Protective Packaging Market, By Type (Flexible Protective Packaging, Foam Protective Packaging, and Rigid Protective Packaging), By Material (Paper & Paperboard, Plastic Foams, Plastic, and Others), By End-Use (Food & Beverage, Industrial Goods, Consumer Electronics, Household Appliances, Healthcare, Automotive, and Others), By Geography (North America, Latin America, Europe, Asia Pacific, Middle East & Africa)

Published In : Aug 2024

Code : CMI3493

Pages :150

Formats :

Excel and PDF

Industry : Packaging

Market Challenges: Volatility in raw material prices

Volatility in prices of key raw materials used in protective packaging can pose challenge for industry players in maintaining stable profit margins. Raw materials such as paper, plastics, metals and chemicals are prone to fluctuating prices, owing to factors like supply disruptions, trade policies, geopolitical issues and environmental regulations. For example, according to the data from World Bank, between 2020 to 2022, the global price of paper pulp was increased by over 50% due to supply chain bottlenecks from lockdowns and rising energy costs. As per the data from OECD, the price of crude oil and its derivatives like polyethylene increased by almost 35% during the same period due to increase in global demand post COVID-19 and geo-political conflicts.

Market Opportunities: Development of biodegradable and sustainable protective packaging materials

The development of biodegradable and sustainable protective packaging materials can offer opportunity for protective packaging market growth. There has been growing demand for eco-friendly packaging solutions as consumers and organizations are increasingly conscious about reducing plastic waste and carbon footprint. Biodegradable materials that break down without harming the environment can provide a sustainable alternative to the traditionally used plastics and foams for protective packaging needs. Many companies are investing in research and development to expand the portfolio of plant-based biopolymers and recyclable packaging materials that can fulfil the role of protecting products during transportation as effectively as conventional plastics. Novel techniques are enabling the creation of moulded pulp, paper and bioplastic packaging products with performance properties comparable to PET, polystyrene and polyethylene. Technologies such as additive manufacturing and coatings infused with natural waxes or binders can improve the durability, strength and water resistance of biodegradable packaging solutions without compromising on sustainability.