Global Agriculture Packaging Market is segmented By Material (Composites, Plastic, Metal, Paper & Paperboard), By Application (Seeds, Pesticides, Fertilizers, Grains, Others), By Product (Clamshells, Bulk Bags, Silo Bags, Pouches, Trays, Containers, Others), By Region (North America, Europe, South America, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2022-2029
Market Overview
The agriculture packaging market is estimated to reach at high CAGR during the forecast period (2022-2029).
Agriculture packaging plays a vital role in agriculture handling, storing and transportation. Agriculture packaging products include silo bags, bulk bags, pouches, clamshells, trays, and other containers. The packaging products are made up of different materials such as paperboard, glass, jute, plastic, and others. With the advancement of technology, eco-friendly processes and products are gradually being adopted by companies for manufacturing agriculture packaging products. As a result, packaging within the agriculture industry has been gaining importance to preserve and protect food. Moreover, it helps in saving shipping costs and aid in product branding.
Market Dynamics
The global agriculture packaging market growth is driven by practices to reduce food wastage, rising demand for eco-friendly packaging and expanding agriculture imports and export networks among countries.
Practices to reduce food wastage
The agriculture packaging market is expected to drive with practices to reduce excessive food wastage due to insufficient packaging solutions. The demand for efficient agriculture packaging has been rising. According to a recent study, almost 54% of food is wasted during the after-harvest treatment and storage transportation. The U.S. Department of Agriculture has also announced an investment of more than $4 billion to strengthen supply chains through the Build Back Better initiative. With the global rise in population, the demand for food production is on the spike, creating demand for efficient agriculture packaging to avoid the high amount of wasted food. Agriculture packaging helps manufacturers and farmers deliver food most effectively, eliminating unnecessary food waste during post-harvest treatment, production process, storage, and transportation. High preservation and protection of food are ensured with long-term stability between the farmers and the consumers.
Moreover, agrochemicals such as fertilizers and pesticides are poisonous and reactive and create the need for proper packaging. Agriculture packaging ensures quality standards that improve sealing and handling issues and avoid any malfunctioning.
Huge consumption of plastic for packaging
The agriculture packaging market is impacted by the huge consumption of plastic for agriculture and food packaging sectors. According to a recent study, agricultural packaging consumes almost 45% of worldwide plastic production, causing a serious threat to the environment. Rising concerns and governmental norms for the use of plastic in packaging will hamper the market growth.
On the contrary, projects like RECOVER aim to develop biotechnology-based processes for sustainable recycling of food packaging and agriculture plastic waste streams, i.e., agri-food waste plastic and the clean-up of the environments polluted by them.
COVID-19 Impact Analysis
Due to the pandemic, stakeholders across the agriculture packaging industry have seen a notable impact as all the production work, factories and other activities were closed. As a result, production was hindered by halts and supply chain disruption globally. After the pandemic, the governments still impose various restrictions, such as working with half the workforce and fewer operating hours hindering the production cycle of the market. But the market has been recovering with regulatory investments in the market. For instance, India has announced a special package of Rs 1 lakh crore for creating agriculture infrastructure. The efforts will help in strengthening the food system and create new market opportunities for tackling the pandemic.
Segment Analysis
By product, the agriculture packaging market is broadly classified into clamshells, bulk bags, silo bags, pouches and others.
The bulk bags are expected to grow at the fastest CAGR during the forecast period (2021-2028)
Bulk bags are expected to hold the largest market for agriculture packaging market and are expected to continue their dominance in the forecast period. Bulk bags allows the storage and transport of thousands of pounds of dry goods. Bulk bags have been majorly used in the industry due to increased shelf life for products, temperature control within the packaging, printing options for branding and food labeling, and low cost.
Moreover, the expanding agriculture trade between the regions for second sustainable development goal. According to industry analysis, global agriculture exports have increased, doubled in volume and more than tripled in value since 1995, exceeding the U.S. $1.8 trillion in 2018. Bulk bags are the most preferred option for regional and international transport. These bulk bags are affordable, durable, and reliable, helping transport products in the best condition with minimal losses.
Geographical Analysis
Asia Pacific region holds the largest market for global agriculture packaging globally
Asia Pacific region holds the largest market share for the agriculture packaging market globally and is expected to continue its dominance in the forecast period. The countries have been working on food safety challenges, notably in packaging, processing, and transporting agriculture products. In addition, the need for improvements in food safety standards is a vital factor in agriculture export competitiveness in the region.
Leading countries like China, India and others have been improving the agriculture standards with continuous government support. For instance, World Bank’s Board has approved a US$400 million loan for China’s Food Safety Improvement Project to improve food safety management at national and targeted subnational levels. Moreover, India has been an excellent source for agriculture products, leading agri-imports in vegetable oil, fresh fruits, pulses, spices, and cashew. The Country has about 54% vegetable oil imports with revenue of Rs. 74,286 crores in 2020-2021. The crucial investments in the sector are surging the market demand for agriculture packaging in the region.
Competitive Landscape
The agriculture packaging market is consolidated with the local player’s presence, followed by the global companies, contributing to the significant share in the market growth. In addition, some of the key players contributing to the growth of the market are Pactiv LLC, Western Packaging LLC, LazBro, Inc, Quality Packaging Supply Corporation, Seaca Packaging, Pacific Agriculture Packaging, Sambrailo Packaging, Pratt Industries, Orora Packaging Solutions, Bulk Bin Packaging and others. Furthermore, the major players are adopting various new strategies to dominate the market, such as expansions, acquisitions and collaborations, contributing to the growth of the agriculture packaging market globally.
Sambrailo Packaging
Overview: Sambrailo Packaging is engaged in delivering innovative packaging solutions to retailers, farmers and consumers. The company offers solutions for grocery retail, farmers markets, produce stands, CSA programs and grocery delivery services.
Product Portfolio: The Company offers a wide range of clamshells, baskets, trays, produce boxes and ready cycle.
Key Development: In 2020, Sambrailo Packaging launched the strawberry program, which offers a host of packaging options, with standard and recyclable clamshells in various sizes, and ReadyCycle recyclable 12-pint open tray.
The global agriculture packaging market report would provide access to an approx: 61 market data tables, 59 figures and 180 pages.