Rigid Packaging Market

According to Stratistics MRC, the Global Rigid Packaging Market is accounted for $465.10 billion in 2024 and is expected to reach $724.63 billion by 2030 growing at a CAGR of 7.67% during the forecast period. Containers and packing materials that keep their shape and structure during storage and transportation are referred to as rigid packaging. They provide sturdy protection for goods in these situations. Rigid packaging is frequently used in the food and beverage, pharmaceutical, and personal care industries. It is typically constructed from materials like plastic, metal, glass, and cardboard. Because of its strength and durability, goods are kept safe, and customers can find it more convenient because it is frequently resealable.

Market Dynamics: 

Driver: 

Demand in the food and drink sector

The market for rigid packaging is largely driven by the food and beverage sector. Better defense against deterioration, contamination, and physical damage is provided by rigid packaging, which keeps food items safe to eat and fresh. Rigid packaging is favored for packaging a variety of products, from dairy and baked goods to beverages and canned foods, due to its capacity to prolong the shelf life of perishable items. Furthermore, the popularity of convenience foods and the growing trend of on-the-go consumption have increased demand for robust and user-friendly rigid packaging solutions.

Restraint:

Exorbitant production and material costs

The market for rigid packaging has a lot of obstacles because of the expensive production and material costs. Materials that are more expensive than flexible packaging alternatives include glass, metal, and some premium plastics. Additionally, rigid packaging usually involves more expensive and complicated manufacturing processes, such as molding, shaping, and precision engineering. In price-sensitive markets, rigid packaging may become less competitive due to these increased costs, which may also discourage smaller manufacturers and have an impact on product prices overall.

Opportunity:

Adoption of environmentally friendly and sustainable materials

There is a big chance for the rigid packaging market because of the increased focus on environmental sustainability. Enterprises are progressively allocating resources towards the advancement and implementation of environmentally conscious and sustainable materials, like plant-based resins, recycled content, and biodegradable plastics. These materials can attract environmentally conscious customers and lessen the negative environmental effects of rigid packaging. Moreover, manufacturers can stand out from the competition and follow worldwide trends toward environmentally friendly practices by emphasizing sustainability, which may help them gain a bigger portion of the market.

Threat:

Environmental policies and adherence

Strict environmental regulations that aim to reduce packaging waste and promote sustainability are imposed on the rigid packaging industry. Operating expenses go up when new technologies, procedures, and materials need to be purchased in order to comply with these regulations. There may be steep fines, legal repercussions, and reputational harm for noncompliance. Furthermore, the drive for higher recycling rates and less plastic use can put traditional rigid packaging solutions in jeopardy and force businesses to quickly adjust to changing regulatory environments.

Covid-19 Impact: 

Due to increased concerns over hygiene and product safety, the COVID-19 pandemic had a significant impact on the rigid packaging market and increased demand for packaging solutions in critical industries like food and beverage, pharmaceuticals, and healthcare. Problems with the supply chain and a lack of raw materials raised production costs and caused delays. Additionally, during the pandemic, the growth of e-commerce and direct-to-consumer sales accelerated the need for robust and dependable packaging to guarantee the safe delivery of goods, ultimately highlighting the crucial role that rigid packaging plays in preserving product integrity in the face of unparalleled global disruptions.

The Bottles & Jars segment is expected to be the largest during the forecast period

The Bottles & Jars is the rigid packaging market segment with the largest share. Due to their extensive usage in a variety of industries, especially the food and beverage, pharmaceutical, and personal care sectors, bottles and jars currently control the majority of the rigid packaging market. By providing superior liquid, solid, and semi-solid protection and preservation, these containers maintain product integrity and lengthen shelf life. Moreover, bottles and jars are widely used for packaging goods such as drinks, sauces, condiments, medications, and cosmetics because of their adaptability, toughness, and ease of use.

The Plastic segment is expected to have the highest CAGR during the forecast period

In the rigid packaging market, the plastic segment has the highest CAGR. The versatility, affordability, and wide-ranging use of plastic in a variety of sectors, including consumer goods, healthcare, and food and beverage, are the main drivers of this trend. The ability of the material to be molded into a variety of sizes and shapes enables the creation of unique packaging solutions that are tailored to the needs of individual customers. Additionally, its appeal is further enhanced by developments in plastic recycling and sustainable practices, such as the creation of biodegradable plastics and enhanced recycling technologies.

Region with largest share:

In the market for rigid packaging, North America has the largest share. Due in large part to the region's substantial concentration of large packaging manufacturers, sophisticated industrial infrastructure, and strong consumer demand, the region dominates the industry. Strong economies, established supply chains, and advancements in packaging technology have made the United States and Canada the market leaders. Furthermore, driving the region's market share is the healthcare sector, the thriving food and beverage industry, and the growing emphasis on sustainable packaging solutions in North America.

Region with highest CAGR:

The rigid packaging market is growing at the highest CAGR in the Asia-Pacific region. The region's thriving economies, growing industrial base, and rising consumer demand in developing markets like China and India are the main causes of this rapid growth. The Asia-Pacific region enjoys the benefits of a sizable and expanding middle class, which drives demand for packaged goods in a number of industries, including personal care, healthcare, and food and beverage. Moreover, rigid packaging is growing rapidly in the region due in part to increased urbanization and infrastructure development, as well as an emphasis on modernizing packaging methods and enhancing sustainability.

Key players in the market

Some of the key players in Rigid Packaging market include Reynolds Group Holdings Limited, Bemis Company Inc., Resilux NV, Berry Plastics Corporation, Sonoco Products Company, Coveris Holdings S.A., Amcor Limited, Holmen AB, Silgan Holdings, Inc., DS Smith PLC, Sealed Air Corporation, Plastipak Holdings, Inc., Ball Corporation and Mondi Group.

Key Developments:

In January 2024, Sonoco Products Company, one of the largest global sustainable packaging companies, today announced that certain of its subsidiaries entered into a definitive agreement to sell its Protective Solutions business to Black Diamond Capital Management, LLC for an estimated $80 million in cash. The transaction is subject to customary closing conditions and is expected to be completed in the first half of 2024.

In December 2023, Bemis Company, Inc. announced that it has signed a definitive agreement to sell the Company's Menasha, Wisconsin, and Catoosa (Tulsa), Oklahoma, facilities to Exopack Holding Corp. (""Exopack""), an affiliate of private investment firm Sun Capital Partners, Inc. The purchase price for the transaction is approximately $81 million payable in cash at closing, subject to certain post-closing adjustments. 

In November 2023, Reynolds Group Holdings Limited announced an agreement to acquire all of the outstanding stock of Pactiv Corporation. The transaction value is approximately US$6 billion. Under the terms of the agreement, Pactiv shareholders will receive US$33.25 per share (in cash), for a total purchase price of approximately US$4.6 billion.

Product Types Covered:
• Boxes and Cartons
• Trays
• Containers & Cans
• Bottles & Jars
• Pallets
• Other Product Types 
 
Material Types Covered:
• Plastic
• Metal
• Wood
• Paper & Paperboard
• Glass
• Other Material Types 

Production Processes Covered:
• Blow Molding
• Thermoforming
• Injection Molding
• Extrusion 

End Users Covered:
• Food & Beverages
• Pharmaceuticals
• Personal Care & Cosmetics
• Electrical & Electronics
• Household
• E-commerce
• Other End Users

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan        
o China        
o India        
o Australia  
o New Zealand
o South Korea
o Rest of Asia Pacific    
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa 
o Saudi Arabia
o UAE
o Qatar
o South Africa
o Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings: 
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances