Sustainable Packaging Market Industry Trends and Global Forecasts to 2035, by Type of Eco Friendly Packaging, Type of Packaging, Type of Packaging Container, Type of End Users and Key Geographical Regions

The global sustainable packaging market is estimated to grow from USD 9.67 billion in the current year to USD 19.19 billion by 2035, at a CAGR of 6.43% during the forecast period, till 2035.

The market sizing and opportunity analysis has been segmented across the following parameters:

Type of Eco Friendly Packaging

• Biodegradable
• Recyclable / Reusable

Type of Packaging

• Primary Packaging
• Secondary Packaging
• Tertiary Packaging

Type of Packaging Container

• Ampoules
• Bottles
• Boxes
• Cartons
• Cartridges
• Pouches
• Shippers
• Syringes
• Vials

End User

• Pharmaceutical and Biotechnology Companies
• Research Institutes
• Other End-users

Key Geographical Regions

• North America (US, Canada)
• Europe (Germany, France, Italy, Spain, UK, Rest of Europe)
• Asia-Pacific (Japan, India, China, Australia, Rest of Asia-Pacific)
• Latin America
• Middle East and North Africa
• Rest of the World

Sustainable Packaging Market: Growth and Trends

In the pharmaceutical industry, glass, plastic, metals, cardboard and wood are some of the most commonly used raw materials for primary packaging. However, a significant amount of waste is produced from these conventional raw materials, primarily due to their inability to decompose naturally. It is worth highlighting that over 500 million tons of waste is generated through pharmaceutical packaging globally. Notably, 30% of the plastic packaging materials are either too complex or too small to recycle; examples include sachets and wrappers. This has led to a negative impact on the environment. Moreover, the steadily expanding pipeline of pharmaceutical drug candidates has resulted in a growing demand for packaging solutions. This has compelled packaging providers to develop sustainable / green packaging materials in order to reduce the harmful impact posed on the environment.

In recent years, plastics made from corn starch, sugarcane and cassava have emerged as a promising alternative to conventional packaging solutions. These novel and sustainable packaging raw materials are likely to eliminate the risk of environmental pollution arising from the pharmaceutical industry. Owing to the growing need for sustainable packaging materials, increasing consumer awareness, numerous advantages over conventional packaging materials and rising interest of investors in this domain, the sustainable packaging market is anticipated to experience significant market growth during the forecast period.

Sustainable Packaging Market: Key Insights

The report delves into the current state of the sustainable packaging market and identifies potential growth opportunities within the industry. Some key findings from the report include:

• Presently, over 110 players are engaged in offering sustainable packaging products and / or services; around 85% of these players are headquartered in the developed markets.
• Over 90% of sustainable packaging providers offer products and / or services related to recyclable packaging; among these, more than 60% of the providers use raw materials of natural origin for their products.

• In pursuit of building a competitive edge, stakeholders are actively upgrading their existing capabilities and enhancing their respective sustainable packaging portfolio to comply with the evolving industry benchmarks.
• The growing interest in this domain is evident from the rise in partnership activity; in fact, the maximum number of collaborations related to sustainable packaging in the last few years.
• Foreseeing lucrative returns, many public and private investors have made investments worth over USD 10 billion; the funding activity is well distributed across North America and Europe.
• Driven by the growing environmental degradation due to conventional packaging materials, the demand for sustainable packaging has steadily risen; by 2035, this demand is anticipated to cross over 110 billion units.
• Owing to the shift in consumer preferences towards sustainable packaging, the market is poised to witness substantial growth in the next decade.
• With the rapid increase in the waste generated due to conventional packaging materials, the opportunity for companies offering sustainable packaging is poised to grow at a CAGR of close to 7%.

Sustainable Packaging Market: Key Segments

Biodegradable Packaging is the Fastest Growing Segment of the Sustainable Packaging Market

Based on the type of eco-friendly packaging, the market is segmented into biodegradable and recyclable / reusable. Biodegradable packaging material segment is likely to grow at a relatively higher CAGR during the forecast period. These materials have lesser deleterious effects when compared to recyclable / reusable packaging materials as they do not release harmful toxins and chemicals while their decomposition in the environment. It is worth highlighting that majority of the current sustainable packaging market is captured by recyclable / reusable packaging. This can be attributed to the high production rates, ease of availability and increased shelf life of recyclable / reusable packaging materials. 

Primary Packaging Segment Occupies the Largest Share of the Sustainable Packaging Market During the Forecast Period

Based on the type of packaging, the market is segmented into primary, secondary and tertiary packaging. It is worth highlighting that primary packaging is likely to dominate the market in the coming decade. This can be attributed to the fact that primary packaging plays an essential role in ensuring the quality and hygiene of the product.

Boxes / Cartons Segment is Likely to Dominate the Sustainable Packaging Market During the Forecast Period

Based on the type of pharmaceutical secondary packaging container, the market is segmented into boxes / cartons and pouches. The sustainable packaging market for boxes / cartons is likely to grow at a higher CAGR during the forecast period. It is worth noting that boxes / cartons are suitable to transport a huge number of products with increased strength and durability.

