June 15, 2024

Edible Packaging Market Driven By Rising Focus On Sustainable Packaging Solutions

Edible packaging consists of ingredients that are generally recognized as safe (GRAS) in direct food contact applications and can safely be consumed after the contents have been eaten. Edible packaging solutions are primarily made from biopolymers such as polysaccharides and lipids. They provide a moisture barrier to packaged food and help extend shelf life without the need for synthetic packaging materials. The growing emphasis on sustainability and reduction of plastic waste is fueling research into new edible film technologies developed from alternative raw materials such as seaweed, algae, and other plant-based sources.

The global Edible Packaging Market is estimated to be valued at US$ 1067.15 Mn  in 2024 and is expected to exhibit a CAGR of 7.3%  over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends

One of the prominent trends spurring growth of the edible packaging market includes increasing adoption in the food an

d beverage industry. Major food brands are incorporating edible films and coatings for various applications such as fresh produce packaging, bakery, snacks and confectionary products. For instance, wikiCells developed an edible wrapping made from seaweed for fruit packaging. Meanwhile, smaller startups are commercializing edible water-based coatings made from chitosan, starch and other polymers for bakery applications. Additionally, robust R&D investments are underway to explore new raw material sources and improve barrier and mechanical properties of edible films. This is expected to expand the scope of edible packaging into moist food categories over the forecast period.

Porter’s Analysis

Threat of new entrants: New entrants in the edible packaging market face high initial capital investments for research and development. Established players hold major market share and distribution networks.
Bargaining power of buyers: Buyers have moderate power as edible packaging is a newer market with limited options. Major buyers include food processing industries.
Bargaining power of suppliers: Key raw materials include polysaccharides, lipids, and protein. Suppliers have moderate power due to availability of substitutes.
Threat of new substitutes: New substitutes include biodegradable polymers, but these need to match properties of edible films such as taste and texture.
Competitive rivalry: The market is growing with presence of large players and new startups.

Key Takeaways

The global Edible Packaging Market Share is expected to witness high growth.

Regional analysis: Asia Pacific dominates with China and India as major markets.

Key players operating in the edible packaging market are Tianshui Huatian Technology Co Ltd, Hana Micron Inc., Lingsen Precision Industries Ltd, Formosa Advanced Technologies Co. Ltd (FATC), Advanced Semiconductor Engineering Inc. (ASE Inc.), Amkor Technology Inc., Jiangsu Changjiang Electronics Technology Co. Ltd, Powertech Technology, King Yuan Electronics Corp. Ltd, ChipMOS Technologies Inc., TongFu Microelectronics Co., and Signetics Corporation. Rising demand for sustainable packaging from food processing industries is pushing innovation. Players are investing in R&D to develop alternatives to plastics and focus on applications in pharmaceuticals, confectionery and baby food with requirements of hermetic sealing and flexibility in shapes and sizes

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it