Corrugated Boxes Market Trends

Growth Drivers

• Expanding market for cosmetics and personal care products: The personal care and cosmetics industries make extensive use of corrugated boxes, including rigid and slotted boxes, because of their many durable qualities. These biodegradable boxes are a good option for the personal care and cosmetics industries since they keep moisture and bacteria out. Throughout the projected period, the corrugated boxes market will develop due to the booming global personal care and cosmetics industry and the rising need for a variety of personal care products. For example, in 2024, the global beauty and personal care market revenue was USD 648.60 billion. Corrugated boxes are likely to be used more frequently in the personal care and cosmetics industry due to its enormous global expansion, which will propel corrugated boxes market growth during the forecast period.

• Increasing focus on environmentally friendly methods: Businesses and consumers alike are seeking more environmentally friendly packaging options. Corrugated boxes are an eco-friendly choice as they are recyclable and created from renewable resources like forests. The corrugated boxes market is expanding as a result of rising investments in the promotion of sustainable packaging. Market participants are increasingly obtaining financing from a variety of government initiatives. For instance, in May 2024, Franklin Mountain Packaging, a U.S. company, received over USD 40,000 through the New Mexico Job Training Incentive Program (JTIP). The company Franklin Mountain Packaging produces corrugated sheets for the corrugated boxes market. These investments may have a favorable impact on corrugated boxes market expansion.

• Expansion of the e-commerce industry: Corrugated boxes are in high demand as the preferred packing material for delivering goods due to the explosive expansion of e-commerce. Corrugated boxes are an excellent way to meet the cost-effective, long-lasting, and protective packaging requirements of the sector. The industry's reaction to changing consumer needs and market trends is being shaped by cooperative efforts along the supply chain, such as alliances between manufacturers and e-commerce businesses.

Challenges

• Stringency in environmental regulations throughout the production process: Over time, lowering greenhouse gas emissions and creating very effective and environmentally friendly production techniques are two of the biggest issues that corrugated box makers are expected to face. Consumer demand for corrugated boxes is rising, but their high energy consumption and environmental effects pose significant obstacles to their status as a highly desirable packaging solution. As wood pulp is used to make corrugated boxes, the creation of these boxes has a big effect on forests. Compared to making plastic, the energy needed for manufacturing is substantially higher.

• Flexible plastic packaging is a major rival: For manufacturers and retailers, flexible plastic packaging offers the greatest benefit since it lowers packing weight, which can save shipping and warehousing expenses and allow for the need for much less space. Features like single-serve servings, alternatives that are simple to open and peel, and the fact that food tastes better in retort pouches than in conventional tin cans make it convenient for customers. Therefore, manufacturers and packaging converters are moving away from traditional rigid materials and toward flexible ones due to features including portability, convenience, cost savings, sustainability, and health benefits.