The global sales of barrier shrink bags are estimated to be worth USD 3.4 billion in 2024 and are anticipated to reach a value of USD 4.9 billion by 2034. Sales are projected to rise at a CAGR of 3.5% over the forecast period between 2024 and 2034. The revenue generated by barrier shrink bags in 2023 was USD 3.3 billion. The industry is anticipated to exhibit a Y-o-Y growth of 3.4% in 2024.
Meat is the leading application of barrier shrink bags which is anticipated to reach more than 54% of value share in 2034 end. This is because fresh, frozen, and processes meat products require reliable packaging in order to maintain quality and shelf life. Barrier shrink bags prevents spoilage, moisture, and contamination of meat in storage and transport.
The continual rise of meat consumption in emerging markets will therefore result in the increase in demand barrier shrink bags. They are important in meat packaging industry because they preserve freshness and maintain the product integrity.
Global Barrier Shrink Bags Industry Assessment
| Attributes | Key Insights |
|---|---|
| Historical Size, 2023 | USD 3.3 billion |
| Estimated Size, 2024 | USD 3.4 billion |
| Projected Size, 2034 | USD 4.9 billion |
| Value-based CAGR (2024 to 2034) | 3.5% |
Ultra high barrier shrink bags are anticipated to grow at 4.1% of CAGR during the forecast period. Ultra high barrier shrink bags will grow mainly because of the fact that such a product aids in the extended preservation of high perishable products because of superior ability to oxygen, moisture, and contaminants which has been often the case of packaging sensitive foods such as meat, seafood, and dairy.
Greater shelf life means fresher food and therefore as consumers will keep on demanding to have better shelf life packaging solutions, this will improve the performance capabilities of packaging. Technological advancements in material science further increase the strength and efficiency of these bags.
The barrier shrink bags industry is set to experience moderate growth during the forecast period. It is projected to create an incremental opportunity of USD 1.5 billion and is predicted to rise 1.4 times the current market value through 2034.
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The below table presents the expected CAGR for the global barrier shrink bags market over several semi-annual periods spanning from 2024 to 2034. In the first half (H1) of the decade from 2023 to 2033, the business is predicted to surge at a CAGR of 3.7%, followed by a slightly lower growth rate of 3.3% in the second half (H2) of the same decade.
| Particular | Value CAGR |
|---|---|
| H1 | 3.7% (2023 to 2033) |
| H2 | 3.3% (2023 to 2033) |
| H1 | 3.2% (2024 to 2034) |
| H2 | 3.8% (2024 to 2034) |
Moving into the subsequent period, from H1 2024 to H2 2034, the CAGR is projected to increase slightly to 3.2% in the first half and remain relatively moderate at 3.8% in the second half. In the first half (H1) the market witnessed a decrease of 40 BPS while in the second half (H2), the market witnessed an increase of 50 BPS.
Increasing Demand for Fresh & Safe Meat & Dairy Products
The growing demand for fresh and safe food propel the demand for barrier shrink bags since they have robust oxygen and moisture barrier for extending the shelf lives of perishable products that are meat, seafood, poultry, and cheese items. These bags contain freshness for longer duration without exposure to air or moisture, thereby reducing spoilage.
Barrier shrink bags also prevent the risk of food due to contamination. They limit possible risks that may emerge from transportations and products stores to end consumers on arrival while guaranteeing fresh commodities. Therefore, this satisfies increasingly higher demands form consumer for wholesome food products that are safely packed.
The growth in meat and dairy consumption worldwide, especially in emerging markets, creates an increased need for strong packaging solutions. With the barrier shrink bags becoming progressively more important this type of packaging is crucial as it maintains the freshness of the products at long distances by providing tough protection of perishable products during transportation and storage.
This packaging is a requirement mainly for the export market due to the handling of the merchandise, temperature variations, and longer transit times associated with meat, cheese, and other dairy products.
For any extended distribution network and meat export requirements of the industry, these shrink bags maintain good quality as well as extension shelf life. Furthermore, through barrier, these prevent cross contamination which helps retain the hygiene of products with longer shelf lives.
Enhanced Barrier properties for Longer Shelf Life
Superior oxygen and moisture resistance through materials and multi-layer technologies developed barrier shrink bags ensure shelf life for perishable foods can be increased significantly. Better barrier prevents the spoilage of contents through limitation in exposure of air and humidity hence contents remain fresher and healthier for a longer time.
Increased puncture and abrasion resistance is becoming a necessity to protect packaging for heavier and sharp products, such as bone in meats. This increased strength reduces the possibilities of failure of bags during the handling and transporting process, hence increasing the assurance of reaching consumers in the best possible state.
