Agricultural Packaging Market - By Material Type (Plastic, Paper & Paperboard, Metal, Glass), By Product Type (Pouches, Bags, Bottles, Trays, Drums), By Packaging Type (Primary, Secondary, Tertiary), By Application & Forecast, 2024 – 2032

Agricultural Packaging Market Size

Agricultural Packaging Market size was valued at over USD 8.7 billion in 2023 and is anticipated to grow at a CAGR of 6.1% between 2024 and 2032. There is a high demand for fresh & processed food products including fruits, vegetables, grains, dairy products, and meat.
 

Agricultural packaging plays an important role in preserving the quality, freshness & safety of these products. This will extend their shelf life, ensuring that these products reach buyers in good condition. Globalization has resulted in increased international trade of agricultural products. Agricultural packaging plays a vital role in the protection of products during transport and meeting the particular needs of different countries such as phytosanitary regulations & customs requirements.

The major challenge faced by agricultural packaging manufacturers is the cost pressure owing to variations in raw material prices, energy costs, and labor expenses. It can be difficult to balance the demand for cost-effective packaging solutions while retaining quality & performance. Agricultural products are prone to damage, spoilage, and contamination. Agricultural packaging must offer sufficient defense against physical, biological & chemical factors to maintain product quality and extend the shelf life. For this, it is essential to carefully select the packaging materials and technologies. The agriculture industry is compelled to adopt eco-friendly practices including packaging. The difficulty arises in the development of packaging materials & solutions that are environmental-friendly, recyclable, and biodegradable while still meeting the functional requirements and guaranteeing product protection. The challenges related to advanced agricultural packaging may reduce the acceptance rate, impeding market share.
 

COVID-19 Impact

The COVID-19 pandemic led to disturbances in global supply chains of various industries including the agricultural sector. Transportation restrictions, manpower shortages, and border closures led to issues in the availability & distribution of agricultural products. This impacted the agricultural packaging demand as the overall volume of products being packaged & transported declined. The pandemic also transformed consumer behavior including the rising demand for packaged food & online grocery shopping. As more people started cooking at home and relied on packaged food, the demand for agricultural packaging, such as pouches, bags, and containers, witnessed an increase. The reduced COVID-19 cases and enactment of strategies by government & non-government organizations are projected to drive market growth in the future.
 

Agricultural Packaging Market Trends

Smart packaging technologies including sensors, RFID tags, and temperature indicators are experiencing a growing adoption in agricultural packaging. They help in monitoring and retaining the quality & freshness of agricultural products. Smart packaging enables better inventory management, reduces decay, and improves supply chain efficiency. The agricultural packaging industry is seeing innovations in materials, machinery, and processes. Innovations including bio-based & bio-degradable materials, nanotechnology, and advanced printing techniques are accelerating the development of more effective, sturdy & impressive packaging solutions. Such advancements aim to enhance product protection, increase shelf life, and improve the aesthetics of the products being packed. Growth in e-commerce & direct-to-consumer sales channels is also impacting the agricultural packaging market. Packaging solutions, such as easy-to-open packaging, secure shipment, and visually appealing designs, that address the specific requirements of online retail are in demand.
 

Agricultural Packaging Market Analysis

Based on material type, the agricultural packaging market is categorized into plastic, paper & paperboard, metal, glass, and others. The plastic segment held a dominant market share in 2022. Plastic materials including Polyethylene (PE), Polypropylene (PP), and Polyethylene Terephthalate (PET) are extensively used in agricultural packaging due to their versatility, robustness, and cost-effectiveness. The ability of plastic materials to protect agricultural products from moisture, pests, and physical damage is fueling their demand. Plastic materials also offer versatility in terms of packaging formats, sizes, and shapes.
 

The recyclability, renewability, and ability to provide sufficient protection to fruits, vegetables, and other agricultural products are driving the demand for paper-based packaging materials. Product differentiation, perceived quality, and particular packaging requirements are fueling the demand for metal and glass materials in agricultural packaging. Their increased utilization will further boost segment growth during the forecast period.
 

Based on product type, the agricultural packaging market is categorized into pouches, bags, bottles, trays, drums, and others. The pouches segment held a major market share of over 35% in 2022 and is anticipated to grow at a significant pace through 2032. In the agriculture industry, bags and pouches are extensively utilized to package seeds, fertilizers, animal feed, and other agricultural products. The ability of bags and pouches to offer protection from moisture, pests, and physical damage is driving their demand. Their increased demand is also attributed to the ease of handling and transportation as well as the need for product differentiation through branding & labeling. The strength, stackability, and ability to protect the products during transportation & storage are driving the demand for boxes and craters.
 

Based on application, the agricultural packaging market is categorized into fruits & vegetables, grains & pulses, meat, poultry & seafood, dairy products, floriculture, and others. The fruits & vegetables segment held a major market share in 2022 and is projected to grow at a CAGR of 5.34% till 2032. In the horticulture and floriculture sectors, packaging plays a vital role in the packaging & delivery of flowers, plants, and other horticultural products. Product protection, preservation of freshness & quality, convenience in handling & transportation, and enhanced product presentation & branding are a few factors driving the demand for packaging in horticulture and floriculture.
 

Based on packaging type, the agricultural packaging market is categorized into primary, secondary, and tertiary. The primary packaging segment held a large market share in 2022 and is expected to grow up to 2032. In the agriculture industry, the main function of primary packaging is to protect the products from physical damage, contamination, moisture, and other environmental factors. The need to ensure the integrity and quality of agricultural products across the supply chain is also fueling the demand for primary packaging. Additionally, the desire to preserve the taste, texture, color, and nutritional value of the products is further driving primary packaging demand. These functions of the product will help in enhancing customer satisfaction and reducing food wastage, thereby propelling segment growth during the forecast period.
 

U.S. accounted for USD 1.9 billion in 2022 and is projected to grow at a lucrative pace through 2032. The consumer preference for fresh & high-quality agricultural products is increasing. This will fuel the demand for innovative packaging solutions that can protect & conserve the freshness of fruits, vegetables, and other perishable items during transportation & storage. Environmental concerns and the desire for eco-friendly practices have resulted in an increased demand for eco-friendly packaging in the North America agricultural industry. Consumers and retailers are looking for packaging materials that are recyclable, biodegradable, or made from renewable resources.
 

Agricultural Packaging Market Share

Major players operating in the agricultural packaging market include:

• Amcor plc
• Berry Global Inc.
• Sonoco Products Company
• Bemis Company Inc.
• Mondi Group
• Sealed Air Corporation
• Coveris Holdings S.A.
• DS Smith plc
• Smurfit Kappa Group
• Greif, Inc.

These players concentrate on strategic partnerships, new product launches, and commercialization efforts for market expansion. They are making heavy investments in research & development to launch advanced products and gain maximum market revenue.
 

The agricultural packaging market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion) & volume (Kilo Tons) from 2018 to 2032, for the following segments:

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By Material Type

• Plastic
• Paper & Paperboard
• Metal
• Glass
• Others

By Product Type

• Pouches
• Bags
• Bottles
• Trays
• Drums
• Others

By Application

• Fruits & Vegetables
• Grains & Pulses
• Meat, Poultry & Seafood
• Dairy Products
• Floriculture
• Others

By Packaging Type

• Primary Packaging
• Secondary Packaging
• Tertiary Packaging

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Spain
  • Italy
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Indonesia
  • Malaysia 
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Egypt