Thailand Packaging - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The Thailand Packaging Market size is estimated at USD 15.04 billion in 2024, and is expected to reach USD 18.71 billion by 2029, growing at a CAGR of 4.46% during the forecast period (2024-2029).

Thailand's economic expansion has led to a steady rise in both the production and consumption of packaging goods throughout time. The Thailand packaging industry is expanding and making a substantial economic contribution. This is a result of the growing need for packaging supplies that are appropriate for anything and can be used to pack anything.

Key Highlights

• The Thai packaging industry has consistently grown over the past 10 years due to changes in substrate preferences, the opening of new markets, and shifting ownership dynamics. Sustainability and environmental concerns may still be highlighted, especially in developed nations, and the industry is seeing a variety of technologies that cater to paper and plastic packaging.
• Moreover, consumption of non-recyclable plastic packaging is on the rise. As a result, there could be less need for secondary packaging and increasing demand for environmentally friendly packaging materials, including paper and board, recovered PET (rPET), and bioplastic.
• Flexible packaging may eventually supplant conventional packaging. For a variety of food goods, high-barrier films and stand-up retort pouches may compete with rigid pack forms like metal cans and glass jars. Consumers' need for convenience in food may be met via microwaveable ready meals, more portable packaging, packaging for consumption on the go, and convenience features like easy-open and reseal components.
• Furthermore, the complexity and level of competition in the retail industry are other important aspects that influence the market. Modern retail trade shops, such as supermarkets and convenience stores, which may stock a wider variety of frozen food goods, are more widely used. Flexible packaging for frozen foods, such as shrink films, flexible bags, lidding films, high barrier thermoforming films, and skin films, are being adopted at previously unheard-of rates in a number of growing countries.
• While regulations emerging on plastic usage could restrain the growth of flexible packaging in Thailand, for instance, in January 2023, the Thai Industrial Standards Institute (TISI) released the Draft Ministerial Regulation on Plastic Bags for Food (TIS 1027-25xx (20xx)). This outlines safety requirements for substances in the material, as well as specifications for marking, labeling, and testing criteria. It specifically applies to plastic bags made from virgin resin as single-layer plastic films for food packaging. It's important to note that this standard does not apply to custom-printed plastic bags with ink.

Thailand Packaging Market Trends

Plastic is Expected to Hold a Significant Share in the Market

• The Thai packaging market is distinguished by packaging that improves the usefulness of goods through, among other things, on-the-go packs, sustainable packs, or customized packs. The polyethylene (PE) market in the area is expanding as a result of this tendency. Plastic bags, plastic films, and geomembranes are commonly packaged with polyethylene. This thermoplastic resin is thin, somewhat crystalline, and has strong chemical resistance, little moisture absorption, and sound-insulating qualities.
• The country's need for PE resin for packaging is expected to soar during the forecast period, mostly because of the intelligent value chain. Industrial production is changing as a result of Industry 4.0 and the Internet of Things (IoT), and this is opening up new prospects for the PE value chain. The greater traceability provided by Industry 4.0 is expected to play a significant role in ensuring that the package composition can be monitored, particularly where recycled content is present, from the creation of the package through the end product being put on the retail shelf.
• The risk of health problems brought on by prolonged use of the materials is included in the usage of plastics with hot meals. TSH, HCY, and A1C are all favorably correlated with daily usage of plastics with hot meals, but vitamin E, zinc, and selenium concentrations are adversely correlated. The complicated hormonal and metabolic anomalies connected to the release of certain components caused by the usage of plastics with hot meals are the main focus of future studies on the technology.
• Linear low-density polyethylene (LLDPE) bags feature moderate clarity and are used to manufacture food bags, newspaper bags, shopping bags, and garbage bags. Medium-density polyethylene (MDPE) is commonly used to manufacture garbage bags and in consumer packaging for paper products, such as toilet paper or paper towels.

The Food Industry is Expected to Drive the Market's Growth​

• One-fourth of Thailand's GDP is generated by the food and beverage sector, which makes a substantial economic contribution to the nation, as stated by the World Bank. Rice, canned tuna, sugar, pork, cassava products, and canned pineapple are some of the main food exports. Food exports were expected to reach THB 1.55 trillion in 2023 and THB 1.65 trillion in 2024, according to the Federation of Thai Industries (FTI), the Thai Chamber of Commerce (TCC), and the National Food Institute (NFI).
• The Thailand Plastics Industry Association reports that there is a growing market for plastic packaging in Thailand. Pharmaceuticals, home goods, food and beverage, and flexible plastic-based projects are among the items and industries that are projected to witness demand. Plastic is convenient and often used in food packaging because it is inexpensive, easily processed, formable, chemically resistant, lightweight, and has a wide range of physical qualities.
• Over the past few years, Thailand has seen a significant increase in spending on bakery goods and cereal bars, short-run ready meals and coffee or hot chocolate sticks and pouches, dry foods (instant soup, gravy and sauce packets, rice, and food mixes), snack foods and nuts, spice foods, chocolates and sweets, ice-cream novelty items, and bakery goods like cookies (biscuits), cakes, and chips.
• The market is now experiencing a rise in demand for frozen food packaging as a result of customer appreciation of the product quality. The need for frozen food packaging has expanded in Thailand due to the country's expanding economy and evolving lifestyles, and the industry is anticipated to expand profitably over the next years.
• The market is also significantly impacted by the retail industry's complexity and competitiveness. Modern retail trade locations with a wider selection of frozen food items, such as supermarkets and convenience stores, are more often used. Shrink films, flexible bags, lidding films, high barrier thermoforming films, and skin films are all being adopted at previously unheard-of rates in several new countries for frozen food packaging.

Thailand Packaging Industry Overview

The Thai packaging market is highly fragmented and consists of several major players. Major players with a prominent share in the market, including Dainichiseika Color & Chemicals Mfg. Co. Ltd, Fagerdala Singapore Pte Ltd, Eastern Polypack Co. Ltd, TPBI Public Company Limited, and TPAC Packaging, focus on expanding their customer base across foreign countries by adopting various technologies.

• December 2023 - Kao Industrial (Thailand) Co. Ltd (Kao) teamed up with two leading global packaging experts, SCG Chemicals Co. Ltd (SCGC) and Dow Thailand Group (Dow), to develop recyclable packaging. The goal of the partnership is to offer consumers more sustainable packaging choices, focusing on high-quality, lower carbon footprint, and recyclable packaging. Today, the three companies signed a Memorandum of Understanding (MoU) at Dow Thailand's headquarters in True Digital Park West.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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