Technological advancements in the film and coating is changing barrier shrink bags. It provides high protection by enhancing their features. Multilayer film technology allows strong barrier protection. Thin, flexible layers offer strong barrier protection with less material use without compromising performance.
It therefore enables lighter, more efficient packaging that still offers the highest level of resistance to oxygen, moisture, and contaminants. Furthermore nanotechnology will revolutionize packaging itself when ultra this barrier in microscopic forms are developed. Such nano-coatings may offer a more effective, durable protection that keeps products fresh longer with only minimal material usage and waste.
Environmental Concerns & Regulatory Pressure & Limits the Expansion
Barriers shrink bags are predominantly made of plastic, and due to this, the problem of pollution and waste arises. Based on this, places with tight restrictions on the environment have, in turn, applied increased limitations on using single use plastics and other non-biodegradable packaging materials.
Traditional packaging faces a fight from such new rules by forcing producers to design some green alternatives for their product. However, changing production process into recyclable or biodegradable material often requires very sophisticated transformations. Shrink bags with functional properties pose the greatest challenge to the industry for meeting the regulatory requirements.
Principal Consultant
The global barrier shrink bags industry recorded a CAGR of 1.8% during the historical period between 2019 and 2023. The growth of the barrier shrink bags industry was positive as it reached a value of USD 3.3 billion in 2023 from USD 3.1 billion in 2019.
The barrier shrink bags market has been positively growing from 2019 to 2023, which is driven by the continually rising demand for fresh and safe food products, with advancements in packing technology and a greater demand for the longer shelf life of perishable food products such as meat, seafood, poultry, and cheese.
These were supplemented by increased consumptions of meat, dairy, and seafood, compounded by increased global trade which raised the demand for solutions to maintain food quality at all points of transport and storage.
Advanced film technologies, especially multi-layer films, enhanced the barrier properties of the shrink bags as well, and the industry also began to see some movement toward green alternatives because of the adoption of environmentally friendly packaging.
However, the adoption of sustainable packaging was limited due to the costs incurred and technical challenges. The developed regions were North America and Europe contributes maximum market share, whereas the emerging regions, primarily the Asia-Pacific region, were growth drivers due to increased income levels and urbanization.
From 2024 to 2034, the market is expected to be expand further driven by several factors. Demand for barrier shrink bags will surge due to the consumption of processed and packaged foods in emerging markets such as Asia-Pacific, Latin America, and Africa, where growth in their middle class would drive the market significantly.
Single-use plastics is sure to attract stricter regulatory environments, while consumers show growing awareness toward sustainability of packaging. Therefore, manufacturers are likely to spend more and invest in biodegradable and recyclable packaging for the products.
Technological development, including the use of nanotechnology to provide an increased barrier for better protection, and wide-scale implementations of modified atmosphere packaging also boost growth. Surging demand for convenience food ensures its packaging to guarantee products remaining fresh or safe while also becoming more important going ahead.
The market achieved merely the modest growth rate through from 2019 through until 2023 and so, for 2024-2034 looks quite bright as it indicates an upsurge into demand and sustainability that may also result from technological innovation to one and then environmental influences further.
Tier 1 companies in the global barrier shrink bags industry include Amcor plc, Sealed Air Corporation, Asahi Kasei Corporation and Viscofan Group with market revenue above USD 50 million.
These manufacturers are market leaders in barrier shrink bags within global industry having extensive production capacity, different product offerings, and extensive manufacturing expertise. These companies are capturing around 8% to 15% of global market share in the barrier shrink bags industry.
Tier 2 of the global barrier shrink bags industry incorporates companies like FLEXOPACK S.A., WINPAK LTD., Transcontinental Inc. and PREMIUMPACK GmbH with revenue of USD 10 to 50 million. They have limited presence, and well-maintained knowledge but may not have expertise and advanced manufacturing technology.
Tier 3 category in the global barrier shrink bags market includes the small-scale players of the region with revenue below USD 10 million. These companies fulfil the local market demand and are recognized as an unorganized market. They have a country level presence, limited manufacturing facilities, and expertise in local market needs.
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The section below covers the industry analysis of the barrier shrink bags market for different countries. Market demand analysis on key countries in several regions of the globe, including North America, South Asia & Pacific, East Asia, Western Europe, Eastern Europe, and others, is provided. North America projected to grow at 2.7% CAGR during forecast period while South Asia Pacific is anticipated to reach almost 34% of value share in 2034 end.
| Countries | Value CAGR (2024 to 2034) |
|---|---|
| USA | 2.1% |
| Germany | 1.2% |
| UK | 1.1% |
| Canada | 2.7% |
| India | 4.6% |
| China | 4.0% |
| Japan | 4.1% |
| Brazil | 3.0% |
UK is anticipated to reach USD 102.6 million revenue in the end of 2034. An upsurge in the UK prime cattle slaughter and beef production in 2024 has proportionally increased barrier shrink bag demand. With UK beef production expected to reach 902,000 tons, packaging solutions that will maintain the quality, freshness, and safety of beef become more critical.
