Packaging is a system for corralling and protecting a product from damage. It plays a vital role in the safe storage and hygienic handling of a product. Moreover, it also provides protection from environmental factors such as dust, moisture, and wind. Apart from safeguarding the product, packaging also helps in marketing the product to customers. Elegant packaging design with various color schemes and designs has an impact on consumer demand as it can sway the preference of customers. Aesthetically appealing packaging is meant to reflect the quality of the product and hence serves both brand promotion and advertising purposes. Packaging is of two types, rigid and flexible. Flexible packaging is any package whose shape can be readily changed. Examples of flexible packaging include bags and pouches. Rigid packaging includes boxes, trays, cans, bottles, and pots and is the dominant market segment.
The packaging materials that are used commonly include plastic, metal, brick cartons, paper, cardboard, and glass. These materials are used in the various end-use industries depending on packaging requirements. For instance, aluminum and tin are used to store food & beverages in cans owing to corrosion resistant properties of these metals which ensure that the product is not contaminated. Similarly, alcohol is typically stored and sold in glass bottles as they look visually appealing and have a longer shelf life than plastic bottles.
The end users of packaging materials include food beverages, electronics, pharmaceuticals, personal care, textile, consumer goods, and chemical processing. The largest end user of packaging materials is the food and beverages industry owing to increasing demand for packaged food in emerging economies. Pharmaceutical companies rely on packaging in order to protect and promote their products, meet regulations, and increase patient compliance. Especially, the use of plastic is preferred due to high dimensional stability, moisture barrier, strain resistance, low water absorption, and resistance to heat.
Plastic is the most used packaging material. It is also lightweight, strong and cheap to procure in the current market. Plastic packaging materials are manufactured from petroleum and its derivatives, and are used in various end user industries. Polyethylene terephthalate (PET) is used as primary feedstock in the manufacture of plastic bottles which finds large application in food & beverages, pharmaceuticals and cosmetics industries due to its high durability, light weight, low cost and recyclability. However, stringent government regulations imposed on the petroleum and chemicals industry due to emissions of CO2 and greenhouse gases, and fluctuation of crude oil prices are the factors that expected to hinder the growth of the global plastic packaging market. However, plastics are non-biodegradable and end up in landfills. Therefore, a shift towards sustainable packaging materials such as paper, paperboard, cardboard, metal and glass has been observed in the recent past. Utilization of sustainable packaging in increasing due to growing environmental awareness among the populace.
Opportunities
The growing disposable income, increasing consumer preference for packaged goods, and the expanding retail industry, especially in Asia Pacific and Latin America, are factors that are favouring growth of this industry. For instance, according to the India Brand Equity Foundation (is a Trust established by the Department of Commerce, Ministry of Commerce and Industry, Government of India), the retail market in India is expected to nearly double to US$ 1 trillion by 2020 from US$ 600 billion in 2015.
Also, increasing awareness regarding food contamination has intensified the packaging market growth. Asia Pacific is the largest and fastest growing market. The advent of online shopping and consumption of cosmetics has resulted in a booming market in countries such as India, China, and Indonesia. Moreover, the “Make in India” campaign by the Indian government is expected to have a positive impact on the growth of the packaging industry in India. North America is a leading market for paper packaging. The industry in North America recycles up to 70% of its used paper, according to the U.S. Forest and Paper Association. In Europe, the European Paper Recycling Council aims to achieve 74% recycling in the European Union. The paper packaging industry in North America and Europe is expected to serve as a model for emerging markets.
Challenges
The environmental concerns regarding plastic packaging are expected to hamper growth of the packaging industry to some extent. Moreover, the preferred substitute to plastic is paper which, although recyclable, involves logging of forest areas. This has resulted in stringent packaging regulations. Constantly fluctuating oil price is also affecting the market growth. Also, leaching of chemicals from packaging into the product is a major concern. Cases of toxic packaging have been observed in China which has affected consumer demand.
