Packaging Resins Market Valuation – 2024-2031

Packaging Resins Market value at USD 288.9 Billion in 2023. Growing food and beverage industry is creating lucrative opportunities for packaging resins so as to offer extended life span and undamaged products to the consumers. This industrial applications in the various economies is enabling the Packaging Resins Market surpass market size of USD 288.9 Billion valued in 2023 and reach at USD 587.3 Billion by 2031.

Growing focus on sustainability is encouraging the development of eco-friendly packaging resins in various industries, particularly automotive, food and beverages, and transportation industries, thereby, enabling the market grow at a CAGR of 7.4% from 2024 to 2031.

Packaging Resins Market: Definition/ Overview

Packaging resins are materials used in the production of various packaging products, such as bottles, containers, films, pouches, and foams. They are derived from petrochemical sources and are known for their versatility, durability, and lightweight properties. They play a crucial role in the packaging industry, offering a wide range of properties and functionalities to meet diverse needs across different sectors.

Common types of packaging resins include polyethylene (PE), polypropylene (PP), polyethylene terephthalate (PET), polystyrene (PS), and polyvinyl chloride (PVC). Each type offers unique characteristics such as flexibility, barrier properties, transparency, heat resistance, chemical resistance, and recyclability, making them suitable for specific packaging requirements.Packaging resins are used in various sectors, including food packaging, pharmaceutical packaging, personal care products, household products, industrial packaging, and healthcare packaging. They are chosen based on factors such as product compatibility, shelf life requirements, barrier properties, sustainability goals, and regulatory compliance. Additionally, packaging resins are modified or blended to enhance specific properties, catering to the evolving needs of the packaging industry and consumer preferences.

How will Demand for Ready-to-eat Food Drive Packaging Resin Market?

The demand for ready-to-eat food is rising due to urbanization and the growing acceptance of online food delivery, which is driving the global packaging resin market. The global packaging resin market is growing as a result of the increased demand for resins used in packaging, such as milk, juice, and water. This market is also being driven by changes in lifestyle, such as a preference for packaged foods and grocery items, and population growth. In an effort to save time when cooking, Americans are increasingly selecting convenience food from boxed frozen meals, motels, and restaurants. The need for packaging resin is further increased by the expansion of the food packaging industries and the growth of metropolitan regions.

Technological developments in the packaging resin industry are facilitating safer transportation and longer product shelf lives. Packaging is becoming easier thanks to new film designs and the efficiency of resin technologies. Micro-packaging based on nanotechnology is a recent development in the industry.

Advancements in technology have been driven by high demand in the retail, grocery, and healthcare industries. The sustainable packaging business is being driven by innovative approaches that minimize energy use, protect the environment, and reduce the weight and volume of packaging. It is anticipated that this expansion will strengthen the packaging resins industry. 

What are the Barriers impeding the Growth of the Packaging Resins Market?

Plastic pollution is a major concern, particularly single-use plastics, as it is contributing to rise in plastic waste, marine pollution, and microplastic contamination. Thus, leading to emergence of stringent regulatory landscape and extended producer responsibility schemes requiring manufacturers and users to invest in sustainable practices and recyclable materials. The environmental concerns is projected to restrain the adoption of packaging resins in the coming years.

In addition to this, the technological advancements leading to the development of biodegradable, compostable, and recyclable packaging materials, but complying with the consumers demand for cost-effective and high-performance as the traditional plastics still remains a challenge.

Balancing functionality, durability, and environmental sustainability requires continuous research, innovation, and collaboration across the supply chain, offering limited chance of acceptance of packaging resins. Market dynamics and competitive pressures also contribute to the challenges, with rapid changes in consumer preferences, convenience, and e-commerce packaging requirements driving the need for versatile and customizable solutions. Also, the need for manufacturers to stay agile, adapt to changing market demands, and fund for R&D is impacting the growth of the market.

Moreover, the economic factors like fluctuating prices of raw material, energy, supply chain disruptions, and geopolitical uncertainties will further impede the profitability and competitiveness of packaging resin manufacturers. 

Category-Wise Acumens

Which Type has the Highest Market Share in the Packaging Resins Market?

