Global Industrial Packaging Market to Reach $73B by 2024

Increased manufacturing activity around the world and growing demand for innovative or high-value packaging solutions are expected to propel the global market for industrial packaging products to a value of $73.25 billion by 2024, according to new numbers released by Transparency Market Research on Wednesday.

“The performance of the manufacturing sector will end up determining a majority of the rate of growth in demand for industrial packaging and will affect a large number of manufacturers in it. Therefore, the recent positive state of growth shown by this sector – especially in the Asia-Pacific region – is extremely good news for the manufacturers of industrial packaging,” a TMR analyst said in a press release.

Revenue is predicted to expand by a compound annual growth rate (CAGR) of 4.1% from 2016 through the end of the forecast period. The market was valued at $53.03 billion in 2016, according to TMR.

Researchers said some of the key players in the market, which includes International Paper, Sonoco Product Company, Cascades Inc., and U.S. Smurfit Kappa Group Plc., are presently intensifying efforts in product innovation and the develop of advanced packaging methods like flexible packaging.

“Another key driver of the global industrial packaging market is the growing use of high-value containers. There is a very favorable rate of adoption of the latest innovations in packaging by clients trying to stay ahead of the curve, further encouraging players in the global industrial packaging market to increase their investments in research and development,” the research firm said.

Transparency said that a lack of communication between manufacturers of industrial packaging products and end-user companies and other elements within the supply chain are hindering growth of the market. One result of this, according to researchers, is that development of new packaging is slowed.

“Players from the global industrial packaging market would therefore benefit vastly by incorporating vender-managed inventory programs queued with supplies from a strategic growth-oriented perspective,” the TMR analyst said.

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