The active packaging market size is estimated to be worth USD 6.4 billion in 2024 and is anticipated to reach a value of USD 11.6 billion by 2034. Sales are projected to rise at a CAGR of 6.1% over the forecast period between 2024 and 2034. The revenue generated by active packaging in 2023 was USD 6.1 billion.
Oxygen scavengers technology has applications in diverse end-use industries such as food, healthcare, cosmetics and personal care, electronics and some other end-use industries, capturing a market share of 35.2% in 2024 in the active packaging market. This rise is amid its ability to extend the shelf life of the food, beverages and pharmaceutical products by reducing the oxygen level which helps in slowing down the spoilage and degradation of the products.
Active Packaging Industry Forecast
| Attributes | Key Insights |
|---|---|
| Historical Size, 2023 | USD 6.1 billion |
| Estimated Size, 2024 | USD 6.4 billion |
| Projected Size, 2034 | USD 11.6 billion |
| Value-based CAGR (2024 to 2034) | 6.1% |
Among several end users, the food industry finds major applications for active packaging solutions. The food industry is set to capture more than 23.0% of the total market share in the assessment period. This rise is because of its well-known properties for preserving the freshness, flavor, and nutritional value of food and beverages and ensuring the products reach the consumers with desired quality.
The labels, tapes and tags segment in comparison with other applications is anticipated to dominate the market in the upcoming years and capture a market share of 41.2% in the active packaging market. This is because tapes, labels and tags work as essential tools for conveying necessary information, instructions, and branding and efficiency within the supply chain by facilitating inventory management, traceability, and anti-counterfeiting measures.
The active packaging market is set to experience profitable growth during the forecast period. It is projected to create an incremental opportunity of USD 5.5 billion and is predicted to rise 1.9 times the current value through 2034. The active packaging market is set to experience profitable growth during the forecast period. It is projected to create an incremental opportunity of USD 5.5 billion and is predicted to rise 1.9 times the current value through 2034.
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The below table presents the expected CAGR for the global active packaging market over several semi-annual periods spanning from 2024 to 2034. In the first half (H1) of the year from 2023 to 2033, the business is predicted to surge at a CAGR of 6%, followed by a slightly higher growth rate of 6.2% in the second half (H2) of the same year.
| Particular | Value CAGR |
|---|---|
| H1 | 6% (2023 to 2033) |
| H2 | 6.2% (2023 to 2033) |
| H1 | 5.8% (2024 to 2034) |
| H2 | 6.4% (2024 to 2034) |
Moving into the subsequent period, from H1 2024 to H2 2034, the CAGR is projected to decrease slightly to 5.8% in the first half and remain relatively moderate at 6.4% in the second half. In the first half (H1) the market witnessed a decrease of 20 BPS while in the second half (H2), the market witnessed an increase of 20 BPS.
Growing Cases of Child Foodborne Illness Drive Active Packaging Market
With the rise in consumption of packaged foods and fresh produce foods like milk, pre-cut fruits, breakfast cereals, yoghurts, juices, meat and other frozen foods, etc. among children, there has been burgeoning demand for safe packaging solutions to avoid their contamination and spoilage which can lead to various types of food-borne diseases. The World Health Organization (WHO) reported that, around 125,000 children below the age of 5 years die due to severe food-borne illness.
Thus, there is an increasing demand for active packaging products due to their guaranteed safety in food contact for food packaging to reach the customers pure in quality and safe. These foods pass through various environmental conditions that might cause contamination.
Effects of sunlight, temperature changes, moisture, oxygen and other gases degrade the quality of foods and beverages give rise to microbial growth and contaminate the products. Active packaging products and technologies like oxygen and moisture scavengers and anti-microbial packaging are very crucial to keeping the product intact and ensuring the product’s integrity.
Active packaging technologies such as moisture scavengers absorb the extra moisture from the packages to maintain the desired humidity levels, thus extending the shelf life of packaged foods by minimizing conditions that promote degradation and mould growth, preserving the quality of foods that are sensitive to moisture, consequently preventing the microbial growth and spoilage of the products. To prevent cases of food-borne illness the need for technologies like moisture scavengers is driving the active packaging market.
Active Packaging Market growth Driven by Global Pharmaceutical Industry Expansion
The benefits associated with the implementation of active packaging technologies has made it one of the favored packaging solutions for various pharmaceutical and medical products. The rising pharmaceutical industry and the need for sterile packaging solutions to avoid contamination of medicines, drugs and vaccines at the time of storage and transport have created numerous opportunities for the market.
As reported by the European Federation of Pharmaceutical Industries and Associations in 2022, the global pharmaceutical industry generated a revenue of USD 1.2 trillion with North America contributing for 49.1% and Europe for 23.4%.
To maintain the integrity and efficacy of various pharmaceutical products including tablets, capsules, powdered medications and supplements, and other pharmaceutical products t used in medical procedures active packaging technologies like oxygen barrier films, sachets and wraps are used extensively. Oxygen barrier films and wraps recognized for their robust barrier properties play a crucial in sustaining the sterility of the products.
Thus, the growth of the pharmaceutical industry and the features of active packaging products like oxygen films, wraps and sachets have made it a suitable packaging option that satisfies the need for secured packaging solutions for pharmaceutical products are driving the active packaging market.
Cost Barriers May Hinder Active Packaging Global Expansion
Active packaging solutions are necessary for preserving the quality of products by reducing the oxygen levels required for microbial growth that contaminates the products. The initial investment costs associated with active packaging are quite high for procurement and set up of the required machinery and equipment.
All the supply chain partners like manufacturers, transporters, storage partners, shippers, and retailers need to have access to the necessary equipped active packaging technologies and facilities. This leads to increased costs incurred by all the partners of the supply chain and makes it unaffordable for industries to switch to active packaging.
Moreover, the limited availability of the necessary solutions and infrastructure required for active packaging makes it an expensive option in emerging markets. Thus, huge capital investment and inaccessibility of technologies in emerging markets may hamper the active packaging market.
Principal Consultant
The global active packaging market recorded a CAGR of 4.2% during the historical period between 2019 and 2023. Market growth of active packaging was positive as it reached a value of USD 6.1 billion in 2023 from USD 5.1 billion in 2019.
The major benefits provided by active packaging are improving the shelf life of the product, maintaining the quality of the product, and others which has led to its increased usage in food, medical, cosmetics and personal care industries and logistics and transport. It helps in avoiding harm to the customer’s health by providing an atmosphere that eliminates the chances of oxidation and microbial growth, which in turn maintains the freshness/ quality of the product before the customer consumes the product.
The consumer electronics, logistics and transport industries also find major applications for active packaging technologies to shield goods from external factors like humidity, oxygen, and light and guarantee the product integrity from production till it reaches the customer. These active packaging technologies also work as a smart brand marketing tool conveying the company’s efforts towards the quality maintenance of the products.
These beneficial characteristics encourage active packaging technology and product manufacturers to innovate with improved characteristics to fulfil the demand for safer packaging options from diverse end-use industries. The rise in demand for safe packaging options from several end users is expected to create opportunities for the market.
Tier 1 companies comprise market leaders with a market revenue of above USD 120 million capturing significant market share of 10% to 15% in global market. These market leaders are characterized by high production capacity and a wide product portfolio.
These market leaders are distinguished by their extensive expertise in manufacturing across multiple packaging formats and a broad geographical reach, underpinned by a robust consumer base. They provide a wide range of series including recycling and manufacturing utilizing the latest technology and meeting the regulatory standards providing the highest quality.
Prominent companies within tier 1 include Amcor plc, Avery Dennison, AptarGroup, Inc., Mitsubishi Gas Chemical Company, Inc. and Sealed Air Corporation.
Tier 2 companies include mid-size players with revenue of USD 30 to 120 million having presence in specific regions and highly influencing the local market. These are characterized by a strong presence overseas and strong market knowledge. These market players have good technology and ensure regulatory compliance but may not have advanced technology and wide global reach. Prominent companies in tier 2 include Avient Corporation., IMPAK CORPORATION, Multisorb., DuPont., Clariant AG, Cilicant Private Limited, Actinpak, WISESORBENT® TECHNOLOGY LLC, Keep It Fresh, and Sorbead India.
Tier 3 includes the majority of small-scale companies operating at the local presence and serving niche markets having revenue below USD 30 million. These companies are notably oriented towards fulfilling local market demands and are consequently classified within the tier 3 share segment. They are small-scale players and have limited geographical reach. Tier 3, within this context, is recognized as an unorganized market, denoting a sector characterized by a lack of extensive structure and formalization when compared to organized competitors.
