The Global Green Packaging Market- Growth, COVID-19 impact and Forecast (2021-2025)
The Green Packaging market is segmented by Types (Recycled Content Packaging, Reusable Packaging and Degradable Packaging); End-user (Food and Beverages, Healthcare, Personal Care and Others); Geography (North America, Europe, APAC and ROW).
Introduction
Green packaging is also known as sustainable packaging, which refers to the utilization of sustainable manufacturing methods and materials for the packaging of various products. It makes use of plant-based and biodegradable plastics together with used polyethylene bags and recycled molded packaging bags to make different products.
Factors such as increased demand for eco-friendly packaging solutions, growing food and beverage industry that is increasingly adopting packaging made from degradable and recyclable materials. are anticipated to fuel the demand for green packaging market
Despite the current pandemic situation, the end-users of this market is recovering to operate in full capacities from 2021 beginning. Along with this, the recovering manufacturing activities across the globe are expected to mitigate to numerous potential negative impacts caused during COVID-19 and maximize their opportunities in future.
Table of Contents
Market Overview
The global green packaging market is expected to grow to $350.70 billion by 2025
Growth momentum is expected to accelerate during the forecast period with a 6.07% CAGR.
Growing consumer awareness regarding sustainable packaging, together with rising government bans in countries around the world related to single-use plastics, is expected to fuel the market growth.
Europe is a prominent regional market due to the high awareness among people toward plastic waste coupled with European Union ban on single-use plastics.
Key Trends
Emergence of bio-based raw ingredients such as derivatives of biomass and crop vegetables is expected to be majorly responsible for boosting green packaging market.
Many FMCG companies are adopting green packaging to attain 100% circularity in the value chain and uses organic chemicals for labeling and printing for safer recycling of the product.
Key Market Players
Some of the key players in the market are Amcor, Be Green Packaging, DS Smith, Mondi, Evergreen Packaging, TetraPak International.
Industry players are focusing on R&D activities concerning new plant-based materials that mimic the proaperties of plastics currently in use. The companies are redesigning packaging to include less material, hence saving on the cost and producing less waste. The collaborative efforts work towards increasing the reusability, energy efficiency, and use of recycled and degradable materials.
Growth Drivers and Challenges
Increasing the use of sustainable packaging in food and beverage industry is anticipated to drive the market growth.
The growing awareness regarding environmental conservation and sustainable living is one of the key drivers of the market
Stringent governmental regulations for environment protection and the industrial trend of incorporating renewably sourced materials in the manufacturing process, is also significantly catalyzing the market growth.
High recycling rates, lack of awareness of the value of sustainable packaging and weak recycling facilities are some important factors that hamper the growth of the industry
Not all green packaging decompose in the natural environment, as they require a specific environment in terms of moisture and temperature.
Higher cost of green packaging than that of conventional packaging