Pharmaceutical and Biotechnology Companies Segment Accounts for the Largest Share of the Sustainable Packaging Market

Based on the end-users, the market is segmented into pharmaceutical and biotechnology companies, research institutes and other users. It is worth highlighting that the market is primarily driven by revenues generated by pharmaceutical and biotechnology companies. This can be attributed to the widespread adoption of sustainable packaging by pharmaceutical and biotechnology companies to enclose various drugs and medical devices. This trend is unlikely to change in the near future.

Asia-Pacific Accounts for the Largest Share of the Market

Based on key geographical regions, the market is segmented into North America, Europe, Asia-Pacific, Middle East and North Africa, Latin America, and the Rest of the World. Currently, Asia-Pacific holds the maximum share of the sustainable packaging market. This can be attributed to the growing consumer awareness, stringent regulations and increasing demand for sustainable packaging solutions. Additionally, the growing population and expanding customer base for pharmaceutical and healthcare products have also fueled market growth in this region. It is worth highlighting that, over the years, the market in Latin America is expected to grow at a higher CAGR.

Key Players in the Sustainable Packaging Market include:

• Amcor
• Berry Global
• Bormioli Pharma
• Drug Plastics
• DS SMITH
• EPL
• Gerresheimer
• Greiner Packaging
• Huhtamaki
• International Paper
• MM Board & Paper
• Mondi
• PGP GLASS
• PPC Flexible Packaging
• SGD Pharma
• Smurfit Kappa
• Stoelzle Glass
• Syntegon
• Takemoto Packaging
• Tekni-Plex

Primary Research Overview

The opinions and insights presented in this study were influenced by discussions conducted with multiple stakeholders. The research report features detailed transcripts of interviews held with the following industry stakeholders:

• Founder, Packaging Guru
• International Key Account Manager, eutecma
• Chief Executive Officer, Softbox Systems
• Head of Product Development / Technical Support Medical, Coveris
• Head of Strategic Marketing and Business Development, Körber
• Innovation Manager, Bormioli Pharma
• Anonymous, A Finland-Based Large Company

Sustainable Packaging Market: Research Coverage

• Market Sizing and Opportunity Analysis: The report features an in-depth analysis of the sustainable packaging market, focusing on key market segments, including [A] type of eco-friendly packaging, [B] type of packaging, [C] type of packaging container, [D] type of end users and [E] key geographical regions.
• Market Landscape: A comprehensive evaluation of sustainable packaging providers, considering various parameters, such as [A] year of establishment, [B] company size, [C] location of headquarters, [D] type of offering, [E] ISO certifications / accreditations, [F] type of packaging, [G] type of eco-friendly packaging, [H] origin of packaging material, [I] type of packaging material used and [J] packaging applications. Further, this section presents the most active players based on the number of packaging products offered.
• Company Competitiveness Analysis: A comprehensive competitive analysis of sustainable packaging providers, examining factors such as [A] company strength and [B] portfolio strength.
• Demand Analysis: Informed estimates of the annual commercial and clinical demand for sustainable packaging based on several relevant parameters, such as [A] type of packaging, [B] primary packaging containers, [C] secondary packaging containers and [D] tertiary packaging containers.
• Company Profiles: In-depth profiles of key sustainable packaging providers, focusing on [A] company overviews, [B] financial information (if available), [C] sustainable packaging offerings, [D] recent developments and [E] an informed future outlook.
• Partnerships and Collaborations: An analysis of partnerships established in this sector, since 2019, based on several parameters, such as [A] year of partnership, [B] type of partnership, [C] type of partner, [D] type of eco-friendly packaging, [E] most active players (in terms of number of partnerships) and [F] geographical distribution of partnership activity.
• Funding and Investment Analysis: A detailed evaluation of the investments made in the sustainable packaging domain, encompassing grants, private placement offerings, capital raised from IPOs, debt financing, and subsequent offerings based on several parameters, such as [A] year-wise trend of funding instances, [B] type of funding, [C] amount invested, [D] geographical analysis, [E] leading players (in terms of number of funding instances and amount raised) and [F] leading investors (in terms of number of funding instances).
• Market Impact Analysis: The report analyzes various factors such as drivers, restraints, opportunities, and challenges affecting the market growth.

Key Questions Answered in this Report

• How many companies are currently engaged in this market?
• Which are the leading companies in this market?
• What kind of partnership models are commonly adopted by industry stakeholders?
• What is the current annual demand for sustainable packaging solutions?
• What factors are likely to influence the evolution of this market?
• What is the current and future market size?
• What is the CAGR of this market?
• How is the current and future market opportunity likely to be distributed across key market segments?

Reasons to Buy this Report

• The report provides a comprehensive market analysis, offering detailed revenue projections of the overall market and its specific sub-segments. This information is valuable to both established market leaders and emerging entrants.
• Stakeholders can leverage the report to gain a deeper understanding of the competitive dynamics within the market. By analyzing the competitive landscape, businesses can make informed decisions to optimize their market positioning and develop effective go-to-market strategies.
• The report offers stakeholders a comprehensive overview of the market, including key drivers, barriers, opportunities, and challenges. This information empowers stakeholders to stay abreast of market trends and make data-driven decisions to capitalize on growth prospects.

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