The dominance of the polypropylene (PP) segment in the Packaging Resins Market is significant due to its exceptional stiffness, toughness, and resistance to chemicals, making it ideal for producing rigid packaging solutions such as bottles, caps, closures, and containers, thereby, contributing to its widespread use and popularity in the packaging industry.

Additionally, the excellent moisture barrier properties of polypropylene ensure the protection and preservation of packaged goods. This makes PP packaging materials suitable for food packaging, pharmaceutical packaging, personal care products, and industrial packaging applications where maintaining product integrity is crucial.

The versatility in manufacturing processing such as injection molding, blow molding, and thermoforming, allow for the production of a diverse range of packaging products with different shapes, sizes, and functionalities, creating lucrative opportunities in the market.

This lightweight material helps reduce transportation costs and environmental impact compared to heavier packaging materials. PP packaging solutions also offer good transparency, allowing consumers to see the contents of the package, enhancing product visibility and marketing appeal.

Furthermore, recyclability of polypropylene resins into new packaging materials or other products helps contribute to sustainability goals and circular economy initiatives. This new PP packaging materials adds to their attractiveness in the context with environmental awareness and regulatory requirements regarding packaging waste management.

Which End-User Sector is the Market Leader for Packaging Resin?

The dominance of the food and packaging segment in the Packaging Resins Market is driven by the demand for preserving, protecting, and enhancing the shelf life of food products. The packaging resins specifically packaging films, containers, pouches, trays, bottles, and closures, among others are designed for the food and beverage industry to meet the unique requirements of food packaging.

Stringent regulatory requirements and safety standards governing food packaging materials is increasing demand for sustainable packaging resins used in the food and beverage industry that comply with regulations related to food contact, migration limits, chemical resistance, and hygiene standards. Thus, the demand for safety and integrity of packaged food products is enabling the segment dominate.

Additionally, the food and packaging segment places a strong emphasis on maintaining food freshness, preventing contamination, and extending the shelf life of perishable items. Thus, spurring demand for packaging resins with oxygen barrier, moisture barrier, light barrier, and aroma barrier properties, are highly sought after in this segment to protect food products from external factors without compromising on the quality and safety.

Furthermore, the food and packaging segment drives innovation and demand for sustainable packaging solutions. Manufacturers in this segment are increasingly adopting recyclable, compostable, and biodegradable packaging materials made from eco-friendly resins to address environmental concerns and meet consumer preferences for sustainable packaging options.

Moreover, the food and packaging segment encompasses a wide range of sub-segments, including fresh produce packaging, dairy product packaging, meat and poultry packaging, bakery product packaging, beverage packaging, and convenience food packaging, each with specific packaging requirements and challenges. Packaging resins play a vital role in addressing these diverse needs and ensuring the delivery of safe, high-quality food products to consumers.

Gain Access into Packaging Resins Market Report Methodology

Country/Region-wise Acumens

Which Region is Dominant in the Packaging Resins Market?

Asia Pacific is expected to hold a dominant position in the Packaging Resins Market. Rapid industrialization and urbanization along with economic development in emerging countries like China, India, Japan, South Korea, and Southeast Asian nations are projected to offer lucrative opportunities of expansion for the market. This growth is increasing demand for food and beverages, consumer goods, automotives, and other necessities, thereby, surging demand for quality, safety, and durability of these product, and drive the market.

Additionally, growing environmental concerns is driving the need for innovative and sustainable packaging solutions. Packaging resins play a critical role in meeting these demands by providing a wide range of properties such as barrier protection, flexibility, durability, and recyclability, catering to diverse packaging requirements.

The manufacturing hub for various industries, especially packaging, is necessitating the need for a robust manufacturing ecosystem, advanced production technologies, and skilled labor force, enabling high demand for production of packaging materials. The significant investments in the packaging industry, including research and development initiatives, technological advancements, and infrastructure development has led to the introduction of innovative packaging solutions, improved material performance, and enhanced sustainability practices, driving further growth and competitiveness in the Packaging Resins Market.

Additionally, the increasing emphasis on environmental sustainability, waste reduction, and regulatory compliance has spurred the adoption of eco-friendly packaging materials and recyclable resins in the Asia Pacific region. Packaging manufacturers and brand owners are prioritizing sustainable packaging solutions to align with consumer preferences and meet regulatory requirements, further driving the demand for packaging resins in the region. 

How will Packaging Resins Market Fare in North America?

North America’s Packaging Resins Market is maturing owing to the technological advancements, sustainability initiatives, regulatory frameworks, and changing consumer preferences. The flourishing food and beverage, pharmaceuticals, personal care, automotive, and industrial products along with the early adoption of innovative, functional, and sustainable packaging solutions is driving the need for high-performance packaging resins. Thus, placing North America at the forefront in smart packaging solutions.

Also, the growing inclination toward sustainability is shifting the focus of manufacturers and consumers on recyclable resins, bio-based polymers, and circular economy practices to reduce environmental impact and promote resource conservation. Thus, the manufacturers in this region are investing in eco-friendly solutions and focusing on developing sustainable alternatives.

Compliance with regulations, such as Extended Producer Responsibility programs, and need to meet the recycling targets and eco-labeling requirements influences the demand for packaging resins in the region. Consumer preferences and market trends, such as convenience, product safety, brand differentiation, and e-commerce packaging solutions, also impact the adoption of packaging resins in North America.

Competitive Landscape

The Packaging Resins Market competitive landscape includes a company’s overview, financials, revenue, market potential, R&D investment, global presence, production sites, capacities, strengths, weaknesses, product launch, and application dominance. 

Some of the prominent players operating in the Packaging Resins Market are:

Braskem S.A., SABIC, Borealis AG, DowduPont, Inc., Arkema, Indorama Ventures Public Company Ltd., PetroChina Ltd., Sinopec Corporation, BASF SE, INEOS Holdings Ltd., Hexion, Invista, M&G Chemicals, LyondellBasell Industries Holdings B.V, Mitsubishi Engineering-Plastics Corporation, Mitsui Chemicals, Nova Chemicals, Qenos, Radici Group, SABIC, Repsol, Sumitomo Chemical Co. Ltd., Teijin Limited, Tosoh Corporation, ExxonMobil Chemical.

Latest Developments

• In January2023, Polynt-Reichhold plans to acquire Reichhold Industries, a leading manufacturer of unsaturated polyester resins and specialty chemicals, expanding its global customer base and product portfolio.
• In December 2022, Dow and Neste are partnering to develop sustainable resin technologies, aiming to meet the growing demand for environmentally friendly resin solutions in the global chemicals and materials sectors.
• In July 2022, One Rock Capital Partners has acquired Prefere Resins Group, a leading adhesive resins and formulations company in Europe, with the aim of enhancing its sustainability and growth strategies.

Report Scope

Packaging Resins Market, By Category

Type:

• Polyethylene
• Polypropylene
• Polyethylene Terephthalate
• Polyvinyl Chloride
• Acrylonitrile Butadiene Styrene
• Polyamide
• Polycarbonate
• Polyurethane
• Polystyrene

End-User:

• Packaging
• Automotive & Transportation
• Building & Construction
• Consumer Goods and Lifestyle
• Electrical & Electronics
• Agriculture

Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Research Methodology of Market Research

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Reasons to Purchase this Report

• Qualitative and quantitative analysis of the market based on segmentation involving both economic as well as non-economic factors• Provision of market value (USD Billion) data for each segment and sub-segment• Indicates the region and segment that is expected to witness the fastest growth as well as to dominate the market• Analysis by geography highlighting the consumption of the product/service in the region as well as indicating the factors that are affecting the market within each region• Competitive landscape which incorporates the market ranking of the major players, along with new service/product launches, partnerships, business expansions and acquisitions in the past five years of companies profiled• Extensive company profiles comprising of company overview, company insights, product benchmarking, and SWOT analysis for the major market players• The current as well as the future market outlook of the industry with respect to recent developments (which involve growth opportunities and drivers as well as challenges and restraints of both emerging as well as developed regions• Includes an in-depth analysis of the market from various perspectives through Porter’s five forces analysis• Provides insight into the market through Value Chain• Market dynamics scenario, along with growth opportunities of the market in the years to come• 6-month post-sales analyst support

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