Returnable Packaging Global Market Opportunities and Strategies to 2033

This report describes and explains the returnable packaging market and covers 2018-2023, termed the historic period, and 2023-2028, 2033F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global returnable packaging market reached a value of nearly $120.33 billion in 2023, having grown at a compound annual growth rate (CAGR) of 6.6% since 2018. The market is expected to grow from $120.33 billion in 2023 to $168.3 billion in 2028 at a rate of 6.9%. The market is then expected to grow at a CAGR of 7.4% from 2028 and reach $240.94 billion in 2033.

Growth in the historic period resulted from the rapid industrial growth, increased emphasis on reducing carbon footprint, growing demand for reusable packaging and growth in retail and FMCG sectors. Factors that negatively affected growth in the historic period include stringent government protocols.

Going forward, the increasing urban populations, expansion of the e-commerce industry, strong economic growth in emerging markets and growing consumer demand for eco-friendly products will drive the market. Factors that could hinder the growth of the returnable packaging market in the future include high initial investment.

The returnable packaging market is segmented by product into pallets, crates, intermediate bulk containers (IBCs), tanks, drums and barrels, dunnage and cargo protection and other products. The pallets market was the largest segment of the returnable packaging market segmented by product, accounting for 59.1% or $71.14 billion of the total in 2023. Going forward, the intermediate bulk containers (IBCs) segment is expected to be the fastest growing segment in the returnable packaging market segmented by product, at a CAGR of 8.4% during 2023-2028.

The returnable packaging market is segmented by material into plastic, metal, wood and other materials. The plastic market was the largest segment of the returnable packaging market segmented by material, accounting for 55.6% or $66.95 billion of the total in 2023. Going forward, the plastic segment is expected to be the fastest growing segment in the returnable packaging market segmented by material, at a CAGR of 7.5% during 2023-2028.

The returnable packaging market is segmented by end-user into food and beverage, automotive, consumer durables, healthcare and other end-users. The food and beverage market was the largest segment of the returnable packaging market segmented by end-user, accounting for 31% or $37.28 billion of the total in 2023. Going forward, the healthcare segment is expected to be the fastest growing segment in the returnable packaging market segmented by end-user, at a CAGR of 8.3% during 2023-2028.

Asia-Pacific was the largest region in the returnable packaging market, accounting for 37.2% or $44.71 billion of the total in 2023. It was followed by North America, Western Europe and then the other regions. Going forward, the fastest-growing regions in the returnable packaging market will be Asia-Pacific and Africa, where growth will be at CAGRs of 9% and 8.3% respectively. These will be followed by the Middle East and South America, where the markets are expected to grow at CAGRs of 7.7% and 7% respectively.

The global returnable packaging market is fragmented, with a large number of small players operating in the market. The top ten competitors in the market made up to 6.65% of the total market in 2023. Brambles was the largest competitor with a 2.02% share of the market, followed by Schutz GmbH & Co. KGaA with 1.21%, Menasha Corporation with 0.96%, NEFAB GROUP with 0.95%, Schoeller Allibert with 0.44%, Myers Industries Inc. with 0.37%, IPL, Inc. with 0.27%, UFP Technologies with 0.26%, Cabka Group with 0.13% and Monoflo International with 0.04%.

The top opportunities in the returnable packaging market segmented by product will arise in the pallets segment, which will gain $28.94 billion of global annual sales by 2028. The top opportunities in the returnable packaging market segmented by material will arise in the plastic segment, which will gain $29.33 billion of global annual sales by 2028. The top opportunities in the returnable packaging market segmented by end-user will arise in the food and beverage segment, which will gain $16.31 billion of global annual sales by 2028. The returnable packaging market size will gain the most in China at $10.82 billion.

Market-trend-based strategies for the returnable packaging market include focus on innovation and new product development to improve packaging durability, strategic partnerships and acquisitions, introduction of eco-refills and lightweight returnable bottles to combat plastic pollution and advancements in returnable packaging technologies for eco-friendly logistics solutions.

Player-adopted strategies in the returnable packaging market include focus on expanding business through strategic partnerships, strategic acquisitions and new product solutions.

To take advantage of the opportunities, the analyst recommends the returnable packaging companies to focus on product innovation and customization, focus on sustainable packaging innovations, focus on eco-friendly logistics solutions, focus on intermediate bulk containers (IBCs) segment, focus on plastic segment growth, focus on expanding distribution channels through strategic partnerships and acquisitions, expand in emerging markets, continue to focus on developed markets, provide competitively priced offerings, participate in trade shows and events, continue to use B2B promotions and focus on food and beverage segment growth.