Regulatory Scenario
Stringent government regulations and time consuming approval process before launching commercially, has led manufacturers to obtain approvals prior to distribution. For instance;
Corrugated packaging is made from a combination of sheets of paper called liner and flutes. Corrugated boxes protects the products due to its cushioning qualities, rigidity, bursting strength, puncture resistance, and edge crush resistance, which enables them to bear ... View more
Form Fill Seal Equipment are multi-purpose equipment, which form, fill, and seal the packaging simultaneously. Increased time efficiency due to continuous processes is a major advantage over other packaging techniques. Moreover, the equipment is versatile in creating ... View more
Industrial Labels are used for identification, advertising, and operating instruction purposes. They are engineered to survive the conditions of the equipment they are used on. They are used in transportation, automotive, manufacture of consumer goods, and constructio... View more
Thermoforming is the process of molding material (plastic, aluminum, wood, and rubber) into desired shape to create packaging containers. It is a cost effective process, which allows molding of large size containers from sheets. Moreover, thermoform packaging can be c... View more
The creation of an impermeable layer of just few millimeters thick by using nano-particles is known as micro packaging. The flexibility, isolation, and cost effectiveness provided by this technique makes it an appealing packaging technique. Micro packaging has been em... View more
Injection molding process is the manufacturing process of production by inserting materials into a mold to create varied shapes and sizes of the object. Injection molding can be achieved with a host of materials consisting of metals, elastomers, glasses, con... View more
Linerless labels are labels, which do not have backing paper and sticks on the application of pressure. Its function is to protect the packaged material from air, moisture, and contamination from external source... View more
Pressure labels stick on to the product by the application of pressure on the adhesive. They are used in pharmaceutical and natural products, beverages, microbrewery, automotive products, chemical pails, household goods, food industry, and cider and ... View more
Caps and closures are plastic packaging on top of bottles, jars, tubes, cans, and so on. Caps and closures are of different types such as screw top, crown cap, snap on, friction fit, tamper evident, and dispersing. Caps and closures find a broad range of application i... View more
Vacuum packaging is a technology in which air is removed in order to block the growth of oxygen-breathing microbes, which spoil the product. The purpose of vacuum packaging is to eliminate oxygen from the package. Removal of inner oxygen results in a longer shelf life... View more
Aerosols are homogeneous, crystalline particles made up of fine solid particles or liquid droplets in the air or another gas. Aerosols find applications in paints, perfumes, room fresheners, medical products, deodorant... View more
Blister packaging is a type of packaging, which is used for small consumer goods products, medical devices, and pharmaceuticals. Therefore it is categorized as unit dose packaging. Blister packaging is usually made from thermoforming of plastic sheet to form multiple ... View more
Anti-counterfeit packaging is mainly meant to prevent brand imitation. It enables brand protection and enables customers to distinguish between original and counterfeit. Product imitations of clothing, electronics, pharmaceuticals and other consumer products are of po... View more
Tube packaging is defined as a type of a packaging which is used in food &beverages, cosmetic and oral care, pharmaceutical and cleaning products. They are usually in shape of hollow piece, cylindrical and oval. They are usually used to store gluey liquids. Tube p... View more
Paper packaging is the type of flexible and rigid paper packaging which is available in various different formats such as paper sacks, corrugated boxes, clamshells, paper bags, paper cartons, carton &a... View more
Glass is considered as an ideal material for packaging of products as it reduces the risk of contamination and also protects the product from any damage. Glass is derived from natural products such as limestone, sand, and soda ash. Moreover, glass packaging provi... View more
Packaging is a technology that involves enclosing and protecting various types of products for storage, distribution, sale, and use. Increasing demand for healthy, safe, convenience food and growing industry & consumer awareness of eco-friendly products in the rec... View more
Plastics are organic compounds with high molecular weight, which consist of a large range of synthetic organic compounds which can be molded into various shapes due to malleability. Packaging is a technology which involves enclosing and protecting various types of pro... View more