Global Packaging Demand to Increase Up Until 2020

The rate of global packaging will grow between 2015-2020, a new report suggests, with the prediction that it will reach $998 billion at today’s prices over a five-year period.

The report comes from Smithers Pira, which takes a look at 17 major and 33 smaller markets within the packaging industry. The study not only predicts trends over the upcoming years, it also factors in current market sizes, market and technology trends.

Findings predict the rate of global packaging will steadily increase at an annual rate of 3.5% through 2020. In 2014, global packaging totaled $812 billion, with its annual growth rate over a four-year period (starting in 2010) totaling 4.2%.

The largest packaging category from 2014 was flexible plastic packaging; with the rigid plastic packaging and board packaging sectors following behind. It’s anticipated flexible plastic packaging will continue to dominate the market.

The report, titled “The Future of Global Packaging to 2020,” finds Asia as the catalyst for most of the growth within the packaging industry, accounting for the largest packaging market in 2014 and North America and Western Europe following behind. The industry is also expected to see stronger growth in areas like Western and Eastern Europe, which have struggled in recent years.

Asia remains a leader in the global packaging industry, with its demand on the rise. Its potential growth comes in areas like cosmetics and healthcare as the consumer class continues to advance.

With sustainability efforts like the upsurge of bio-based PET being incorporated into packaging, the global packaging industry should see no signs of slowing down through 2020.