PLASTIC PACKAGING MARKET ANALYSIS

Stringent government regulations regarding plastic waste disposal is severely restraining the growth of the global plastic packaging market. Many governments across the world have introduced strict laws in the last couple of years to curb plastic pollution and promote sustainability.  According to United Nations Environmental Programme (UNEP), at least 300 million tons of plastic waste is generated annually worldwide. A large chunk of this plastic ends up polluting land and aquatic ecosystems causing immense damage to the environment and biodiversity. In light of this alarming rate of plastic pollution, governments are taking assertive actions to restrict the use of certain types of plastics that are not recyclable or single-use in nature. For instance, in 2020 the European Union introduced a ban on select single-use plastic items like straws, cutlery, and plates. Similarly, Canada implemented regulations in 2021 prohibiting the manufacture, import, and sale of these six single-use plastic items.

Market Opportunities: Growth prospects in emerging economies

Growth prospects in emerging economies could be a major opportunity in the global plastic packaging market. Many developing countries in Asia, Africa, and Latin America are expected to see accelerated economic development and rising consumerism over the next decade. As periprocapita income and living standards increase in these nations, the demand for packaged consumer goods will rise significantly.  Plastic packaging is extremely well-suited to fulfill this demand. It helps extend shelf-life, preserve freshness, provides tamper-evidence and safety against contamination. This makes plastic packaged products affordable and accessible for the expanding middle class populations in emerging nations. Packaged food, beverages, personal and home care items that are currently considered as luxury goods will soon become mass-market commodities as disposable incomes rise.