CONTRACT PACKAGING MARKET SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS (2023 - 2028)


Contract Packaging Market Analysis:

The Contract Packaging Market is projected to experience significant growth, with an anticipated increase from USD 67.46 billion in 2023 to USD 107.52 billion by 2028, reflecting a compound annual growth rate (CAGR) of 9.77% during the forecast period (2023–2028).

The COVID-19 pandemic has had a profound impact on the contract packaging market, as the e-commerce sector has flourished due to lockdown measures and social distancing guidelines. With a majority of consumers opting for online shopping, companies have turned to outsourcing their packaging needs to meet the surge in demand.

Nevertheless, the pandemic has hindered the automation plans of various companies, resulting in minimal effects on the market. According to a survey conducted by the Association for Packaging and Processing Technologies (PMMI), approximately 67% of consumer packaged goods (CPG) companies have postponed their automation plans, compared to only 23% of small and medium-sized enterprises (SMEs).

The growth of the global contract packaging market is primarily driven by the changing preferences of manufacturing firms, which often delegate packaging activities to third-party providers. This shift is motivated by manufacturers’ increasing focus on cost optimization and their core business functions. Contract packaging offers several advantages in this regard.

Firstly, it reduces operational costs for manufacturers. Outsourcing packaging activities to contract packagers, coupled with the decreasing costs of machinery and labor, can lead to estimated operational cost reductions of 7% to 9%.

Secondly, packaging regulations, particularly in the food and beverage sector, are evolving rapidly. Compliance with stringent rules and norms necessitates extensive inspection and quality control operations. By outsourcing packaging activities, the arduous task of meeting these regulations, also known as mil-spec packaging, is entrusted to contract packaging agencies. This has further incentivized manufacturers to opt for contract packaging over in-house packaging activities.

Get the sample report of the Contract Packaging Market

Comments

Post a Comment

Popular Posts

Aviation Industry Set to Soar: Market to Hit USD 395.76 Billion by 2030 Amid Stable Growth

The aviation industry is projected to grow from USD 343.54 billion in 2025 to USD 395.76 billion by 2030, registering a compound annual growth rate (CAGR) of 2.87% during the forecast period of 2025 to 2030. Market Overview The global aviation industry is a vital part of the transportation sector, playing a critical role in global trade, tourism, and connectivity. As consumer demand for air travel rebounds post-pandemic and commercial fleets undergo modernization, the aviation market is undergoing transformative shifts. Emerging markets, technological innovation, and sustainability efforts are reshaping the aviation industry outlook, contributing to measurable aviation industry growth worldwide. Key Trends in the Aviation Industry Rise of Sustainable Aviation Fuel (SAF) One of the leading aviation industry trends is the growing emphasis on sustainability. Major aviation industry companies are investing in SAF to reduce carbon emissions, in line with international environmental goals. D...
Read more

Recreational Boating Market Set to Reach USD 36.82 Billion by 2030: Key Growth Drivers and Trends

  Market Overview The global recreational boating market is projected to expand from USD 28.71 billion in 2025 to USD 36.82 billion by 2030, reflecting a compound annual growth rate (CAGR) of 5.1% during the forecast period. This growth is primarily driven by increasing participation in water-based leisure activities, technological advancements in boat manufacturing, and a rising preference for sustainable boating options. Key Trends Technological Advancements in Boat Design and Functionality Innovations such as smart navigation systems, integrated IoT devices, and electric propulsion are enhancing the boating experience, making it more convenient and eco-friendly. Surge in Watersports and Fishing Activities An increasing number of individuals are engaging in watersports and fishing, driving demand for specialized recreational boats tailored to these activities. Shift Towards Sustainable Boating Solutions The adoption of electric and hybrid-powered boats is on the rise, aligning wi...
Read more

Kuwait Dairy Products Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Kuwait Dairy Products Market Analysis: The Kuwait Dairy Products Market is projected to experience significant growth in the coming years. According to estimates, the market size is expected to increase from USD 1.06 billion in 2024 to USD 1.42 billion by 2029, with a compound annual growth rate (CAGR) of 5.91% during the forecast period of 2024–2029. During the initial phase of business and community shutdowns, there was a surge in demand for dairy products in Kuwait. However, the disrupted supply chains, including dairy snacks, posed a major challenge. As a result of the lockdown, Kuwait and other Middle Eastern countries closed their borders or implemented trade barriers, affecting the availability of dairy products. The Kuwaiti dairy industry is closely regulated by the government, which ensures compliance with health and hygiene regulations that align with both GCC and international standards. Additionally, the industry is characterized by active foreign trade, involving both expo...
Read more

Coffee Machine Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Coffee Machine Market Analysis: 1. In 2020, the coffee machine market was valued at approximately USD 5.11 billion, and experts predict that it will experience a compound annual growth rate (CAGR) of over 4.5% from 2022 to 2027. However, the market faced challenges due to the COVID-19 pandemic, which led to restrictions on manufacturing activities and disrupted supply chains. As a result, coffee machine manufacturers in the United States and Europe had to temporarily halt production due to the lockdown in China, where they sourced various input supplies. Despite this setback, the market’s growth was sustained by the expansion of commercial infrastructure and the increasing number of offices. 2. The coffee industry has been undergoing significant transformations, driven by innovations, new product launches, and the surging demand from consumers. The rising popularity of instant non-alcoholic beverages, particularly coffee, in restaurants and office cafeterias has been a key factor drivi...
Read more