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The section below covers the future forecast for the active packaging market in terms of countries. Information on key countries in several parts of the globe, including North America, Latin America, East Asia, South Asia and Pacific, Western Europe, Eastern Europe and MEA is provided. UK is anticipated to remain at the forefront in Europe, with a CAGR of 5.5% through 2034. In South Asia and Pacific, India is projected to witness a CAGR of 7.6% by 2034.
| Countries | Value CAGR (2024 to 2034) |
|---|---|
| USA | 4.3% |
| Germany | 4% |
| China | 7.1% |
| UK | 5.5% |
| Spain | 3.5% |
| India | 7.6% |
| Canada | 5.9% |
The active packaging market in India is projected to grow at a CAGR of 5.5% compared to other European countries by 2034. The UK is one of the largest providers of life-saving medicines and drugs to patients across the globe. The country’s pharmaceutical industry has exceptional strength in the research and production of world-class drugs and vaccines which led to the export of various medicinal and pharmaceutical products worth £26.1 billion in 2023, as per the reports of The Association of the British Pharmaceutical Industry.
To export these products beyond the geographical boundaries, they require the necessary packaging solution to deliver these products to the desired location safely. Active packaging products are thus used for this purpose due to their excellent barrier properties for moisture, oxygen, and UV light, which are critical for preserving the quality and potency of sensitive formulations ultimately maintaining the efficacy and stability of the medicines and drugs.
Due to growing exporting activities related to pharmaceutical industries and to maintain the quality of these products, the demand for active packaging is anticipated to be high in the UK.
India's active packaging industry offers a lot of opportunities for the market. The country is anticipated to record a CAGR of 7.6% during the evaluation period.
With escalating disposable income and busy schedules among the population in India, many of them prefer to order fresh food products such as fruits, vegetables, meat, and etc.at home instead of physically visiting the grocery stores. This is due to the extra comfort zone offered by food delivery services, which allows people to sit at home and order food online via websites like Swiggy, Zomato, Dunzo and many others. As per the data of Open Network for Digital Commerce (ONDC), the number of food deliveries jumped to 5 lakhs in the past few months of February and March across 200 countries.
As food delivery services for fruits and vegetables are on the rise, there has been a need for active packaging technology such as ethylene absorbers to remove ethylene gas from the atmosphere within enclosed spaces, slowing down the ripening process of fruits and vegetables, extending their shelf life. Thus, the demand for active packaging is expected to increase in India over the forecast period, due to its ability to enhance the freshness and preserve the taste, texture, and appearance of produce.
Germany’s active packaging industry offers a lot of opportunities amid expansion of cosmetics & personal care industry and need for protective packaging solutions in the country. The country is anticipated to record a CAGR of 4% during the evaluation period.
Germany’s cultural influence for beauty and skincare products and rise in awareness regarding health and wellness are spurring the demand for personal care products at the domestic level in the country. The Industrieverband Koerperpflege- und Waschmittel e. V. reported, that the country’s cosmetic industry had a great response from the people which led to a rise in sales of cosmetic and personal care products by 8.6% in 2023.
Due to the growth of industry, the need for careful packaging for creams, serums, lotions, oils, perfumes, etc. has also surged, this is because using damaged or spoiled personal care products can cause severe skin allergies and disorders.
To prevent spoilage and to preserve the integrity of the product the industry is asking for high demand of active packaging technolgies owing to its barrier properties and preserve the stability and efficacy of active ingredients, such as vitamins, antioxidants, and botanical extracts, by minimizing exposure to oxygen, moisture, and light.
The section contains information about the leading segments in the industry. In terms of technology, oxygen scavengers is estimated to account for a share of 35.2% by 2034. By end use, the food segment is projected to dominate by holding a share of 23.7% by the end 2034.
| Technology | Oxygen Scavengers |
|---|---|
| Value CAGR (2034) | 5.7% |
Among different active packaging technologies, oxygen scavengers are expected to lead the active packaging market during the forecast period. Oxygen scavengers are anticipated to rise at a CAGR of 5.7% till the end of 2034.
Packaging is a crucial factor responsible for preserving the quality of food products, medicinal drugs and vaccines, and various personal care and cosmetic products. In the case of inefficient packaging, the products are prone to lose their quality and have bad impacts on the users. Oxygen scavengers are substances or materials designed to reduce or remove oxygen from their surrounding environment.
Using oxygen scavenger products prevents the oxidation of the food products maintains freshness, and extends the shelf life of packaged foods like snacks, bakery products, and beverages, in pharmaceutical industries they protect sensitive drugs from degradation due to excess oxygen exposure, ensuring the efficacy of the medicines and drugs.
