected to record a CAGR of 4.70% during the forecast period.
The market size of Asia Pacific stood at USD 48.75 billion in 2022.
Based on material, the plastic segment will dominate the global market share due to the significant features offered by the material.
The global market size is expected to reach USD 199.15 billion by 2030.
The key market drivers, such as rising consumption of non-alcoholic drinks and benefits offered by beverage packaging are contributing to the growth of this market.
The top players in the market are Amcor Plc, Glasswork International, Ball Corporation, and Crown Holdings, among others.