by Industrial packaging products such as pallets, crates, drums, and IBCs are extensively used for the secure and damage-free transportation of industrial and commercial goods. They provide protection to products from external shocks and vibrations during transit. The growing e-commerce industry has significantly increased the demand for industrial packaging solutions.
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 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The rapid growth of the e-commerce sector has been a key driver of industrial packaging market trends. E-commerce sales have increased substantially in recent years as more people turn to online shopping for everything from groceries to furniture and electronics. This has created strong demand for industrial packaging that can protect products during shipping and transportation. Industries have been focusing on developing packaging styles and materials specially designed for the fragile and variable nature of e-commerce goods. Corrugated boxes, shrink wraps, wooden crates and padding materials are being customized to ship individual small items as well as larger bulk orders safely. The growing penetration of e-commerce platforms around the world is expected to further propel the need for robust industrial packaging solutions over the forecast period.
SWOT Analysis
Strength: The industrial packaging market caters to various end-use industries such as chemicals, food and beverage, aerospace and defense, and others which provides stable demand.
Weakness: fluctuating raw material prices can impact the profit margins of industrial packaging manufacturers. Frequent changes in packaging regulations also increases compliance costs.
Opportunity: Growth in e-commerce demand and pharmaceutical industry offers new opportunities. Increased focus on safe and sustainable packaging presents an opportunity for innovative packaging solutions.
Threats: Stagnant global economy poses threat from reduced demand. Stringent regulations on plastic waste disposal and bans on single use plastic are challenges.
Key Takeaways
The global industrial packaging market is expected to witness high growth over the forecast period supported by increasing demand from end use industries. The food and beverage industry holds the major share in terms of demand and will continue its dominance due to need for safe delivery of perishable products. 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 to 2030.
North America dominates the global market due to presence of major pharmaceutical companies in the US. The Asia Pacific region is expected to exhibit fastest growth on account of rapid industrialization in China and India along with growing food processing industry.
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. These key players are focused on new product launches, mergers, acquisitions and expansions to strengthen their market presence. For instance, Grief Inc. acquired Polychem Corporation to enhance its product portfolio in the bio-pharma solution packaging.