In cosmetics and personal care products like perfumes oxygen scavengers ensure product stability and preserve the fragrance. The wine and beverage industry also has many benefits associated with the use of oxygen scavengers such as maintaining the texture, colour and most importantly the flavour of these beverages
| End Use | Food |
|---|---|
| Value CAGR (2034) | 5.9% |
The food segment among other end users like pharmaceuticals, cosmetics personal care and other industries is estimated to lead the active packaging market with a CAGR of 5.9% till 2034.
Active packaging is very important in today’s era due to rising millennials' adoption of packaged foods like snacks, dry nuts, granola, bakery and dairy products like biscuits, cookies, milk, curd, ice creams, etc.
Several active packaging products offer the required safe and hygienic packaging solutions for these foods and avoid the chances of deterioration during storage and transport at the same time sustain the freshness and nutritional value of food products for extended periods. Active packaging technologies have compliance with the necessary stringent food safety and quality standards, building a sense of trust among consumers.
The changing consumer choices for more convenient and advanced packaging solutions is another reason for the high usage of active packaging in the food industry. Factors like these are anticipated to showcase an escalating demand for active packaging in the food industry over the forecast period.
Key players of active packaging industry are developing and launching new products in the market. They are integrating with different firms and extending their geographical presence. Few of them are also collaborating and partnering with local brands and start-up companies for new product development.
Key Developments in Active Packaging Market
In terms of technology, the active packaging market is divided into oxygen scavengers, ethylene absorbers, moisture scavengers and anti-microbial packaging.
Few of the applications in active packaging market include sachets, labels, tapes and tags, films and wraps, mailers and other applications.
Some of end users related to active packaging market include food, beverages, personal care and cosmetics, healthcare, logistics and transport, consumer electronics and other industrial
Key countries of North America, Latin America, East Asia, South Asia and Pacific, Western Europe, Eastern Europe, Middle East and Africa are covered.
The active packaging industry is projected to witness CAGR of 6.1% between 2024 and 2034.
The global active packaging industry stood at USD 6.1 billion in 2023.
Global active packaging industry is anticipated to reach USD 11.6 billion by 2034 end.
South Asia and Pacific is set to record a CAGR of 7.6% in assessment period.
The key players operating in the active packaging industry are Amcor plc, Avery Dennison, AptarGroup, Inc., Mitsubishi Gas Chemical Company, Inc. and Sealed Air Corporation.
1. Executive Summary 2. Industry Introduction 3. Market Trends and Success Factors 4. Market Background 5. Global Market Demand Analysis 2019 to 2023 and Forecast 2024 to 2034 6. Pricing Analysis 7. Global Market Value (USD) Analysis 2019 to 2023 and Forecast 2024 to 2034 8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by Technology 8.1. Oxygen Scavengers 8.2. Ethylene Absorbers 8.3. Moisture Scavengers 8.4. Anti-microbial Packaging 9. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by Application 9.1. Sachets 9.2. Labels, Tapes, & Tags 9.3. Films & Wraps 9.4. Mailers 9.5. Other Applications 10. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by End Use 10.1. Food 10.2. Beverages 10.3. Personal Care & Cosmetics 10.4. Logistics and Transport 10.5. Healthcare 10.6. Consumer Electronics 10.7. Other Industrial 11. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, by Region 11.1. North America 11.2. Latin America 11.3. Eastern Europe 11.4. Western Europe 11.5. South Asia and Pacific 11.6. East Asia 11.7. Middle East and Africa 12. North America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Market and Country 13. Latin America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Market Segments and Country 14. Eastern Europe Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Market Segments and Country 15. Western Europe Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Market Segments and Country 16. East Asia Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Market Segments and Country 17. South Asia and Pacific Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Market Segments and Country 18. Middle East and Africa Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Market Segments and Country 19. Sales Analysis 2024 & 2034 by Key Market Segments for 30 Countries 20. Competition Outlook including Market Structure Analysis, Company Share Analysis by Key Players, and Competition Dashboard 21. Company Profile 21.1. Amcor plc 21.2. DuPont 21.3. Avery Dennison 21.4. AptarGroup, Inc. 21.5. MITSUBISHI GAS CHEMICAL COMPANY, INC. 21.6. Avient Corporation 21.7. IMPAK CORPORATION 21.8. Sealed Air Corporation 21.9. Multisorb 21.10. CLARIANT 21.11. Cilicant Private Limited 21.12. Actinpak 21.13. WISESORBENT® TECHNOLOGY LLC 21.14. Keep It Fresh 21.15. Sorbead India
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Active Packaging Market
