The Rigid Packaging Market was valued at $505 billion in 2020 and is projected to grow at a CAGR of 5.8%, forecast to reach US$800 billion by 2030.
Rigid packaging includes usage of materials such as rigid plastics, metal, glass, and other for packaging applications. A wide variety of rigid packaging materials has been developed over a period of time.
The global market growth is largely driven by increasing consumer goods demand, improving packaging recycling rates, and low cost of rigid plastic packaging. However, the rigid packaging market growth is restrained by factors such as increasing adoption of flexible packaging materials, Eurozone economic uncertainty, fluctuating raw material prices and stringent regulations.
Growing Popularity of Cans and Containers to Propel Market Growth
There are different types of rigid packaging materials that are available in the global market. Most common type of these packaging materials are in the form of cans and containers. These cans and containers are deployed for transporting and storing a wide range of products such as liquids, lotions, oils, beverages, and food among others. Due to the growing demand of these products across the globe, it is expected to have a highly positive impact on the overall development of the global rigid packaging market.
High Preference for Lightweight Flexible Packaging Hindering Growth of Rigid Packaging Market
The shift from conventional rigid packaging to the new and advanced flexible form of packaging hampers the growth of the rigid packaging market. The volume of raw material required for manufacturing rigid packaging is substantially higher than that required for flexible packaging, which makes it an unattractive option for packaging manufacturers. Increasing consumer preference for lightweight and durable packaging is also supporting adoption of flexible packaging, which restricts growth of the rigid packaging market. However, concerns of regulatory authorities regarding lack of proper disposal of waste generated by flexible packaging can provide new opportunities for players in the rigid packaging market.
Paper and Paperboard Material to Emerge as Preferred Material for Manufacturers of Rigid Packaging
Rigid packaging is manufactured from denser and thick material. The paper& paperboard segment is expected to account for nearly 36% of the rigid packaging market, as this type of packaging is eco-friendly and easy to recycle.
Plastic containers are expected to gain more traction during the forecast period, attributable to the easy customization and visual appeal of these containers. Moreover, these plastic containers are manufactured in accordance with regulations of the FDA for food contact materials, which makes them suitable for packaging various food products.
Plastic dominated the market with a revenue share of 42% in 2020. Advantages of plastic such as high strength and stability have made it a popular material for manufacturing rigid packaging products. Besides, it can be molded into various shapes and sizes, without compromising on its quality.
Metals used include aluminum, stainless steel, and tin. Aluminum is the most widely used metal for rigid packaging. Containers and cans are some of the commonly made packing products from metals. Metals are often used due to their extremely high strength and durability. It is more commonly used as a tertiary source of packing, forming the outermost packaging layer, which is not in immediate contact with the product.
Paper was one of the most widely used materials in 2020. It can be used in making both, rigid as well as flexible packaging products. The fact that paper & paperboard can be recycled has made it a common material in the industry. Cost-effectiveness and easy availability of paper & paperboard is contributing to the growth of the segment. The segment accounted for a volume share of 75% in 2020.
Glass is considered to be a sustainable material in the market, as it can be completely recycled. Spiraling demand for glass from the personal care sector is also projected to play a major role in the coming years. Moreover, increasing use of glass bottles in the beverage and pharmaceuticals industries is likely to stimulate the growth of the overall market.
|Market Size||US$ 800 Billion by 2030|
|Growth Rate||CAGR of 5.8% from 2021 to 2030|
|Historic Data||2017 to 2020|
|Forecast Period||2021 to 2030|
|Segments Covered||Material, Application, Product|
|Regional Scope||North America, Latin America, Europe, Asia Pacific, MEA|
|Companies Mentioned||Reynolds Group Holding, Amcor Limited, Sonoco, Bemis Company Inc, Sealed Air Corporation, Plastipak Holdings, Inc., Berry Plastics Corporation, Coveris Holdings S.A., Consolidated Container Company, DS Smith PLC, Silgan Holdings, Inc.|
In terms of application, the food & beverage sector was at the forefront of the rigid packaging market in 2020. Increasing demand for packaged food owing to changing lifestyles is poised to be one of the key growth stimulants of the segment. Flourishing beverage industry, led by products such as liquor and energy drinks, is resulting in boost in the demand for rigid packaging.
