Active Packaging Market Size, Share & Industry Analysis, By Packaging Technology (Gas Scavenger/Emitter, Antimicrobial Agent, Moisture Absorber, Microwave Susceptor, and Others), By End-user (Food & Beverages, Pharmaceutical, Electronics and Electrical, Automotive, Agriculture, Personal Care & Cosmetics, Shipping & Logistics, and Others), and Regional Forecasts, 2024-2032

The global active packaging market size was valued at USD 15.21 billion in 2023 and is projected to grow from USD 15.95 billion in 2024 to USD 24.74 billion by 2032, exhibiting a CAGR of 5.64% during the forecast period. Moreover, the active packaging market in the U.S. is projected to grow significantly, reaching an estimated value of USD 1.80 billion by 2032, driven by a quick transition from traditional to smart wrapping methods among key manufacturers.

Active packaging solutions help maintain and improve the health properties, safety, and quality of packaged food products, further extending their shelf life. They comprise several packaging technologies, such as gas emitters, oxygen scavengers, ethanol release, ethylene scavenging, carbon dioxide discharge, and water vapor elimination.

The shutdown of businesses and disruptions in supply chains during the COVID-19 pandemic caused a halt in the manufacturing of active packaging products. However, the pharmaceutical industry witnessed rapid growth during this period, thus positively impacting the global market. The increasing demand for vaccines, drugs, and medicines to support COVID-19 treatment created lucrative opportunities for the active packaging market growth.

Active Packaging Market Trends

Advances in Bio-based Active Packaging to Propel Market Growth

The market share is increasing due to the utilization of biodegradable and bio-based polymers. Advancements in bio-based active packaging, such as using pullulan for fruits & vegetables, are emerging as a critical trend for market growth. Pullulan is a water-soluble and microbial polysaccharide glucan gum. It is produced aerobically using biodegradable and non-toxic fungus. It has gained traction recently due to its wide usage in the pharmaceutical, chemical, and food sectors. Several film-forming and oxygen barrier characteristics offered by pullulan make it suitable for functional biomolecules, thereby boosting the global market growth. The rising demand for fresh fruits and vegetables due to the adoption of a healthy lifestyle is providing new opportunities for this market to grow. Furthermore, the antimicrobial properties and the film-coating preservatives in pullulan increase the shelf life of fruits and vegetables. They also prevent food spoilage, nutrient loss, and microbial growth, thus emerging as an important trend in the market.

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Active Packaging Market Growth Factors

Change in Lifestyle Across the Globe to Drive the Market Growth

The rapid expansion of the urban population and changing lifestyle trends have caused a considerable rise in demand for packaged, frozen, and prepared foods. Consumer demand for highly exotic produce, meat, frozen goods, and safe and healthy foods has increased. It generates the need for active packaging, thus driving the market growth. The current shift from traditional to smart packaging solutions, such as active & intelligent packaging, that ensure the protection of both internal & exterior elements is also anticipated to boost the global market growth.

The growing trade among countries due to the rise in globalization has boosted the demand for such packaging as it is also essential in reducing time tracking and better product monitoring, creating huge consumer demand. The shifting packaging trends, changing lifestyles, and rising consumer awareness for safe and convenient packaging are expected to propel the market expansion.

Moreover, the surging concern regarding the wastage of huge amounts of food can be reduced by using active packaging as controlling oxygen inside the package is a major challenge. Oxygen scavengers, also known as oxygen absorbers, help lessen the oxygen level present in the food packaging, thereby preserving the freshness and aroma of the food products. This extends the shelf life of the foods, thus boosting the sales of active packaging products.

Increase in Demand from Healthcare & Pharmaceutical Industries to Fuel the Market Growth

The healthcare industry is expanding rapidly due to increasing chronic illness rate among the aging population and the growing demand for OTC drugs. The massive growth in the healthcare and pharmaceutical industries generates the need for active packaging. The rigorous regulations on the packaging of medicinal products have led to increasing investments in such solutions, thus boosting market growth. Further, owing to the growing complexity of medicinal items that must be transported to remote areas or preserved safely, the market is experiencing steady growth worldwide.

RESTRAINING FACTORS

High Production Cost to Restrict the Market Growth

High raw material price that increases production costs is a crucial factor hindering the global market growth. The increasing expenditure on research & development also hinders the market growth. The European Union imposed regulations, including the requirements for active materials and articles intended to come into contact with food, including food packaging. It is contained in the European Parliament and Council (EC) framework regulation. Such strict government regulations are also anticipated to restrain the market growth.

Active Packaging Market Segmentation Analysis

By Packaging Technology Analysis

Gas Scavenger/Emitter to Record Appreciable Expansion Due to Growing Technology Usage

Based on packaging technology, the market is segmented into gas scavenger/emitter, antimicrobial agent, moisture absorber, microwave susceptor, and others. Gas scavenger/emitter is the leading technology used in active packaging material. As per food safety concerns, oxygen absorbers are added separately as small sachets in the package head-space or attached as labels on the lid, preventing contamination. Oxygen scavenger applies to food products such as bread, cakes, cooked rice, and meat & cheese packaging.

