Lightweight Packaging Market Size & Demand in Emerging Industries

Lightweight Packaging Market Size, Supply Chain & Logistics Data

The lightweight packaging market is accelerating, with forecasts predicting hundreds of millions in revenue growth between 2023 and 2034, powering sustainable infrastructure globally.

The lightweight packaging market is projected to witness considerable progress in the future. Lightweight packaging has gained popularity in the packaging sector due to its numerous financial and environmental benefits. Any material intended to minimize the weight without compromising strength, durability and protective properties is considered lightweight packing.

It can be utilized in consumer products packaging, shipping containers, and packaging for food and drink. Organizations may substantially reduce the weight of their packaging by implementing a variety of strategies with the utilization of lightweight materials.

EPP and EPS are very lightweight packaging materials as they are composed of 98% air and 2% substance. They are 62% lighter than other polymers and 82% lighter than wood. They additionally provide a number of unique packaging qualities such as exceptional thermal insulation and shock absorption capabilities. PET is another lightweight, sustainable material that is frequently used for food and drink packaging. It is easily recyclable, clear, and long-lasting. Lightweight packaging provides sustainability, cost-efficiency and convenience for industries such as food and beverages, healthcare, personal care, e-commerce, and more.

The rising demand for sustainable and eco-friendly packaging along with the rapid growth of the e-commerce sector is expected to augment the growth of the lightweight packaging market during the forecast period. Furthermore, technological advancements in material science such as bio-based plastics and advanced polymer blends as well as increased investments in the recyclable and compostable materials are also anticipated to augment the growth of the market.

Additionally, the growing consumer preference for convenience and portability coupled with the rising focus on reducing the transportation costs and the expansion of the food and beverage industry are also projected to contribute to the growth of the market in the near future.

Key Trends and Findings

• Companies that manufacture consumer goods are revamping their current packaging and making sure the new designs are eco-friendly. One popular approach is reducing weight that involves making packaging lighter and smaller to make the products easier to ship and reduce the carbon footprint of shipment. Henkel has saved almost 15% on the amount of water and material needed in the production of its Taft hairspray by making the metal container thinner. According to the corporation, the redesign saves 900,000 cubic meters of water and up to 3,500 metric tonnes of carbon dioxide emissions annually.
• An attractive trend that is receiving considerable amount of attention is clear packaging. When a package has a clear and simple label and no paint, color and design, it indicates that a small energy is utilized during production. Environment conscious potential customers are fast to recognize and appreciate the company's commitment to a more sustainable environment.
• One of the easiest methods to guarantee contributions to a sustainable environment is to use recyclable materials.Using recyclable plastics, cardboard, and paper in their packaging is another way that organizations are showing their dedication to the environment.
• Technology is not new to the packaging sector. For a long time now, sector has been using novel and distinctive materials for eco-friendly packaging. Edible packaging, however, is a trend that will be the next big thing. Maximum eco-friendly objectives could be attained with this trend. Implementing edible packaging throughout segments will require a substantial amount of study and work. However, the scenarios would be perfect once it is finished. There won't be any waste at all.
• Utilizing recyclable materials has increased in popularity as the worldwide movement toward sustainability gains momentum. At the top of the current trend are advancements in mono-oriented polyethylene (MOPE), biaxially oriented polypropylene (BOPP), and biaxially oriented polyethylene (BOPE) mono-materials. In response to the rising demand from consumers for green packaging options, these materials are made to be more easily recycled.
• North America held considerable market share in 2023. This is due to the stringent environmental regulations, high consumer demand for sustainable products and advancements in the recycling technologies.
• Asia-Pacific is expected to grow at a fastest CAGR during the forecast period owing to the increasing urbanization, rising disposable incomes and expanding e-commerce sectors in countries like China, India, and Japan.

Market Drivers

Growing Demand for Sustainability

The growing demand for sustainability due to the increasing awareness of climate change, pollution and resource depletion as well as introduction of stringent measures by governments and regulatory bodies worldwide is anticipated to augment the growth of the lightweight packaging market during the forecast period. Approximately 430 million tons of plastic are manufactured worldwide each year, of which 42% is packaging waste and two thirds is discarded after a short period of use.

This considerable contribution to the global plastic waste demonstrates the importance of transitioning to the sustainable packaging alternatives such as lightweight materials, to reduce environmental impact. Sustainable packaging signifies safer packaging, posing no harm to human health. Lightweight packaging focuses on these issues by reducing the quantity of materials required, minimizing waste production and improving recycling operations.

Consumers are also choosing packaging based on its sustainability credentials, and fewer are likely to buy products they consider environmentally harmful. According to the Buying Green Report 2023 by Trivium Packaging, seventy-nine percent of the buyers prefer products that are packed sustainably. This is specifically evident for the younger generations and those who earn more than the norm. Almost 76-77% of the survey participants in the Gen Z and Millennials choose to purchase products in sustainable packaging, which is 7% more than the average.

