Brazil Flexible Packaging Market - Forecasts from 2024 to 2029

The Brazilian flexible packaging market is expected to grow at a CAGR of 4.47%, reaching a market size of US$4.507 billion in 2029 from US$3.591 billion in 2024.

Increased consumer markets and the growth of the food industry nationwide are increasing the demand for flexible packaging. The country's consumers are very specific about health aspects associated with packaged food products such as meat and vegetables, cereal and flour, sugar, dairy, etc. Moreover, due to the budget and health-conscious nature of Brazilians, the market for flexible packaging is projected to create immense opportunities for the key market players in the market. There has been a growing demand for healthy food and balanced meals in the region from women and the senior population. Simultaneously, the ready-to-eat meal consumption trend is increasing in every retail sector while convenience stores are continuously developing and launching new products throughout the year, which require good packaging owing to the demand for flexible packaging in the country.

Brazil Flexible Packaging Market Drivers:

Growing penetration of food services in Brazil

One of the prime reasons supporting the market's growth is the growing penetration of food services in the country, which demands flexible packaging solutions. A growing older population with high disposable income demanding processed food, snacks, and pasta that requires excellent packaging is creating a high demand for BOPP film as it provides consistent and excellent seal integrity. The busy lifestyle of the workforce population in the country is also giving rise to takeaways and on-the-go food service, along with home delivery trends, which are leading to innovations in the food packaging industry. Additionally, the ongoing trend of consumers frequently purchasing from online channels, owing to time-pressed schedules and the availability of different cuisines online, has led to the popularity of packaged food products, which will drive market growth in the coming years. For instance, QUADFLEX recyclable was recently launched on the ProActive Sustainability platform, ProAmpac's flagship product.

Rising demand for polyethylene packaging

The growth is due to a rise in demand for various applications in food, beverage, pharmaceuticals, and personal care, as well as increasing penetration of organized and e-retail for polyethene packaging. What has brought about this increase? Surely, it is fueled by the swelling need for economical, lightweight, and easy packaging solutions for polythene materials in general. Due to its versatility, high-density polyethene remains the most commonly used type of plastic. Common uses for HDPE are milk and fresh juice products, personal care goods such as shampoo, and household products. This trend is driven by the increased demand for flexible packaging solutions for sustainability purposes from manufacturers who use recycled plastic resins rather than virgin ones. Brazilian demand for polyethene (PE) rises because of an increasing middle class that stimulates market expansion.

Growing demand for flexible packaging in the food industry

Food packaging is one of the primary uses for plastics. Plastics are appealing due to their low weight and cost, but safety concerns arise when they come into contact with food. Glass, paperboard, and metals have become almost obsolete because the price of plastics is lower than theirs with the same convenience parameters. Therefore, it is easier to manufacture disposable packaging for them. Dairies, confections, confectionery products, and snacks are the major applications of flexible films in the food packaging storage industry.

Brazil Flexible Packaging Market Restraint:

Recycling challenges with Brazil's flexible packaging products

Flexible pouches and other products require numerous processes to separate, making recycling them labour-intensive and unprofitable. Packaging materials include different layers of film, such as foil and paper. Moreover, blending various polymers is possible but this will need capital investment in technology and machinery.

Brazil Flexible Packaging Market Developments:

• In April 2022, Sonoco, a prominent player in the global sustainable packaging industry, revealed that it has bought out private investors for the remaining one-third of Sonoco do Brasil Participacoes, Ltd., a joint venture focused on flexible packaging with operations in Brazil. Sonoco also purchased Graffo Paranaense de Embalagens S/A, a closely held flexible packaging company based in Pinhais, close to Curitiba, Brazil, for its two-thirds share in the joint venture. The joint venture, which served Brazil's dairy, industrial, pharmaceutical, and confectionery markets and several multinational consumer packaging goods companies, is a top-tier supplier of flexible packaging, with sales estimated to reach $34 million in 2021.
• In December 2022, to recover and sell aluminium and polymers from used aseptic carton packs separately for the "first" time on an industrial scale in Brazil, SIG announced a US$10 million investment in recycling technology. SIG is expanding the market and demand for these recycled materials by utilizing technology that allows the PE and aluminium in PolyAl to be separated. SIG is growing in Brazil in part to support the nation's collection and sorting efforts with more comprehensive policies and to raise the nation's recycling rates on a personal basis. This project is the most recent in a string of creative partnerships spearheaded by SIG to increase used aseptic carton collection and recycling rates and sustainably expand the recycling chain.

Key Market Segmentation:

Brazil’s flexible packaging Market is segmented and analyzed as below:

By Packaging Material

• Paper
• Aluminium Foil
• BOPP Film
• Polyethylene
• PET
• Others

By Application

• Food Packaging
• Processed food products
• Bakery Products
• Pet Food Products
• Fruits & Vegetables
• Others
• Beverage Packaging
• Bottles
• Pouches
• Others
• Cosmetics & Toiletries
• Pharmaceutical & Healthcare
• Others