Beverage Packaging Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 148.96 Billion |
| Market Size (2029) | USD 182.53 Billion |
| CAGR (2024 - 2029) | 4.15 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Beverage Packaging Market Analysis
The Beverage Packaging Market size is estimated at USD 148.96 billion in 2024, and is expected to reach USD 182.53 billion by 2029, growing at a CAGR of 4.15% during the forecast period (2024-2029).
- Consumers are increasingly becoming aware of concerns related to sustainability and environmental implications, encouraging beverage companies to focus. Consequently, sustainable and biodegradable packaging, designed to reduce environmental footprints, has surged as a leading trend in beverage packaging, especially for bottlers.
- There has been a significant shift toward sustainability in beverage packaging, with more consumers prioritizing sustainability in the way in which they shop, which has become something consumers expect as standard. This shift toward sustainable solutions is seen in the widespread use of recyclable plastic containers and bottles, which reflects a larger trend toward responsible consumption and production.
- The dynamic lifestyles and the consequent dependence of consumers on packaged beverages are also augmenting the sales of beverage packaging products such as plastic and paper bottles and containers. This trend bolsters the sales of plastic products, owing to their superior barrier properties, convenient format, high-quality printability, and prudent usage of material resources.
- Furthermore, to address rising production costs, manufacturers are exploring cost-reduction strategies. These may include lightweight packaging, streamlining production processes, optimizing supply chains, and adopting new technologies to increase efficiency and reduce waste. This is leading to increased demand for lightweight beverage packaging from beverage manufacturers, with these companies emphasizing minimizing costs without compromising quality or sustainability.
- However, fluctuating raw material prices pose a significant challenge to the beverage packaging market globally. Beverage companies, heavily reliant on materials such as plastic, metal, glass, and paper, face price volatility due to factors like supply chain disruptions and oil price fluctuations contributing to this price instability, directly impacting production costs and subsequently impacting profit margins.
- The COVID-19 outbreak significantly altered consumer behavior, heightening concerns over product hygiene and sustainability. With shoppers' needs evolving, a consumer-centric approach became paramount, especially amid this pandemic. Further, shifts in consumer behavior as the market adapts to the new normal, making the outlook for beverage packaging demand post-pandemic, is expected to further accelerate demand for various beverage packaging products.
Beverage Packaging Market Trends
Bottled Water to Drive the Market
- The beverage industry is one of the pioneers of considerable expansion and technological modernization investments. Packaging water is a complex technical area of the industry. The packaged and bottled water packaging industries are experiencing rapid growth as public awareness of the need for pure drinking water increases.
- Bottled water is considered one of the most consumed beverages due to its convenience. The bottle packaging is also suitable for long-distance transportation of water. Boiling water at home is time-consuming and energy-inefficient. This is anticipated to contribute significantly to the growth of the bottled water packaging market. In emerging markets, it has become a symbol of a healthy lifestyle. According to Krones Group, among the consumption of packed beverages globally, bottled water held its dominance, with a consumption of 506 billion liters globally, which is higher than any other type of beverage.
- There are different types of bottled water, each with different origins, compositions, and processing requirements. Advances in mineral water have led to increased consumption worldwide due to its high benefits and positive health impacts. Growing demand for mineral water from natural sources stored in quality bottles drives the growth rate of the bottled water packaging market.
- The use of glass bottles for water packaging is widespread. However, the hot-fill/hold/cool process had to be applied carefully to avoid breakage of the containers. With rising environmental concerns about plastic wastage, various hospitality businesses, such as hotels, are using glass water bottles. As a move toward this transition, in July 2023, SPLENDOR Water, the provider of mineral water with colloidal gold and silver and natural electrolytes, formed a partnership with Ardagh Glass Packaging North America for glass bottles to serve its consumers with the natural purity of SPLENDOR Water. Such initiatives are expected to further leverage the market for glass water bottles.
- This is due to the significant increase in the number of players and the increasing focus on attractive packaging. Major players' increased spending on advertising and marketing activities to reach many consumers and generate profits is anticipated to complement the market's growth over the forecast period. Moreover, manufacturers are innovating bottled water, such as water infused with water from unscathed glaciers. This is likely to attract new consumers to experience the feel of water to keep up with their hydration, thus driving the bottled water packaging market.
Asia-Pacific to Witness Highest Growth
- The key factors driving future growth are urbanization, youth and their growing share in the workforce, increasing purchasing disposable income, and improved connectivity, particularly in smaller towns. Government directives have brought about new developments in the beverage packaging market. Since packaging waste is deemed toxic to the environment, attempts have been made to curb the amount of waste generated. This has nudged the industry toward recyclable and more sustainable packaging options.
