Polypropylene Packaging Films Market Size (USD 48.59 Bn) by 2033

Market Overview

The global polypropylene packaging films market size is estimated to reach USD 48.59 billion by 2033, up from USD 27.35 billion in 2023, at a compound annual growth rate (CAGR) of 6.04% from 2024 to 2033.

Unlock Infinite Advantages: Subscribe to Annual Membership

The polypropylene packaging films market is anticipated to witness significant growth during the forecast period. Polypropylene (PP) film serves as a thermoplastic that is both inexpensive and fully recyclable. These films are appropriate for applications requiring sterilization at extreme temperatures since they have good tensile strength, high gloss, high clarity and relatively high melting point. Polypropylene is best suited for use in the food and beverage and packaging industries owing to its special qualities. Due to its excellent chemical resistance, low odor and inertness, polypropylene film is the preferred material for packaging applications which must adhere to the FDA requirements. Polypropylene film is commonly used for tape liners, food wraps, cigarette packing, shrink wrap, candy packaging, diapers and sterile wrap.

The growing demand for packaged foods due to urbanization and changing lifestyles of consumers coupled with the expansion of the e-commerce sector is anticipated to augment the growth of the polypropylene packaging films market within the estimated timeframe. The increasing sustainability initiatives and environmental regulations along with continuous technological advancements in the film production are also expected to support the market growth. Furthermore, the cost-effectiveness of polypropylene films compared to other materials as well as the growing need for custom packaging solutions is also likely to contribute to the growth of the market in the years to come. The global packaging market size is estimated to reach an estimated USD 1.58 trillion by 2032.

Key Trends and Findings

• Biaxially oriented polypropylene (BOPP) was not easily biodegradable in the past. But developments in the biodegradable chemicals and bio-resins are altering that. These new BOPP mixes minimize environmental effect by providing comparable functionality and decomposing organically after the use.
• Consumer convenience is increased by adding resealable zippers and closures to BOPP bags. This helps to reduce the waste and promote product freshness, especially for products like pet food, snacks and coffee.
• Due to the constant changes in society, there is a growing desire for food that is fresh and safe, as well as for convenient packaging that is easy to open.
• Robotic sorting coupled with machine learning is producing streams of recyclable materials that are more valuable and cleaner. Recycling rates can be raised by using machine learning to more quickly and precisely detect materials that can be recycled at Materials Recovery Facilities (MRFs). More items, including many that were previously disposed of in landfills, can now be recovered at MRFs due to the tool.
• Asia-Pacific held largest market share of 41.35% in 2023. This is owing to the expanding manufacturing sectors and rising middle-class population in the region.
• The North America region is expected to grow at a CAGR of 4.80% during the forecast period owing to the stringent environmental regulations as well as the growing demand for advanced packaging solutions.

Market Drivers

Growth in Online Food, Beverages & Grocery Shopping

The inclination towards online food & grocery shopping owing to the rise in e-commerce platforms and changing consumer purchasing behaviors is anticipated to augment the growth of the polypropylene packaging films market during the forecast period. Furthermore, the other primary factors for the growth of the online grocery shopping are flexibility, convenience, safety, and affordability. The majority of shoppers do their grocery shopping online these days and they want to continue doing so. Packaged food items, groceries, and various other products can be delivered the same day or the next day by a number of organizations, like Amazon and Big Basket. This is a good idea for preserving their quality as well. In contrast to deliveries that would often arrive a week later, the quality of the requested items is preserved when they are delivered the same day or even the following day.

Additionally, numerous food and beverage supply chain organizations implement measures to provide discounts and incentives to their customers, encouraging them to make online purchases of groceries and other goods. Actually, a lot of companies, including the massive Amazon, provide significant discounts on their grocery products on certain days, much like its Great Shopping Festivals and various other events. Customers purchase a variety of products at significantly lower prices since they are able to find them there. Food and drink is the newest category that customers who enjoy online shopping have added to their shopping lists. This growth in online shopping is likely to create demand for polypropylene packaging films as it is one of the best packaging options available in the market with properties such as improving its resistance, separation or protection against outside agents and guarantee optimal preservation of food.

