Eco-Friendly Food Packaging Market Report 2026

The eco-friendly food packaging market size has grown rapidly in recent years. It will grow from $271.54 billion in 2025 to $299.28 billion in 2026 at a compound annual growth rate (CAGR) of 10.2%. The growth in the historic period can be attributed to increasing consumer awareness of sustainable packaging, expansion of packaged food consumption, rising regulatory restrictions on plastic usage, growth in food processing industries, availability of recyclable packaging materials.

The eco-friendly food packaging market size is expected to see rapid growth in the next few years. It will grow to $439.9 billion in 2030 at a compound annual growth rate (CAGR) of 10.1%. The growth in the forecast period can be attributed to increasing demand for compostable food packaging, rising investments in sustainable material innovation, expansion of circular economy initiatives, growing adoption of eco-friendly packaging by food brands, increasing focus on reducing packaging waste. Major trends in the forecast period include increasing adoption of biodegradable packaging materials, rising demand for active food packaging solutions, growing use of recycled content packaging, expansion of alternate fiber packaging techniques, enhanced focus on food safety and shelf-life extension.

The growth of the eco-friendly food packaging market is being driven by a rising consumer awareness of the drawbacks associated with plastic products in food packaging. The extensive use of single-use and non-degradable plastic packaging has detrimental effects on the environment, as plastic takes an extended period to decompose in landfills. The persistent presence of plastic waste poses significant harm to the environment, impacting plant and animal life, as well as human well-being. Countries like Germany and Austria lead in recycling waste, with rates of 56% and 52%, respectively, according to the World Economic Forum. Additionally, Wales has set ambitious recycling goals, targeting zero waste by 2050, while the EU is contemplating a new 2030 target of at least 65%. Increasing consumer awareness of the hazards associated with plastic food packaging is expected to fuel the growth of the eco-friendly food packaging market in the coming years.

Leading companies in the global eco-friendly food packaging market are concentrating on creating innovative solutions, such as sustainable packaging services, to minimize environmental impact, improve product safety, and cater to the increasing consumer demand for eco-friendly options. Sustainable packaging services encompass a variety of solutions aimed at producing packaging that is environmentally friendly and reduces the negative effects on the planet. For example, in April 2024, Foodchain ID, a US-based company specializing in food safety and quality, introduced Sustainable Packaging Services, which significantly lowers environmental impact by reducing waste and carbon footprints through the use of recyclable and biodegradable materials. These services also bolster brand loyalty and market competitiveness by aligning with consumer preferences for eco-friendly practices, ultimately promoting sales growth and ensuring compliance with evolving regulations.

In December 2023, Inno-Pak LLC, a US-based designer and manufacturer of eco-friendly packaging solutions, acquired Albany Packaging for an undisclosed amount. This acquisition is intended to strengthen Inno-Pak's integrated manufacturing capabilities in North America, build a more resilient supply chain, increase investments in eco-friendly paper packaging solutions, and position the company to take advantage of favorable market trends in the food service and grocery sectors. Albany Packaging is a US-based manufacturer specializing in eco-friendly packaging boxes designed for the food industry.

Major companies operating in the eco-friendly food packaging market are Amcor plc, Mondi plc, Sealed Air Corporation, Ball Corporation, Tetra Pak International SA, Huhtamaki Oyj, Smurfit Kappa Group, Sonoco Products Co., Pactiv Evergeen Inc., European License Of PURE-PAK, Winpak Ltd., Printpak Holdings Inc, PaperFoam BV, Be Green Packaging, DS Smith plc, Crown Holdings Inc., Ardagh Group Company, Uflex Limited, Graphic Packaging, Vegware Ltd., LimeLoop, Notpla Ltd., EcoEnclose LLC, Genpak LLC, Biopak Pty Ltd., Stora Enso Oyj, International Paper Company, Novamont S.p.A., NatureWorks LLC, Berry Global Inc., Reynolds Group Holdings Limited, BioMass Packaging, Sabert Corporation, World Centric.

North America was the largest region in the eco-friendly food packaging market in 2025. The regions covered in the eco-friendly food packaging market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the eco-friendly food packaging market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The eco-friendly food packaging market consists of sales of biodegradable material, sustainable packaging, green packaging, environmentally-friendly packaging, recyclable, reusable, and non-toxic material. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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