- The Chinese beverage packaging industry has been growing at a rapid pace due to the country's growing economy and increasing middle class with higher purchasing power. The demand for beverage packaging is growing because China's beverage market has experienced considerable growth over the past several years, which has been led by the increasing consumption of beverage and beer exports. For instance, according to China Customs and UN Comtrade data, China’s beer exports reached USD 451.76 million in 2023 from USD 255.32 million in 2019. The beer export from China in 2023 reached a notable rise of about 38% over the year 2022.
- The growing consumption of ready-to-drink (RTD) beverages such as coffee, green and black tea, and others due to hectic consumer work schedules and sedentary lifestyles is propelling the market for beverage packaging in Japan. For instance, according to the Japan Soft Drink Association, the production volume of ready-to-drink (RTD) coffee beverages in Japan amounted to around 3.14 million kiloliters in 2023 compared to 3.03 million kiloliters in 2022. This growth in the consumption of RTD beverages is causing a soaring demand for beverage packaging, especially metal and plastic.
- The beverage industry is continuously witnessing innovative packaging product innovations on the grounds of sustainability initiatives, a reduction in carbon footprint, and adapting to changing consumer demands and trends. Innovations such as developing new processing, separation, and packaging technologies are key to Asian beverage packaging success. The market is expected to grow due to product expansion, launch, upgradation, sustainability, and more.
- For instance, in April 2024, Nutifood, a prominent dairy player in Vietnam, opted for the SIG DomeMini carton bottle, prioritizing consumer convenience on the go. The company's decision to debut its premium adult nutrition milk under the Varna brand in SIG's carton packaging signals a strategic shift away from traditional plastic bottles. This move not only marks the arrival of SIG DomeMini in the Southeast Asian market but also underscores Nutifood's commitment to a more sustainable packaging approach, favoring a bottle-shaped carton for an improved plastic-to-product ratio.
Beverage Packaging Industry Overview
The beverage packaging market is highly fragmented due to the presence of both global players and small and medium-sized enterprises. Players in the market are adopting strategies such as partnerships, mergers, acquisitions, product innovations, and investments to enhance their product offerings and gain sustainable competitive advantage.
- June 2024: Coca-Cola India initially introduced a one-liter bottle crafted entirely from 100% recycled PET (rPET) for its renowned Kinley brand. Building on this success, the company furthered its commitment to sustainability by launching Coca-Cola in rPET pack sizes of 250 ml and 750 ml variants. These eco-friendly bottles are being produced in collaboration with Coca-Cola's bottling partners, Moon Beverages Ltd and SLMG Beverages Ltd.
- April 2024: Amcor PLC, a global provider of packaging solutions, launched a one-liter polyethylene terephthalate (PET) bottle for carbonated soft drink use that is made from 100% post-consumer recycled (PCR) content. This first-of-its-kind stock option will support customers as they strive to meet sustainability commitments and requirements. This new one-liter stock option made from 100% PCR helps a brand to benefit from increased speed to market while addressing the increased consumer demand and legislative requirements for post-consumer recycled content.
- March 2024: Varun Beverages Ltd, PepsiCo’s franchise bottler, acquired South Africa-based Beverage Company (BevCo) along with its wholly-owned subsidiaries. BevCo holds franchise rights from PepsiCo in South Africa, Lesotho and Eswatini. It also has distribution rights for Namibia and Botswana.
Beverage Packaging Market Leaders
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O-I Glass Inc.
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Tetra Laval International SA
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Ball Corporation
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Ardagh Group
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Amcor PLC
*Disclaimer: Major Players sorted in no particular order
Beverage Packaging Market News
- May 2024: SLMG Beverages, Coca-Cola India’s independent bottler, collaborated with Dalmia Packaging to establish a PET bottle recycling plant in India. For this recycling plant, which will have an annual capacity of 36,000 MT and produce 24,000 MT of plastic for PET bottles, the two companies plan to invest INR 0.9 to 1 billion (USD 10.7 million to USD 11.99 million).
- November 2023: With a new legal act entering force extended producer responsibility (EPR) for packaging in Croatia, the new packaging legislation imposes a mandatory deposit system for single-use beverage packaging, which coexists with the semi-voluntary deposit system for returnable packaging.
