India Packaging Market Size (2024 - 2029)

India Packaging Market Analysis

The India Packaging Market size is estimated at USD 18.31 billion in 2024, and is expected to reach USD 35.12 billion by 2030, growing at a CAGR of 11.46% during the forecast period (2024-2030).

Technological advancements and rising consumer awareness have favorably positioned the Indian packaging sector. The country's abundant raw materials and a significant increase in per capita spending, especially in rural and middle-class segments, are reshaping market demands. Innovations like aseptic, retort, and biodegradable packaging enhance food product longevity.

• An industry expert from the flexible packaging sector further highlights that local manufacturers are thriving in the face of high packaging demand in India. Leading FMCG firms opt for multiple vendors, favoring local vendors for their agility in decision-making and competitive pricing in the country. The flexible packaging industry in India is largely self-reliant, with minimal dependence on imports. Small entrepreneurs and privately owned companies are driving growth and innovation, becoming key players in the market.
• India's packaging sector, riding on a strong historical growth trajectory, is steadily converging with global benchmarks. With promising prospects from the retail and e-retail segments, the industry's evolution is poised to favor organized entities, sidelining smaller, less equipped players. Driven by heightened demand from sectors like e-commerce, FMCG, food and beverages, household products, and white goods, India's carton industry is witnessing a notable upswing.
• India's recent packaging regulations go a step further, banning the use of recycled plastics in food packaging and prohibiting newspapers and other materials for packing or wrapping food items. These regulations also specify Indian Standards for printing inks used on food packages. Schedule IV of these regulations outlines recommended packaging materials for various food product categories.
• Flexible plastic packaging dominates India's plastic packaging landscape, accounting for three-quarters of the total usage. The FMCG sector favors this type of packaging for its versatility and cost-effectiveness. The prevalent multi-layered packaging, often produced by small-scale manufacturers prioritizing cost, leads to a diverse range of non-recyclable flexible packaging compositions entering the market.
• The growing rate of urbanization across the country has bolstered the focus on convenient and sustainable packaging. With end-users like fresh food, ready-to-eat meals, pet food, and coffee showing robust growth, the demand for pouch packaging is set to surge. According to a report by BDO India, a prominent management consulting firm, India's ready-to-cook food market is projected to reach INR 64 billion (approximately USD 0.76 billion) by 2025, marking a significant increase from its 2020 valuation of INR 30 billion (about USD 0.35 billion). This growth in ready-to-eat meal packages is anticipated to surge the demand for flexible packaging in the forecast period.

India Packaging Industry Segmentation

Packaging is defined as the process of providing a protective and informative covering to the product such that it protects the product during material handling, storage, and movement and also provides useful information to all the related supply chain partners about the content of the package. Its application can extend from primary, secondary, and tertiary to ancillary packaging.

The Indian packaging market is segmented by material (plastic, paper, container glass, metal can, and container) and end users (food and beverage, retail and e-commerce, paints and chemicals, industrial, personal care and cosmetics, and other end users). The market sizes and forecasts regarding value (USD) for all the above segments are provided.