by Industrial packaging refers to the packaging of goods and material for transportation. It protects products from potential damage during transportation, distribution, storage and other handling. Some common industrial packaging materials include metals, plastics, paper, wood and fiber. Industrial packaging plays a crucial role in preserving, transporting and protecting various goods ranging from food and beverage to electronics and chemicals. It ensures safety of products across supply chain and prevents wastage.
The global Industrial Packaging Market is estimated to be valued at US$ 68,677.9 Mn in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends driving growth in the industrial packaging market is the exponential growth of the e-commerce industry globally. The rise of online shopping has increased demand for secure, effective and affordable industrial packaging solutions. Manufacturers focus on developing more sustainable and specialized packaging tailored to the needs of the e-commerce sector. Advancements in materials and technologies are allowing packaging designs with improved barrier properties, stackability and drop resistance. Growing industrial sectors like automotive, electronics and pharmaceuticals also fuel the need for sophisticated packaging for manufacturing and shipping.
Porter’s Analysis
Threat of new entrants: The industrial packaging market requires high capital investment for production and R&D. Stringent government regulations make entry difficult for new players in this market.
Bargaining power of buyers: Large industrial buyers have significant bargaining power due to the consolidated nature and large scale of operations. They can negotiate lower prices from packaging suppliers.
Bargaining power of suppliers: Leading packaging material suppliers like paper, plastic have significant control over raw material prices and supply. Fluctuations in raw material costs directly impact supplier bargaining power.
Threat of new substitutes: New substitute packaging materials like composite cans and aseptic cartons pose minimal threat as they have limited applications. Most industrial packaging have design customization for end-use items.
Competitive rivalry: The industrial packaging market has the presence of numerous global and regional players. Intense competition exists based on packaging innovation, design, quality, and pricing.
Key Takeaways
The global Industrial Packaging market is expected to witness high growth, exhibiting CAGR of 5.4% over the forecast period, due to increasing demand from various end-use industries like food and beverages, chemicals, pharmaceuticals. The market size for 2023 is estimated to be US$ 68,677.9 Mn.
Regional analysis: North America dominates the global industrial packaging market led by the US due to strong demand from food and chemical industries in the region. Asia Pacific exhibits highest growth on account of rapid industrialization, growing manufacturing sector and rising export activities in China and India.
Key players operating in the industrial packaging market are Smurfit Kappa Group, Cascades Inc., Mauser Group B.V., Grief Inc., International Paper, Nefab Group, Schutz, Sonoco, AmeriGlobe, and B.A.G. Corp. Key players are focusing on new product launches, mergers, acquisitions and strengthening distribution network to expand market share. Innovation in packaging material and designs customized for end-use items is driving competition in the market.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