This indicates that both the categories have a considerable inclination towards sustainable packaging. Additionally, lightweight packaging also reduces transportation emissions and further contributes to the environment conservation. Brands are using this trend to improve their corporate social responsibility (CSR) reputations and attract an increasing percentage of sustainable-minded consumers. As sustainability becomes a priority across industries, the adoption of the lightweight packaging is expected to grow substantially during the forecast period.

Market Restraints

Obstacles in Durability, Cost Efficiency, and Regulatory Compliance

The complexity in durability, costs, and regulatory compliance is expected to impede the growth of the lightweight packaging market within the estimated timeframe. The packaging of the product may appear sturdy when packed in environmentally friendly, lightweight packaging. Products, however, might be kept on store shelves and in the warehouses for a long time. Over time, the packaging could start to degrade. When it comes to packaging that customers will refill and reuse after usage, durability is important.

Customers may stop trusting a brand if it advertises that its packaging is reusable but breaks down after multiple uses. Furthermore, organizations may resist using such packaging techniques due to cost restrictions. They must think about using different kinds of sustainable materials in place of the packaging methods they currently implement. This change could result in higher labor, packaging as well as production costs. Smaller enterprises, in specific, may find these investments unaffordable.

Additionally, the regulatory compliance adds another layer of complexity. Many regions have introduced stringent laws that mandate recyclability as part of packaging. It's possible that organizations will have a shorter period to implement sustainable packaging practices. Regulations requiring organizations and packaging manufacturers to provide recyclable or compostable packaging have been introduced or passed in the US as well as various nations. The United Kingdom and California are two particular areas having similar regulations. These combined issues indicate the need for balanced, economical options that meet durability, affordability, and compliance requirements without compromising sustainability goals.

Market Opportunities

Circular Economy Initiatives

The circular economy initiatives are expected to create substantial opportunity for the lightweight packaging market in the years to come. Such initiatives not only reduce waste but also set benchmarks for replicating similar models across industries and regions, spurring demand for lightweight, recyclable materials. For instance

• In June 2024, Biedronka, the biggest retail chain in Poland, partnered with Mondi to establish a closed loop program. Mondi's 100% recyclable corrugated packaging is supplied, collected, and reproduced as part of a closed-loop program that complies with EU regulations like the Packaging and Packaging Waste Regulation (PPWR). Biedronka is dedicated to embracing best practices with its suppliers and pursuing its sustainability strategy. According to the strategy, carbon dioxide emissions will be reduced by 10% by 2026 (compared to a baseline of 2021) and plastic use will be reduced by 10% by 2025 (compared to a baseline of 2018).
• In August 2023, to further promote a circular economy for plastic packaging in Australia, leaders in the packaging value chain teamed up. In a significant move to eradicate plastic waste, MondelÄ“z International, Inc., Amcor, Pascall, The Natural Confectionery Company, and others are investing in Licella, a pioneer in modern recycling technology.

The funds will assist Licella in moving on with the development of one of Australia's first innovative recycling facilities. Licella will recycle end-of-life plastic using its revolutionary Catalytic Hydrothermal Reactor (Cat-HTRTM) technology, turning it into a crude oil replacement that can be used to create new food-grade plastic packaging.

• In April 2023, Berry Global Group, Inc. declared that it will start building its Circular Innovation Hub and International Center of Excellence in Barcelona, Spain. By improving the usage of recycled content, reducing waste, and increasing recyclability, Berry's new center will aid in the creation of creative, Bmore Circular Solutions that progress a route to circularity. Additionally, the center will encourage new projects that promote circularity through customer collaborations.

These hubs will speed-up the global use of lightweight materials by demonstrating increased recycled content, improved recyclability and waste reduction. These efforts collectively position the lightweight packaging market as an important player in achieving global sustainability targets, driving development, innovation, and future potential.

Artificial Intelligence (AI) Impact on the Market

The application of artificial intelligence (AI) has already transformed the lightweight packaging market. Companies in the market are deploying AI-powered solutions that are helping them to optimize packaging design, analyze material performance, reduce waste and provide cost-effectiveness. For instance

• In July 2023, Amcor declared that it will invest US$500,000 in Greyparrot, the most recent Amcor Lift-Off winner and a waste analytics startup powered by artificial intelligence (AI). Using AI computer vision technologies, Greyparrot monitors and sorts packaging waste flows at scale in resource recovery facilities.

Throughout the waste value chain, the information given to producers, waste management, and regulators makes sorting, recycling, and reporting easier. Greyparrot can correctly differentiate between a variety of categories, such as regular PET bottles, non-food grade and food grade materials, colorful and black plastics, various high-density PE types, and a number of standard flexible film types.