Market Restraints

Raw Material Price Volatility

The raw material price volatility is likely to limit the growth of the market during the forecast period.  Polypropylene, like so many others, is derivative of petroleum. Conflicts and political shifts in the Persian Gulf, Venezuela, Libya and the Middle East have recently contributed to the interruptions in the global oil supply, which have pushed up the oil prices. As the one-third of the global seaborne oil traffic originates from the Middle East, the most recent conflict there has increased geopolitical risks for the markets for the commodities. Even though it would be a rare situation, a conflict's escalation might cause significant disruptions to the oil supply, depending on its length and the scope. Also, there exist other potential positive risks associated with the oil market such as the likelihood of the production cuts from Saudi Arabia and Russia being extended or intensified.

Fluctuations in the prices of the crude oil influence the price of its byproducts. It would be nearly difficult to maintain the current global economic structure without oil and its byproducts. An energy crisis, recession or the inflation can be driven by even a little increase in the price of crude oil. This is due to the fact that gas and oil are the foundation of the international trade and are essential to the national growth. Events that could impede the flow of oil and products to market, such as developments in geopolitics or weather, can impact the price of both crude oil and petroleum products. Such occurrences could result in the real disruptions or trigger concerns regarding supply and demand in the future, which could increase price volatility.

Moreover, the cost volatility affects not only the production of the polypropylene films but also the entire supply chain, including suppliers of the additives and processing aids used in the film production. This adds another layer of complexity to managing costs and maintaining profitability.

Market Opportunities

Advancements in Materials

Novel resin advancement is going on in the area of high melt strength variations for utilization in foamed PP compounds. Foamed PP's end-use sectors include packaging, automotive, construction and industrial. SABIC and Borealis are major resin developers in this field of technology, along with Braskem and Japan Polypropylene. SABIC is working intensively to create a PP with high melt strength. The SABIC PP-UMS HEX17112 Ultra Melt Strength (UMS) PP resins has a remarkable melt flow and power of 65 centimeters Newton (cN). It is enabling previously unattainable degrees of light weighting for automotive applications. With its strong emphasis on part wall down gauging, foaming technology is opening up a wide range of sustainable applications in automobile, building insulation, truck/bus and mass transit, as well as packaging containers of all kinds to help reduce food waste worldwide.

Also, Aaron Industries recently introduced a novel high melt flow recycled polypropylene (PP) compound. Apart from being sustainable, JET-FLOTM Polypro creates new application possibilities by enabling the creation of parts like DVD cases, caps, and closures that have thinner walls as well as more complicated designs. Faster cycle times assist in preventing the molded-in stress, which can lead to warpage, from the processing perspective.

Furthermore, recent advancements in polypropylene (PP) additives have concentrated on two important plastic end-uses worldwide packaging and automotive. In the fiercely dynamic plastic film packaging industry, where performance is the primary consideration at all times, small additions can significantly increase production efficiency.

For Instance,

• For PP packaging films, Dow's superior silicones fully developed PP homopolymer (75%)/Siloxane (25%) additive offers improved process efficiency. The additive system is suitable for the master batch compounded and is offered in pelletized form. It works well in films that are Biaxially Oriented PP (BOPP). Additionally, it meets with the EU 10-2011 food contact regulations and the FDA clearance is also close to complete. Candy wrappers, food bags and similar packages as well as pouches are first expected applications. These innovations are likely to create various opportunities for the growth of the polypropylene packaging films market in the years to come.

Key Segment Analysis

Process Type Segment Analysis Preview

The biaxially oriented polypropylene (BOPP) segment captured largest market share of 64.80% in 2023. In the packaging sector, BOPP bags have become an essential. Highly valued for their clarity, reliability as well as adaptability, they have emerged as a preferred choice for many enterprises in several industries. However, the packaging industry is always changing and BOPP plastic bags continue to keep up with fascinating new developments. Among other factors, the moisture barrier property of the BOPP films is one of the main reasons for its popularity in the food packaging. They can regulate elements including light exposure, moisture permeability and oxygen transfer due to the barrier property. This is especially important when packing fragile goods like food, medicine and electronics. Also, BOPP films can be recycled and this helps them become a sustainable packaging option and also works with the food industry's eco-friendly methods.