Gas scavengers/emitters also include carbon dioxide scavengers/emitters and ethylene scavengers, depending on the type of food and beverage packaging. Carbon dioxide scavengers/emitters are used for coffee, fresh meat, and fish. Ethylene scavenger is used to preserve fruits and vegetables for a long period. Moisture absorbers are used in fish, meat, poultry products, and cereals. Gas scavengers/ emitters are used for pharmaceutical and medical device packaging to absorb oxygen and moisture independently.

By End-user Analysis

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Increasing Demand for Easy-to-use Packaging Solutions in the Food & Beverages Industry to Propel the Market Growth

Based on end-user, the market is classified into food & beverages, pharmaceutical, electronics and electrical, automotive, agriculture, personal care & cosmetics, shipping & logistics, and others. The food & beverages segment is the most significant end-use industry growing at the highest CAGR in this market. It includes ready to eat, packaging, food service, packaged foods, on-the-go food, confectionery, and beverages. The massive growth in the food industry can also be attributed to the increasing consumer awareness regarding food safety. Active packaging solutions also find extensive applications in the pharmaceutical, personal care & cosmetics, electronics, automotive, and many more industries.

REGIONAL INSIGHTS

The market has been analyzed across Asia Pacific, Europe, North America, the Middle East & Africa, and Latin America.

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North America dominated the active packaging market with a market share of 38.66% in 2023.  The U.S. is a major contributor to the regional market value. The growth is due to the rapidly rising active packaging industry. The quick transition from traditional to smart wrapping methods among the key manufacturers boosts the market in the North American region. Major developments by manufacturers to offer affordable and effective packaging solutions also enhance this region's market.

Europe is the second-largest region in the market, in which Germany, the U.K., and Italy are the leading countries. The need for such packaging has improved in Germany owing to the considerable expansion of pharmaceutical and vaccine development in the country. Further, the surging adoption of new government regulations to control the spread of infectious diseases has impelled market expansion in the region.

In Asia Pacific, India, Japan, and China are the major countries contributing to the growth of the market. The rising expansions and investments of industry players in these countries are estimated to offer growth opportunities in this region.

List of Key Companies in Active Packaging Market

Organic and Inorganic Growth Strategies by Key Packaging Manufacturers to Strengthen Industry Position

The competitive landscape depicts a semi-consolidated market with the top 13 companies accounting for a significant market share. Key players invested considerable resources in developing several active packaging products and technologies to produce them. A diversified product portfolio, superior operational efficiency, and safe & novel technology development for various applications are the strategies used by the market leaders for their growth.

The companies have adopted expansion, new product development, partnership, and acquisition systems to increase their regional presence and product portfolio. Major players in the market include Amcor Plc, Avery Dennison, 3M, R. Grace and Company, Graham Packaging Company, and Aptar Group Inc.

LIST OF KEY COMPANIES PROFILED:

• Amcor Plc (Switzerland)


• Avery Dennison (U.S.)


• 3M (U.S.)


• R. Grace and Company (U.S.)


• Ampacet Corporation (Thailand)


• Accutech Packaging (U.S.)


• AIMPLAS Inc (Spain)


• Amelco Desiccants Inc.(Philippines)


• BASF SE & DUPONT (Germany)


• Graham Packaging Company (U.S.)


• Aptar Group Inc (U.S.)


• Amerplast Ltd (Finland)


• MicrobeGuard Corporation (U.S.)

KEY INDUSTRY DEVELOPMENTS

• November 2022 - Aptar Pharma partnered with TFF Pharmaceuticals, Inc. to develop and commercialize innovative drug solutions based on its patented Thin Film Freezing technology platform. The platform offers massive utilization in converting vaccines or drugs (large and small molecules) into a dry powder formulation.


• October 2022 - Grace and OQ’s Sohar Refinery in Oman signed an agreement for premium catalyst technology to boost propylene yields. These complex conversion units maximize the conversion of heavy feeds and ramp up feed rates to satisfy the surging demand.


• October 2022 - A masterbatch leader, Ampacet, announced the opening of its new production plant in Brembate (BG), Italy to meet the rising product demand. The new site would increase the company’s additive capacity by using its cutting-edge technologies and enhancing customer service by fastening the innovation process.


• May 2022 - Avery Dennison Corporation made significant investments to improve factory efficiency and expand manufacturing capacity in Europe at Champs-sur-Drac and Luxembourg to meet the soaring demand for its label and active packaging materials. These include a new automated warehouse and a high-speed, state-of-the-art hotmelt adhesive coater.


• January 2020 - AIMPLAS initiated the project SafetySenseO2 for creating a printed sensor. The sensor would be equipped to diagnose the presence of oxygen in a product's packaging. The oxygen sensor can offer consumers information about the quality and safety of food to decrease the risk of food poisoning.

REPORT COVERAGE

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The research report presents a comprehensive industry assessment by offering valuable insights, facts, industry-related information, and historical data. Several methodologies and approaches are adopted to make meaningful assumptions and views to formulate the report. Furthermore, the report covers a detailed analysis of the market segments, including packaging technology, end-user, and regions, helping readers get a comprehensive global industry overview.

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