Pharmaceutical packaging is carried out in order to keep medicines free from getting contaminated and prevent microbial growth. Proper packaging helps in increasing the shelf life of drugs. Increased spending on medicines and medical devices is estimated to stir up the demand for rigid packaging.
Personal care packaging includes packing of products such as cosmetics and toiletries. This industry has witnessed phenomenal growth over the past few years owing to growing importance of grooming and hygiene. Rising awareness about health and wellness in developing countries is also anticipated to spur the growth of the segment.
Other applications include the industrial and electronics sectors. Increasing utilization of electronic devices including smartphones, tablets, and laptops is expected to supplement the growth of the segment over the forecast period. Proliferation of smart devices in emerging regions such as Asia Pacific and Central & South America is also playing a pivotal role in the growth of the overall market.
Asia Pacific accounted for a major revenue share of 50% of the global market in 2020. This region is driven by rapid expansion of the pharmaceutical and food & beverage sectors. Besides, emerging economies such as China and India are projected to register sharp rise in the demand for rigid packaging over the forecast period.
U.S. was the leading revenue contributor in North America. Plastic was the most popular material in this region in 2015. Robust growth of the food & beverage industry is one of the key factors propelling the regional market. Regulations regarding recycling and sustainability of materials in order to maintain environmental balance are triggering the demand for bioplastic packaging solutions.
Central & South America is considered to be one of the promising regions of the world. This region comprises some of the emerging countries such as Brazil, Argentina, Colombia, and Chile. Similar to Asia Pacific, this region is likely to witness rapid expansion of the food & beverages and personal care industries; thereby, positively influencing the global market.
The market is fragmented in nature and is dominated by players such as Reynolds Group Holding, Amcor Limited, Sonoco, and Bemis Company Inc. Other key players include Sealed Air Corporation, Plastipak Holdings, Inc., Berry Plastics Corporation, Coveris Holdings S.A., Consolidated Container Company, DS Smith PLC, Silgan Holdings, Inc., and Ball Corporation.
By Material Type
By Product Type
By Application Type
By Region Type
The main objective of this report is to define, describe, and forecast the global market by types, application, manufacturers, and regions. The report provides detailed information about the major factors (drivers, restraints, opportunities, and industry-specific challenges) influencing the growth of the market. The report aims to strategically analyze the micromarkets with respect to individual growth trends, prospects, and contributions to the global market. The report also attempts to forecast the market size of the 5 main regions: North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA), and Latin America. It strategically profiles the key market players and comprehensively analyzes their core competencies. It also tracks and analyzes the competitive developments, such as joint ventures, mergers and acquisitions, new developments, and Research and Development (R&D) activities, in market.
Since the COVID-19 virus outbreak in December 2019, the disease has spread to almost 100 countries around the globe with the World Health Organization declaring it a public health emergency. The global impacts of the coronavirus disease 2019 (COVID-19) are already starting to be felt, and will significantly affect the rigid packaging market in 2020.
COVID-19 can affect the global economy in three main ways: by directly affecting production and demand, by creating supply chain and market disruption, and by its financial impact on firms and financial markets.
The outbreak of COVID-19 has brought effects on many aspects, like flight cancellations; travel bans and quarantines; restaurants closed; all indoor events restricted; over forty countries state of emergency declared; massive slowing of the supply chain; stock market volatility; falling business confidence, growing panic among the population, and uncertainty about future.
Major highlights of Report:
Geographical landscape: North America, Europe, Asia-Pacific, South America, Middle East and Africa
Major Key Points Covered in Report:
Executive Summary: It includes key trends of the rigid packaging market related to products, applications, and other crucial factors. It also provides analysis of the competitive landscape and CAGR and market size of the rigid packaging market based on production and revenue.
Production and Consumption by Region: It covers all regional markets to which the research study relates. Prices and key players in addition to production and consumption in each regional market are discussed.
Key Players: Here, the report throws light on financial ratios, pricing structure, production cost, gross profit, sales volume, revenue, and gross margin of leading and prominent companies competing in the Rigid packaging market.
Market Segments: This part of the report discusses about product, application and other segments of the rigid packaging market based on market share, CAGR, market size, and various other factors.
Research Methodology: This section discusses about the research methodology and approach used to prepare the report. It covers data triangulation, market breakdown, market size estimation, and research design and/or programs.