In terms of revenue, the recyclable packaging industry in North America and Europe is expected to reach millions of dollars by 2022. North America is expected to dominate the market in terms of value, while the Asia-Pacific region is expected to trail behind Europe. The market in each region is predicted to grow at a CAGR of significant % between 2022 and 2028.
Recyclable Packaging Market Growth
The global recyclable packaging market is segmented into different types based on their application and end users. The demand for eco-friendly and green packaging products is also increasing in North America.
The recyclable plastic barrier film market segment is expected to grow at the highest CAGR during the forecast period and is the most prevalent type of packaging in the global recyclable packaging market.
The global recyclable packaging materials market is highly competitive and comprised of several well-established manufacturers and suppliers like Vishakha Polyfab Pvt Ltd. Every vendor competes for market share based on their product portfolio, product differentiation, and pricing. The growth of this segment is expected to be fuelled by stringent recycling regulations and growing consumer awareness of eco-friendly packaging.
North America to Register Higher Growth Rate in Recyclable Packaging
The North America region is projected to register higher growth in the recyclable packaging industry during the next five years. The industry in this region is expected to generate over $433.5 billion in value by 2022. The region will witness higher growth in the plastic packaging industry.
In North America, the industry is expected to benefit from millennials, a group of 20 to 38-year-olds that account for $200 billion in buying power. These consumers prefer to shop online, use social media platforms, and are value-driven. Therefore, packaging plays a vital role in their purchasing decisions.
Recyclable Packaging Growth in Food and Beverages
Considering the rising health awareness, consumers are increasingly switching to healthy and fresh foods. Changing consumer preferences are driving the need for better recyclable packaging. The growing global population is generating demand for packaged Food and beverages and corresponding packaging solutions. In developing countries, the number of dual-income households has increased. Moreover, the increasing disposable income has boosted the need for high-quality recyclable packaged foods. The growing consensus has also contributed to the need for recyclable packaging solutions.
Asia Pacific Region is Likely to Trail Europe in Recyclable Packaging
The Asia Pacific region is set to witness strong growth in the recyclable packaging industry. As the region’s economy expands, the demand for recycled packaging is likely to increase. The region is expected to be one of the largest markets for this industry by 2022. Growth will be attributed to the growing demand for non-residential construction projects in the region, which will further drive product demand for various construction applications.
The Bottom Line
As more consumers become aware of the importance of recycling and reducing waste, the market for recyclable packaging will continue to grow. The size and color of the product also affects the recyclability of the packaging. The personal care packaging industry is looking for ways to make more of its packaging eco-friendly. Companies can reduce the amount of non-recyclable packaging used by increasing the proportion of recyclable material in the packaging.