The barrier shrink bag is best option in the meat protection since it is acting to be a more effective barrier with an extended shelf life than ensured against oxygen, moisture and contaminants. With this boost in beef production comes need for more shrink bags when it comes to their storing, distribution, as well as exportation out into the market.
High volumes produced in the UK come by high volume beef demands of packaging solutions hence barrier demand in the country keeps getting high.
According to the USDA, huge levels of meat production in the United States are projected at 47.53 million tons in 2022. Therefore, this will create enormous opportunities for big packaging solutions in meat, including barrier shrink bags, because the USA is the biggest producer of meat around the world. The quality of products should thus be preserved, and shelf life extended and spoilage prevented using extensive packaging.
They therefore protect meat products from oxygen, moisture, and contamination during transport, storage, and retail display. Better packaging is necessary for increasing production that ensures a high throughput with regards to consumer demands for fresh and safe meat. This has led to an increased demand for barrier shrink bags from meat processors and distributors in the United States to meet the packaging requirements of this large-growing market.
The section contains information about the leading segments in the industry. Polyethylene shrink bags is projected to grow at 3.1% CAGR through 2034. Cheese & dairy applications is projected to grow at 4.3% by end of 2034.
| Material | Polyethylene |
|---|---|
| Value Share (2034) | 32.1% |
Polyethylene shrink bags are anticipated to capture 32% of the market share expanding at 3.1% growth rate by 2034. Leading material in barrier shrink bags is polyethylene, as it is the material offering good strength and flexibility.
In addition, it can be punched easily without it getting ruined and thus can protect easily any perishable product, giving it excellent shelf life by sealing freshness. Since it can be blended with other materials to provide even higher protective qualities, polyethylene comes in clarity form that still allows good product visibility. Last but not least, polyethylene is very cheap, widely available, and as such the practical choice for manufacturers.
| End Use | Cheese & Dairy Products |
|---|---|
| Value Share (2034) | 28.5% |
Cheese & dairy is one of growing application of barrier shrink bags with value share of 28.5% of share and 4.3% of CAGR during assessment period. Cheese and dairy will experience an increase in the barrier shrink bags market since these products are very sensitive and perishable to factors such as moisture, oxygen, and contaminants in the environment.
The barrier shrink bags provide better protection since they lock in freshness in an airtight seal and prevent spoilage, enabling increased shelf life. Cheese and dairy demand this level of protection.
These bags also offer flexibility accommodating various shapes and sizes of products; thus, they are also used for cheese wheels, blocks, and slices. In addition, the aesthetic clear presentation of shrink bags matches consumers' preferences for visible quality packaging and thus increases their demand in the dairy market.
This market is pretty competitive, since there are many players innovating, offering quality, and considering an environmental aspect. The key players in this market are large multinational packaging companies, regional manufacturers, as well as niche specialists who offer more advanced barrier technologies, including multi-layer films, to protect and prolong the shelf life of the packaged product.
It is such a big deal to be sustainable, and, hence, the competitions move towards environment-friendly, recyclable, or biodegradable products as the demand for greener packaging grows.
Another factor is partnerships with food producers and customization options, such as requirements for certain barrier properties for products involving meat, cheese, or seafood. That way, companies can adapt products for the final consumer's needs, and this market competition becomes even more intense.
Recent Industry Developments in Barrier Shrink Bags Market
Barrier shrink bags industry is divided into polyethylene, polypropylene, polyamide, EVOH, PVDC, and others. Polyethylene is further classified as LDPE and LLDPE.
Barrier shrink bags industry is segregated into round bottom sealed, straight bottom sealed, and side sealed.
The industry is classified by high barrier and ultra-high barrier.
The industry is classified by meat, seafood, poultry, cheese & dairy, and other.
Key countries of North America, Latin America, Western Europe, Eastern Europe, South Asia & Pacific, East Asia, and Middle East and Africa (MEA), have been covered in the report.
The global barrier shrink bags industry is projected to witness CAGR of 3.5% between 2024 and 2034.
The global barrier shrink bags industry stood at USD 3.3 billion in 2023.
The global barrier shrink bags industry is anticipated to reach USD 4.9 million by 2034 end.
South Asia and Pacific is set to record the highest CAGR of 4.9% in the assessment period.
The key players operating in the global barrier shrink bags industry include includes Amcor plc, Sealed Air Corporation, Asahi Kasei Corporation and Viscofan Group.
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