• In April 2023, Australian Paper Recovery (APR) Kerbside and Tetra Pak collaborated to deploy an artificial intelligence (AI) robot that they claim can recognize and classify used Tetra Pak beverage cartons. The robot has been put into service at the APR Kerbside Material Recovery Facility (MRF) in Truganina, Victoria. The facility primarily sorts materials from the kerbside stream and has the potential to process up to 20,000 tonnes of materials annually. With the designing of AI robot technology, the organization can help minimize the food waste, consumption of water and energy, while also making it possible to reuse food and drink containers.

AI has revolutionized the lightweight packaging market primarily by merging advanced analytics, material science and automation to achieve a balance between functionality, environmental responsibility as well as economic achievability.

Key Segment Analysis

Material Segment Analysis Preview

The plastic segment held largest market share in 2023. Plastic can be just as durable as steel. From expensive gadgets to perishable foods, this durability shields the product from all the damage that comes with manufacturing and delivery. Plastic packaging guarantees that the product will appear brand new when it is delivered to customers' homes or displayed on store shelves.

Further, plastics emit a lower carbon footprint since they are lightweight, take up a smaller space than other materials, and are useful for transportation. Additionally, as plastics are one of the most regulated packaging materials on the market, their safe usage is guaranteed, and they deliver the best way to preserve the safety of the food that comes into touch with them. These factors are likely to support the segmental growth of the market during the forecast period.

End-User Industry Segment Analysis Preview

The food and beverage segment held largest market share in 2023. This is due to the growing global population and increasing urbanization across the globe. Furthermore, the growing demand for ready-to-eat meals, on-the-go snacks as well as premium beverages is also anticipated to promote the growth of the segment.

Also, the growing food delivery services are further expected to contribute to the segmental growth of the market during the forecast period. Additionally, the growing focus on health has driven demand for organic, gluten-free, plant-based, and fortified products as well as increasing consumption of functional beverages and super foods are also expected to support the growth of the segment in the global market in the years to come.

Regional Insights

Asia Pacific is likely to grow at the fastest CAGR during the forecast period. This is due to the growing urban populations and rising middle class in countries such as China and India. Also, the expanding food and beverage industry with the increasing consumption of packaged foods is likely to contribute to the regional growth of the market. As per the India Brand Equity Foundation, India's food processing market is expected to grow from US$ 866 billion in 2022 to US$ 1,274 billion in 2027. Furthermore, the growing consumer preference for convenience and portability is also expected to contribute to the regional growth of the market.

North America held substantial market share in 2023. This is owing to the growing environmental consciousness among consumers and stringent government regulations. Furthermore, the presence of key companies like Berry Global, Amcor and DS Smith as well as widespread adoption of innovative manufacturing techniques, such as advanced polymer engineering and digital printing is also expected to contribute to the regional growth of the market. Additionally, the growth of e-commerce and logistics is also expected to contribute to the regional growth of the market.

According to the Statistics Canada and Transport Canada, Canadian airports handled 1.3 million tonnes of cargo from both domestic and international carriers in 2021, a 5.1% increase over 2020. Throughout 2021, there was a high demand for consumer products. As a result, Canadian ports saw a 5.6% increase in container traffic over 2020. Also, the growing demand for consumer goods, including personal care, household products, and electronics is also anticipated to promote the growth of the market in the region in the near future.

Recent Developments by Key Market Players

• In December 2024, Partnering with Aalto University and Finnish industry partners, the VTT Technical Research Centre of Finland created a novel continuous-shaping method for cardboard that allows it to be formed into forms resembling reel-to-reel origami for fiber-based packaging materials. The origami folds can give cardboard completely new characteristics. The structures are a great and aesthetically pleasing substitute for protective packaging components because of their resilience and lightweight weight.
• In December 2023, Lion Corporation (Thailand) and SCG Chemicals collaborated to launch a unique lightweight packaging option. The new package preserves all the advantageous qualities while reducing weight by up to 12%. According to the Low Waste and Low Carbon orientation, this project promotes the circular economy's tenets by minimizing greenhouse gas emissions and material consumption. Currently, Lion offers these products in eco-friendly packaging for every purchase.

Lightweight Packaging Market Players

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Some of the key players in lightweight packaging market are Amcor Plc, Berry Global Inc., Sealed Air Corporation, Mondi Group, Smurfit Kappa Group, DS Smith Plc, Ball Corporation, Crown Holdings, Inc., Tetra Pak International S.A., Huhtamaki Oyj, Sonoco Products Company, UFlex Ltd., ALPLA Group, Ardagh Group, and Gerresheimer AG, among others.

Lightweight Packaging Market Segments

By Material

• Plastic
• Paper and Cardboard
• Aluminum Foil
• Others

By End-User Industry

• Food & Beverages
• Personal Care & Cosmetics
• Healthcare & Pharmaceuticals
• Retail & E-Commerce
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • U.K.
  • France
  • Germany
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • South-East Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America
• Middle East & Africa
  • GCC Countries
  • South Africa
  • Rest of Middle East & Africa