Beverage Packaging Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumption and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitutes
4.3.5 Intensity of Competitive Rivalry
4.4 Assessment of the Impact of COVID-19 on the Beverage Packaging Industry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Product Innovations like Downsizing Coupled with Cost Reduction
5.1.2 Changing Demographic and Lifestyle Factors
5.2 Market Challenges
5.2.1 Volatile Raw Material Costs
6. MARKET SEGMENTATION
6.1 By Material Type
6.1.1 Plastic
6.1.2 Metal
6.1.3 Glass
6.1.4 Paperboard
6.2 By Product Type
6.2.1 Bottles
6.2.2 Cans
6.2.3 Pouches
6.2.4 Cartons
6.2.5 Beer Kegs
6.3 By Application
6.3.1 Carbonated Drinks
6.3.2 Alcoholic Beverages
6.3.3 Bottled Water
6.3.4 Milk
6.3.5 Fruit and Vegetable Juices
6.3.6 Energy Drinks
6.3.7 Plant-based Drinks
6.3.8 Other Applications
6.4 By Geography
6.4.1 North America
6.4.1.1 United States
6.4.1.2 Canada
6.4.2 Europe
6.4.2.1 United Kingdom
6.4.2.2 Germany
6.4.2.3 France
6.4.2.4 Italy
6.4.2.5 Spain
6.4.2.6 Austria
6.4.2.7 Poland
6.4.2.8 Russia
6.4.2.9 Rest of Europe
6.4.3 Asia-Pacific
6.4.3.1 India
6.4.3.2 China
6.4.3.3 Japan
6.4.3.4 Australia
6.4.3.5 Rest of Asia-Pacific
6.4.4 Latin America
6.4.4.1 Mexico
6.4.4.2 Brazil
6.4.4.3 Rest of Latin America
6.4.5 Middle East and Africa
6.4.5.1 United Arab Emirates
6.4.5.2 Saudi Arabia
6.4.5.3 South Africa
6.4.5.4 Rest of Middle East and Africa
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 O-I Glass Inc. (Owens-Illinois Inc.)
7.1.2 Tetra Laval International SA
7.1.3 Ball Corporation
7.1.4 Ardagh Group
7.1.5 Amcor PLC
7.1.6 Mondi PLC
7.1.7 Verallia SA
7.1.8 Vidrala SA
7.1.9 Vetropack Holding Ltd
7.1.10 Crown Holdings Inc.
7.1.11 Silgan Containers LLC
7.1.12 CCL Container Inc.
7.1.13 Berry Global Inc.
7.1.14 Sonoco Products Company
7.1.15 Glassworks International Limited
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Beverage Packaging Industry Segmentation
Beverage manufacturers are focusing on offering a better product with easy-to-handle, eco-friendly packaging that keeps the product fresh for a long time. Packaging innovation is becoming a norm for beverage companies with smaller package sizes, situational package types, and multi-packs. Different kinds of products are packed using various materials depending on the beverages.
The beverage packaging market is segmented by material type (plastic, metal, glass, and paperboard), product type (bottles, cans, pouches, cartons, and beer kegs), application (carbonated drinks, alcoholic beverages, bottled water, milk, fruit and vegetable juices, energy drinks, plant-based drinks, and other applications), and geography. The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Material Type | |
| Plastic | |
| Metal | |
| Glass | |
| Paperboard |
| By Product Type | |
| Bottles | |
| Cans | |
| Pouches | |
| Cartons | |
| Beer Kegs |
| By Application | |
| Carbonated Drinks | |
| Alcoholic Beverages | |
| Bottled Water | |
| Milk | |
| Fruit and Vegetable Juices | |
| Energy Drinks | |
| Plant-based Drinks | |
| Other Applications |
| By Geography | |||||||||||
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Beverage Packaging Market Research FAQs
How big is the Beverage Packaging Market?
The Beverage Packaging Market size is expected to reach USD 148.96 billion in 2024 and grow at a CAGR of 4.15% to reach USD 182.53 billion by 2029.
What is the current Beverage Packaging Market size?
In 2024, the Beverage Packaging Market size is expected to reach USD 148.96 billion.
Who are the key players in Beverage Packaging Market?
O-I Glass Inc., Tetra Laval International SA, Ball Corporation, Ardagh Group and Amcor PLC are the major companies operating in the Beverage Packaging Market.
Which is the fastest growing region in Beverage Packaging Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Beverage Packaging Market?
In 2024, the Asia Pacific accounts for the largest market share in Beverage Packaging Market.
What years does this Beverage Packaging Market cover, and what was the market size in 2023?
In 2023, the Beverage Packaging Market size was estimated at USD 142.78 billion. The report covers the Beverage Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Beverage Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Beverage Packaging Industry Report
Statistics for the 2024 Beverage Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Beverage Packaging analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
