Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Definition of Market/Industry:
Rigid packaging is done by using paper, corrugated or paperboard materials, plastic, metals, glass materials. They are basically made into the shape of the box, can, tray, or case. Rigid packaging offers high stiffness, impact strength, and excellent barrier properties to prevent contamination and protect the products packed inside.
The global rigid packaging market is projected to surpass US$ 843,026.9 million by the end of 2027 in terms of revenue, exhibiting a CAGR of 3.3% during the forecast period (2020 to 2027).
Growing demand for industrial bulk packaging across various industries is expected to drive the market growth of rigid packaging. The growing use of pails, drums, and kegs in bulk packaging is also expected to propel the market growth of rigid packaging. Moreover, rigid intermediate bulk containers (RIBCs) are gaining popularity in the packaging industry in order to ease handling and transportation, thereby fueling market growth.
The growing adoption of paperboard for rigid packaging for environmental sustainability is expected to propel the market growth. Paper and paperboard can be used multiple times which makes them a suitable form of packaging material and also reduce the overall cost of the packaging. Thus, growing need for environmental sustainability is fueling the demand for paper-based rigid packaging which is propelling the market growth of rigid packaging.
Asia Pacific region dominated the global rigid packaging market in 2019, accounting for 38.8% share in terms of revenue, followed by Europe and North America, respectively.
Figure 1. Global Rigid Packaging Market Share (%) in terms of Value, By Region, in 2019
Increasing demand for flexible packaging materials is expected to restrict the use of rigid packaging. This factor is expected to hinder the market growth of rigid packaging.
Strict rules and regulations due to growing concerns over application of single-use plastic and other grade plastic in rigid packaging is expected to hamper the market growth
Rigid Packaging Market Report Coverage
||Market Size in 2019:
||US$ 648,550 Mn
|Historical Data for:
||2016 to 2019
||2020 to 2027
|Forecast Period 2020 to 2027 CAGR:
||2027 Value Projection:
||US$ 843,020 Mn
- Regions: North America, Latin America, Europe, Asia Pacific, and Middle East & Africa
- By Material Type: Plastic, Metal, Wood, Glass, and Paper & Paperboard
- By Application: Food & Beverage, Chemical Industry, Consumer Goods, Healthcare & Pharmaceuticals, and Others
- By Product Type: Boxes, Trays, Containers & Cans, Bottles & Jars, and Others
Amcor Limited, Bemis Company, DS Smith Plc., Holmen AB, Georgia-Pacific LLC, Berry Plastics Corporation, Reynolds Group Holdings Limited, Sealed Air Corporation, RESILUX NV, and Mondi Group
- Growing demand for industrial bulk packaging
- The growing adoption of paperboard for rigid packaging for environmental sustainability
|Restraints & Challenges:
- Increasing demand for flexible packaging materials
Growth in the cosmetic and personal care industry due to increasing consumers spending on the cosmetics products is expected to serve major growth opportunities. Emerging economies in Asia Pacific, such as China and India, have experienced significant growth in terms of consumer goods and logistics industry owing to growing disposable income. All these factors are expected to augment the market growth of the rigid packaging.
Expanding food supply market coupled with the long-term storage of food is expected to offer potential opportunities to the market of rigid packaging. The growing food safety concern is boosting demand for efficient rigid packaging solution in order to address the consumer concerns. Thus, various food manufacturer are adopting rigid packaging in the food supply industry in order to ensure efficient delivery of food to the consumers.
Figure 2. Global Rigid Packaging Market– Opportunity Analysis
Market Trends/Key Takeaways
Online shopping is a trend in the market and this is fueling the market growth of the ecommerce industry. Rigid packaging is one of the important aspect in the ecommerce industry to ensure the safe delivery of the product to the consumer. Mainly boxes and containers are used in the ecommerce industry. Thus, the expansion of ecommerce industry around the globe is expected to fuel the market growth of the rigid packaging.
Metal containers and cans are gaining popularity which is widely used to package cosmetics and beverages. They are highly durable and have high strength as compared to other materials. Aluminum is mostly used metal in rigid packaging. Moreover, the use of glass in the rigid packaging is one of the major trends due to the growing demand for personal care and food &beverage industry. This, in turn, is fueling the market growth of rigid packaging.
Figure 3. Global Rigid Packaging Market Share (%) in terms of Value, By Application, in 2019
On the basis of application, the rigid packaging market is segmented into food & beverage, chemical industry, consumer goods, healthcare & pharmaceuticals, and others. In 2019, the food & beverage segment accounted for 36.7% of the revenue share.
Global Rigid Packaging Market - Impact of Coronavirus (Covid-19) Pandemic
The global rigid packaging market is expected to witness surge in growth in 2020, owing to growth in various industries such as healthcare & pharmaceutical, food & beverage, among others. The COVID-19 pandemic has changed the buying pattern of consumers. Measures such as nationwide lockdown have led panic buying of food and hygiene products. For instance, Kraft Heinz Company’s net sales increased by 3.3% in first quarter of 2020 as compared to first quarter of 2019, primarily attributed to the sudden increase in demand of packaged food due to the pandemic. Moreover, rigid packaging is also widely used in the healthcare & pharmaceutical sector in packaging of medicines, vaccines, etc. These factors have surged the demand for rigid packaging market.
Key players operating in the global Rigid Packaging market include Amcor Limited, Bemis Company, DS Smith Plc., Holmen AB, Georgia-Pacific LLC, Berry Plastics Corporation, Reynolds Group Holdings Limited, Sealed Air Corporation, RESILUX NV, and Mondi Group
Few Recent Developments
- In June 2020, Amcor Rigid Packaging Caribbean Limited has partnered with Hillview Renegades to provide emergency food parcels and relief to families adversely affected by the Coronavirus in Trinidad and Tobago.