Application Segment Analysis Preview

The food & beverages segment captured a significant market share of 43.21% in 2023. This is owing to the increasing urban population and growing demand for effective packaging of food to make it easier to store, transport and consume food products. The food and beverage industry is one of the largest users of packaging among all other industries. This competitive industry includes numerous products such as bags, containers, cups, wraps, straws, and boxes created to protect as well as enclose the food. Flexible polypropylene films guarantee the best possible food preservation. It offers a strong defense against heat, light and air while maintaining the product's quality as well as organoleptic qualities like flavor, aroma and taste.

Regional Insights

Asia Pacific held largest market share of 41.35% in 2023 and is expected to grow at a fastest CAGR of 7.55% during the forecast period. China is the largest market in the region. This is owing to the surge in the e-commerce activities along with the growth of the logistics and delivery services across the region. Additionally, the growing food and beverage industry due to the increasing demand for ready-to-eat meals, snacks and processed foods is also projected to contribute to the growth of the market across the region. Furthermore, the shift towards the urban lifestyles as well as convenience products and expanding middle class population is also likely to support the regional growth of the market.

North America is expected to grow at a considerable CAGR of 4.80% in during the forecast period. This is due to the increasing awareness of environmental issues along with a growing focus on sustainability across the region. Also, the increasing focus of major industry players in improvements of the PP film properties is further expected to drive the demand for labels in the years to come. Furthermore, the growing demand from the well-established healthcare and pharmaceutical industries and large market for personal care and household products is also expected to support the regional growth of the market in the near future.

Recent Developments by Key Market Players

• March, 2024: Toppan announced that GL-SP, a ground-breaking barrier film for environmentally friendly packaging, is being developed and would soon be launched in India. This novel product was developed in association with TOPPAN Speciality Films (TSF), an Indian company, and is based on the use of biaxially oriented polypropylene (BOPP) as its substrate.
• May, 2023: For the packaging of dry food, Borealis unveiled a brand-new high-barrier polypropylene (PP) monomaterial bag. It was created in association with companies within the value chain, including as Profol, Jindal Films, Mitsui Chemical Group and the Finnish firm Huhtamaki Flexible Packaging. The new pouches are made to comply with the more expansive recycling and waste reduction goals outlined in the Packaging and Packaging Waste Regulation (PPWR) of the European Commission.
• April, 2023: Within its TRUCIRCLE program, SABIC declared the effective beginning of a new project aimed at speeding up the transition to a circular plastic economy. Leading pasta maker Garofalo in Italy unveiled a new packaging design created by GT Polifilm and Polivouga with certified circular polypropylene (PP) from SABIC. For this application, a Biaxially Oriented PolyPropylene (BOPP) film made from sustainable material sourced from advanced recycling is created. This is the first pasta mono-PP packaging material available on the market with a 30% post-consumer recycled (PCR) content.

Market Companies

Some of the key players in polypropylene packaging films market are Amcor PLC, Mitsubishi Chemical Holdings Corporation, AEP Industries Inc., Jindal Poly Films Ltd., Novolex Holding LLC, SABIC (Saudi Basic Industries Corporation), RKW Group, Cosmo Films Ltd., Borealis AG, Uflex Ltd., Dupont Teijin Films, and ProAmpac LLC, among others.

Market Segments

By Process Type

• Biaxially Oriented Polypropylene (BOPP)
• Cast Polypropylene (CPP)

By Product Type

• Bags & Pouches
• Wraps
• Tapes & Labels
• Others

By Application

• Food & Beverages
• Healthcare
• Electrical & Electronics
• Personal Care & Cosmetics
• Industrial
• 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